Document:

EXHIBIT
      10.2

    

    BILL
      OF SALE, ASSIGNMENT AND ASSUMPTION AGREEMENT

    

    THIS
      BILL
      OF SALE, ASSIGNMENT AND ASSUMPTION AGREEMENT (this “Bill of Sale”) is made and
      executed as of this 30th day of September, 2006, by and between Refinery Science
      Corp., a Texas corporation (“Buyer”), and Nanoforce, Inc., a Nevada corporation
      (“Seller”).

    

    WITNESSETH:

    

    WHEREAS,
      on September 15, 2006, Seller entered into a Bill of Sale and Assignment and
      Assumption Agreement (the “Bugg-Nanoforce Agreement”), substantially in the form
      attached hereto as Exhibit
      A,
      transferring title to certain assets (the “Assets”), as described and referenced
      in the Bugg-Nanoforce Agreement, from Tom Bugg to Seller on the conditions
      and
      subject to the terms set forth in the Bugg-Nanoforce Agreement, for
      consideration in the amount and on the terms and conditions provided
      therein.

    

    WHEREAS,
      Seller now desires to transfer title to the Assets to Buyer;

    

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

    

    1. Purchase
      Agreement; Purchase Price.
      Buyer
      agrees to purchase the Assets from the Seller in exchange for 1,000,000
      shares of preferred stock which shall have the title “Series
      A
      Convertible Preferred Stock” (the “Series A Preferred”). The Series A Preferred
      shall have rights and preferences identical to the common stock of Buyer, except
      that (i) each shares of Series
      A
      Preferred shall be convertible into one share of common stock of the Buyer
      at
      any time, and (ii) the
      holder(s) of the Series A Preferred shall have the right to elect or appoint
      one
      member of Buyer’s Board of Directors.

    

    2. Transfer
      of Title.
      Seller
      hereby grants, sells, assigns, transfers, conveys and delivers to Buyer and
      Buyer purchases and accepts from Seller all of Seller’s right, title and
      interest in and to the Assets.

    

    3. No
      Assumption of Liabilities.
      Buyer
      does not and will not by acceptance hereof assume any liabilities or obligations
      whatsoever of Seller. 

    

    4. Agency.
      Seller
      agrees to execute, as soon as is reasonably practical, such further grants,
      instruments, and assignments as Buyer may request from time to time (a) to
      collect, assert or enforce any claim, right, interest or title of any kind
      in
      and to the Assets, and to institute and prosecute all actions, suits and
      proceedings which Buyer may deem proper in order to collect, assert or enforce
      any such claim, right, interest or title, (b) to do all such acts and
      things and take all such actions in respect thereof as Buyer shall deem
      advisable or proper in order to provide to Buyer the benefits under any such
      Assets and (c) to defend, settle or compromise any and all actions, suits
      or proceedings in respect of any such Assets.

    

    
      
         

      

      
         

        
          

        

      

      
         

      

       

    

    5. Binding
      Effect.
      Subject
      to the terms and conditions set forth in this Bill of Sale and the covenants
      and
      agreements contained herein shall be binding upon and inure to the benefit
      of
      Seller, its successors and assigns and shall inure to the benefit of Buyer
      and
      its successors and assigns.

    

    6. Further
      Assurances.
      Seller
      shall from time to time after the date hereof at the request of Buyer and
      without further consideration execute and deliver to Buyer such additional
      instruments of conveyance in addition to this Bill of Sale as Buyer shall
      reasonably request to evidence more fully the transfer by Seller to Buyer of
      the
      Assets. 

    

    7. No
      Conflict.
      The
      parties hereto recognize that Seller may execute and deliver to Buyer certain
      other instruments of conveyance with respect to the Assets. Nothing herein
      shall
      limit the scope thereof, and nothing therein shall limit the scope
      hereof.

    

    8. Governing
      Law.
      This
      Bill of Sale shall be governed by and construed and enforced in accordance
      with
      the internal laws of the State of Washington without reference to Washington’s
      choice of law rules. This Bill of Sale may be modified or supplemented only
      by
      written agreement of the parties hereto.

    

    IN WITNESS WHEREOF,
      each of
      the parties hereto have caused this Bill of Sale and Assignment Agreement to
      be
      signed by their duly authorized officers on the date first above
      written.

    
      	 	 	 
	 	NANOFORCE,
              INC.
	 
 	 
 	 
 
	
            	By:  	 
	 	
              

              Name:
                

              Title:

            
	 	
            

      	 	 	 
	 	REFINERY
              SCIENCE CORP.
	 
 	 
 	 
 
	 	By:  	 
	 	
              

              Name:
                

              Title:
                

            
	 	
            

    
      
         

      

      
        2EXHIBIT
      10.4

    

    REFINERY
      SCIENCE CORP.

    

    EMPLOYMENT
      AGREEMENT

    

    This
      Employment Agreement (the “Agreement”) is dated as of February 9, 2007 by and
      between Thomas Bugg (“Executive”) and Refinery Science Corp., a Texas
      corporation (the “Company”). 

    

    1.
      Duties.
      

    

    1.1
      Position.
      Executive is employed as President and Chief Executive Officer of the Company,
      reporting to the board of directors of the Company (the “Board”). The duties and
      responsibilities of Executive shall include the duties and responsibilities
      for
      the direct supervision, direction and control of the Company’s operations and
      business, and be those normally associated with holding the offices of President
      and Chief Executive Officer of the Company. The Executive shall perform such
      duties as from time to time may be prescribed for him by the Board, in all
      cases
      to be consistent with Executive’s corporate offices and positions. 

    

    1.2
      Obligations
      to the Company.
      Executive agrees to the best of his ability and experience that he will at
      all
      times loyally and conscientiously perform all of the duties and obligations
      required of and from Executive pursuant to the express and implicit terms
      hereof, and to the reasonable satisfaction of the Company. During the term
      of
      Executive’s employment relationship with the Company, Executive further agrees
      that he will devote all of his business time and attention to the business
      of
      the Company, the Company will be entitled to all of the benefits and profits
      arising from or incident to all such work services and advice, and Executive
      will not render commercial or professional services of any nature to any person
      or organization, whether or not for compensation, without the prior written
      consent of the Company’s Board, and will not directly or indirectly engage or
      participate in any business that is competitive in any manner with the business
      of the Company. Executive will comply with and be bound by the Company’s
      operating policies, procedures and practices from time to time in effect during
      the term of Executive’s employment. 

    

    2.
      Term
      of Employment.
      Subject
      to the terms and conditions set forth in this Agreement, the Company agrees
      to
      employ Executive and Executive agrees to be employed by the Company for an
      initial term of ninety (90) days, starting not earlier than February 9, 2007
      and
      ending on May 11, 2007; provided,
      however,
      that
      this initial ninety-day term automatically shall extend for a 30-day term upon
      the termination of such ninety-day period and each subsequent thirty-day term
      thereafter, unless earlier terminated by the Company in its sole discretion.
      In
      the event of termination within such ninety-day period, any provisions regarding
      confidentiality, non-competition and non-solicitation of employees shall
      survive. In the event that the Company closes on a financing in which the
      Company receives net proceeds of not less than $30,000,000, the Company agrees
      to employ Executive and Executive agrees to be employed by the Company for
      a
      term of two (2) years, starting on the date of such closing; provided,
      however,
      that
      such two-year term automatically shall extend for one (1) additional year on
      such second anniversary date and on each subsequent anniversary of such date.
      Executive’s position as President and Chief Executive Officer shall commence
      immediately following the resignation of the Company’s current
      President.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    3.
      Compensation.
      For the
      duties and services to be performed by Executive hereunder, the Company shall
      pay Executive, and Executive agrees to accept, the salary, stock options,
      bonuses and other benefits described below in this Section 3. 

    

    3.1
      Salary.
      During
      calendar year 2007, Executive shall receive a monthly base salary of $23,333.34,
      which is equivalent to $280,000.08 on an annualized basis. Executive’s monthly
      base salary will be payable pursuant to the Company’s normal payroll practices
      for payment of salary to executive employees. Executive’s base salary will be
      reviewed as part of the Company’s normal salary review process, provided,
      however,
      that
      Executive shall not be paid a salary, and no salary shall accrue, until such
      time as the Company closing on a financing in which the Company receives net
      proceeds of not less than $30,000,000. In the event that the Company closes
      on a
      financing in which the Company receives net proceeds of not less than
      $30,000,000, including within one year after Executive’s termination, if any,
      under this Agreement, Executive shall be paid, immediately following such
      closing, that amount equal to the amount of salary plus options that Executive
      would have received had the Company closed on a financing of not less than
      $30,000,000 on the date of this Agreement and worked until the time of such
      closing, adjusted on a pro rata basis, based on the number of days elapsed.
      Executive’s annualized salary shall increase at a rate not less than five
      percent (5%) from the previous year’s annualized salary, beginning on the first
      anniversary date of the date of this Agreement and on each subsequent
      anniversary.

    

    3.2
      Stock
      Options.
      

    

    (i)
      Stock
      Incentive Program.
      Executive shall receive a non-qualified option to purchase 1,466,266 shares
      of
      common stock of the Company, 50% of which shall vest and become exercisable
      upon
      the earlier of (i) such time as the Company closes on a financing in which
      the
      Company receives net proceeds of not less than $30,000,000 and (ii) 120 days
      after an event of termination of Executive under this Agreement, and 50% of
      which shall vest and become exercisable one (1) year after the date of this
      Agreement, at a purchase price of $5.50 per share, which option shall terminate
      three years after the date of this Agreement (the “Option”). The Option shall
      otherwise be governed by the Company’s 2006 Stock Option Plan. Additionally,
      Executive is eligible to participate in the Company’s program to issued options
      to employees of the Company under 2006 Stock Option Plan (the “Program”),
      whereby each year options to Executive may be awarded based solely on the
      Company’s achievement of business and other goals solely determined by the Board
      prior to the start of each fiscal year. Options earned under this Program,
      if
      any, will be granted no later than February following the close of the
      applicable fiscal year. Any option granted pursuant to this Program will have
      a
      purchase price equal to not less than the fair market value on the grant date,
      and shall be subject to the terms of the Company’s 2006 Stock Option Plan.
      Vesting for any option granted by the Company is contingent upon Executive’s
      continued employment with the Company. 

    

    (ii)
      Change
      of Control Benefit.
      

    

    
      
         

      

      
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    (A)
      Acceleration.
      In the
      event of a Change of Control (as defined in Section 5.1 of this Agreement),
      (i)
      if any of Executive’s outstanding options (the “Awards”), if any, are assumed or
      an equivalent option is substituted by such successor corporation or a parent
      or
      subsidiary of such successor corporation (the “Successor Corporation”), all of
      the then unvested portion of the Awards shall be deemed to have vested
      immediately prior to the transaction, and (ii) even if the Awards are not
      assumed or an equivalent option is not substituted by the Successor Corporation,
      all of the then unvested portion of the Awards shall be deemed to have vested
      immediately prior to such transaction the entire unvested portion of the Awards
      held by Executive shall be deemed to have vested and become fully exercisable
      immediately prior to any such termination or resignation. If the vesting of
      the
      Awards is accelerated pursuant to this Section 3.2(ii)(A), the Company shall
      notify Executive that the vesting of the Awards has been accelerated and
      Executive shall have the right to exercise the Awards prior to the transaction,
      termination or resignation as applicable. 

    

    (B)
      Limitation
      on Payments.
      In the
      event that the vesting acceleration provided for in Section 3.2(ii)(A) above
      (i)
      constitutes “parachute payments” within the meaning of Section 280G of the
      Internal Revenue Code (the “Code”), and (ii) but for this Section 3.2(ii)(B)
      would be subject to the excise tax imposed by Section 4999 of the Code (or
      any
      corresponding provisions of state income tax law), then such vesting
      acceleration shall be either (aa) delivered in full, or (bb) delivered as to
      such lesser extent which would result in no portion of such severance benefits
      being subject to excise tax under Code Section 4999, whichever amount, taking
      into account the applicable federal, state and local income taxes and the excise
      tax imposed by Code Section 4999, results in the receipt by Executive on an
      after-tax basis of the greater amount of acceleration benefits, notwithstanding
      that all or some portion of such benefits may be taxable under Code Section
      4999. Any determination required under this Section 3(b)(ii)(B) shall be made
      in
      writing by the Company’s independent accountants, whose determination shall be
      conclusive and binding for all purposes on the Company and any affected
      Executive. In the event that (aa) above applies, then the Executive shall be
      responsible for any excise taxes imposed with respect to such benefits. In
      the
      event that (bb) above applies, then each benefit provided hereunder shall be
      proportionately reduced to the extent necessary to avoid imposition of such
      excise taxes. 

    

    3.3
      Discretionary
      Bonus.
      Executive is eligible for an annual discretionary cash bonus. This discretionary
      bonus will be based upon (i) the Company’s achievement of business and other
      goals solely determined by the Board in November of the previous fiscal year
      and
      (ii) the Executive’s achievement of personal performance objectives established
      and approved by the Company no later than February each fiscal year. Payment
      of
      any earned bonus, if any, shall be made no later than February following the
      close of the applicable fiscal year. In addition, Executive may be entitled
      to
      other incentive bonuses as solely determined by the Board or the Company’s
      Compensation Committee from time to time. 

    

    
      
         

      

      
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    3.4
      Additional
      Benefits.
      Executive is eligible to and shall participate in the Company’s employee benefit
      plans of general application, so long as any such plans exist, in accordance
      with the rules established for individual participation in any such plan and
      under applicable law.

    

    3.5
      Indemnification.
      Executive shall enter into the Company’s standard form of Indemnification
      Agreement, substantially in the form attached hereto as Exhibit
      A,
      providing indemnification to Executive to the maximum extent permitted by law,
      and in accordance therewith, the Company has agreed to advance any expenses
      for
      which indemnification is available to the extent allowed by applicable law.
      

    

    3.6
      Vacation.
      Executive is eligible to accrue up to 30 days of paid vacation per year, which
      vacation may be used in the year in which accrued or in a subsequent year,
      subject to the Company’s policies with respect to maximum accrual of unused
      vacation. 

    

    4.
      Severance
      Benefits.
      Executive shall be entitled to receive severance benefits upon termination
      of
      employment only as set forth in this Section 4. Executive’s entitlement to such
      severance benefits shall be conditioned upon Executive’s execution and delivery
      to the Company of (i) a general release of all claims, (ii) a resignation from
      all of Executive’s positions with the Company and (iii) an agreement not to
      directly or indirectly be employed or involved with any business developing
      or
      exploiting any products or services that are competitive with products or
      services specifically using the Company’s technology and on which Executive
      worked or about which Executive learned proprietary information or trade secrets
      of the Company during Executive’s employment with the Company. Any payment of
      severance benefits under the terms of this Agreement will be subject to all
      applicable tax withholding

    

    4.1
      Voluntary
      Termination or Termination for Cause.
      If
      Executive voluntarily elects to terminate his employment with the Company other
      than by Executive’s Resignation for Good Reason, as defined in Section 5.3
      below, or if the Company or a successor entity terminates Executive’s employment
      for Cause, as defined in Section 5.2 below, or the Executive dies or becomes
      incapacitated or otherwise disabled in such a manner that, in the sole
      determination of the Board, the Executive cannot perform reasonably the duties
      specified in Section 1 above, then Executive shall not be entitled to receive
      payment of any severance benefits. Executive will receive payment for all salary
      and unpaid vacation accrued as of the date of Executive’s termination of
      employment and Executive’s benefits will be continued solely to the extent of
      the Company’s then existing benefit plans and policies in accordance with such
      plans and policies in effect on the date of termination and in accordance with
      applicable law. 

    

    4.2
      Involuntary
      Termination Apart From a Change of Control.
      If
      Executive’s employment is terminated by the Company or a successor entity
      without Cause or by Executive’s Resignation for Good Reason prior to or more
      than eighteen (18) months after a Change of Control (as defined below),
      Executive will receive payment for all salary and unpaid vacation accrued as
      of
      the date of Executive’s termination of employment, and, in addition, Executive
      will be entitled to receive the following severance benefits: 

    

    
      
         

      

      
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    (i)
      continued payment of his base salary for a period equal to the term of
      employment of Executive remaining under this Agreement immediately prior to
      the
      date of termination, in accordance with the Company’s normal payroll practices;

    

    (ii)
      reimbursement of his premium cost for continuation of health insurance coverage
      with terms and conditions substantially similar to Company’s health insurance
      plan, if any, in effect at the time of termination for the lesser of the first
      twelve (12) months of continuation coverage or that number of months until
      Executive becomes eligible for reasonably comparable benefits under any future
      employer’s health insurance plan, provided Executive makes a timely election for
      such continuation coverage and presents reasonably requested documentation
      of
      payment of such premiums; 

    

    (iii)
      payment of 100% of Executive’s current year discretionary cash bonus regardless
      of the Company’s or the Executive’s achievement of the goals referred to in
      Section 3.3 of this Agreement; 

    

    (iv)
      accelerated vesting as to 100% of Executive’s then unvested option shares; and

    

    (v)
      reimbursement for up to $20,000 of expenses incurred in obtaining new
      employment, provided Executive submits evidence that is satisfactory to the
      Company that the amount involved was expended and related to obtaining new
      employment. 

    

    4.3
      Involuntary
      Termination Following a Change of Control.
      If
      Executive’s employment is terminated by the Company or a successor entity
      without Cause or by Executive’s Resignation for Good Reason in either case
      within eighteen (18) months following a Change of Control, Executive will
      receive payment for all salary and unpaid vacation accrued as of the date of
      Executive’s termination of employment, and, in addition, Executive will be
      entitled to receive the following severance benefits: 

    

    (i)
      payment of $320,000 within fourteen (14) days of such termination;

    

    (ii)
      reimbursement of his premium cost for continuation of health insurance coverage
      with terms and conditions substantially similar to Company’s health insurance
      plan, if any, in effect at the time of termination for the lesser of the first
      twelve (12) months of continuation coverage or that number of months until
      Executive becomes eligible for reasonably comparable benefits under any future
      employer’s health insurance plan, provided Executive makes a timely election for
      such continuation coverage and presents reasonably requested documentation
      of
      payment of such premiums; 

    

    (iii)
      payment of 150% of Executive’s current year discretionary cash bonus regardless
      of the Company’s or the Executive’s achievement of the goals referred to in
      Section 3.3 of this Agreement; 

    

    (iv)
      accelerated vesting of 100% of all the unvested option shares pursuant to the
      terms of Section 3.2(ii) of this Agreement; and 

    

    
      
         

      

      
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    (v)
      reimbursement for up to $20,000 of expenses incurred in obtaining new
      employment, provided Executive submits evidence that is satisfactory to the
      Company that the amount involved was expended and related to obtaining new
      employment. 

    

    5.
      Definitions.
      For
      purposes of this Agreement, the following definitions shall apply: 

    

    5.1
      “Change
      of Control”
means
      (i) a sale of all or substantially all of the Company’s assets, or any merger or
      consolidation of the Company with or into another corporation other than a
      merger or consolidation in which the holders of more than 50% of the shares
      of
      capital stock of the Company outstanding immediately prior to such transaction
      continue to hold (either by the voting securities remaining outstanding or
      by
      their being converted into voting securities of the surviving entity) more
      than
      50% of the total voting power represented by the voting securities of the
      Company, or such surviving entity, outstanding immediately after such
      transaction, or (ii) a change in more than 50% of the members of the Board
      from
      the date of this Agreement and a change in the business of the Company such
      that
      its primary business in not upgrading or hydrocarbons refining or processing.
      

    

    5.2
      “Cause”
means
      the determination by the Board of any of the following: (i) the Company does
      not
      close on a financing of not less than $30,000,000 within 90 days of the date
      of
      this Agreement or extensions thereto (ii) Executive’s failure to perform
      Executive’s duties and responsibilities to the Company in a manner satisfactory
      to the Board; (ii) Executive’s violation of a Company policy; (iii) Executive’s
      violation of any state or federal law, including but not limited to any act
      of
      fraud, embezzlement or dishonesty, or any other willful misconduct that has
      caused or is reasonably expected to result in injury to the Company, including
      the Company’s reputation; (iv) Executive’s unauthorized use or disclosure of any
      proprietary information or trade secrets of the Company or any other party
      to
      whom the Executive owes an obligation of nondisclosure as a result of his
      relationship with the Company; or (v) Executive’s breach of any of his or her
      obligations under any written agreement or covenant with the Company.

    

    5.3
      “Resignation
      for Good Reason”
means,
      subject to the right of either party to arbitrate a dispute with respect thereto
      in accordance with Section 12 below, Executive’s resignation as a result of, and
      within 30 days following: (i) a change in Executive’s position such that he is
      not a corporate officer of the Company (or a successor company, in the event
      of
      a Change of Control); (ii) a significant and substantial reduction in
      Executive’s job, duties, or responsibilities in a manner that is substantially
      and materially inconsistent with the position, duties, or responsibilities
      held
      by Executive immediately before such reduction; or (iii) any reduction in
      Executive’s base salary other than in connection with and consistent with a
      general reduction of all officer base salaries. 

    

    6.
      Confidentiality
      Agreement.
      Executive has executed a Proprietary Information and Inventions Agreement (the
      “Proprietary Agreement”) that is incorporated by reference and made a part of
      this Agreement and the form of which is attached hereto as Exhibit
      B.
      Executive hereby represents and warrants to the Company that Executive has
      complied with all obligations under the Proprietary Agreement and agrees to
      continue to abide by the terms of the Proprietary Agreement and further agrees
      that the provisions of the Proprietary Agreement shall survive any termination
      of this Agreement or of Executive’s employment relationship with the Company in
      accordance with the terms of the Proprietary Agreement. 

    

    
      
         

      

      
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    7.
      Confidentiality
      of Terms.
      Executive agrees to follow the Company’s strict policy that employees must not
      disclose, either directly or indirectly, any information, including any of
      the
      terms of this Agreement, regarding salary or stock purchase allocations to
      any
      person, except as required by applicable law or court order, including other
      employees of the Company (other than such employees who have a need to know
      such
      information); provided,
      however,
      that
      Executive may discuss such terms with members of his immediate family and any
      legal, tax or accounting specialists who provide Executive with individual
      legal, tax or accounting advice. 

    

    8.
      Covenants.
      In
      addition to the obligations to which the Executive agreed by executing the
      Proprietary Agreement, Executive understands and agrees that during the term
      of
      Executive’s employment with the Company, and for the greater of (i) the duration
      of any payments to Executive of severance benefits pursuant to Section 4 of
      this
      Agreement or (ii) 3 (three) years after the termination of Executive’s
      employment with the Company, Executive will not do any of the following:

    

    8.1
      Compete.
      Without
      the Company’s prior written consent, directly or indirectly be employed or
      involved with any business developing or exploiting any products or services
      that are specifically using the Company’s technology and on which Executive
      worked or about which Executive learned proprietary information or trade secrets
      of the Company during Executive’s employment with the Company. 

     

    8.2
      Solicit
      Business.
      Solicit
      or influence or attempt to influence any client, customer or other person
      involved with the Company either directly or indirectly, to direct his, her
      or
      its purchase of the Company’s products and/or services to any person, firm,
      corporation, institution or other entity in competition with the business of
      the
      Company. 

    

    8.3
      Solicit
      Personnel.
      Solicit
      or influence or attempt to influence any of the Company’s employees, consultants
      or other service providers to terminate or otherwise cease his, her or its
      employment, consulting or service relationships with the Company or to become
      an
      employee, consultant or service provider of any competitor of the Company.
      

    

    9.
      Breach
      of the Agreement.
      Executive acknowledges that upon his breach of this Agreement or the Proprietary
      Agreement, the Company would sustain irreparable harm from such breach, and,
      therefore, Executive agrees that in addition to any other remedies which the
      Company may have under this Agreement or otherwise, the Company shall be
      entitled to obtain equitable relief, including specific performance and
      injunctions, restraining Executive from committing or continuing any such
      violation of the Agreement or the Proprietary Agreement. Executive acknowledges
      and agrees that upon Executive’s material or intentional breach of any of the
      provisions of the Agreement (including Section 8) or the Proprietary Agreement,
      in addition to any other remedies the Company may have under this Agreement
      or
      otherwise, the Company’s obligations to provide benefits to Executive as
      described in this Agreement, including without limitation those benefits
      provided in Section 4, shall immediately terminate. 

    

    
      
         

      

      
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    10.
      Entire
      Agreement.
      This
      Agreement, including the Proprietary Agreement that the Executive has signed,
      sets forth the entire agreement and understanding of the parties relating to
      the
      subject matter herein, supersedes any prior agreement, and merges all prior
      discussions between them. 

    

    11.
      Conflicts.
      Executive represents and warrants that his performance of all the terms of
      this
      Agreement will not breach any other agreement or understanding to which
      Executive is a party. Executive has not, and will not during the term of this
      Agreement, enter into any oral or written agreement in conflict with any of
      the
      provisions of this Agreement. 

    

    12.
      Dispute
      Resolution.
      In the
      event of any dispute, controversy or claim arising under or in connection with
      this Agreement, or the breach hereof (including a dispute as to whether Cause
      or
      Resignation for Good Reason exists), the parties hereto shall first submit
      their
      dispute to formal mediation. The Company shall select a mediator reasonably
      acceptable to both parties. In the event that the parties cannot reach
      resolution through formal mediation, the dispute shall be settled by arbitration
      in Seattle, Washington, in accordance with the Rules of the American Arbitration
      Association then in effect. Each party shall pay his, her or its own costs
      (including attorneys’ fees) in connection with such mediation or arbitration. To
      the extent such mediation or arbitration requires the submission of any
      information that either party claims is confidential information, the parties
      agree that such mediation or arbitration shall be confidential proceeding.
      Judgment upon the award rendered by the mediator or arbitrator may be entered
      in
      any court of competent jurisdiction. If any proceeding is necessary to enforce
      the mediation or arbitration award, the prevailing party shall be entitled
      to
      reasonable attorneys fees and costs and disbursements, in addition to any other
      relief to which such party may be entitled. Notwithstanding the foregoing,
      the
      Company shall be entitled to seek equitable relief directly from a court of
      competent jurisdiction (without prior arbitration) with respect to any alleged
      breach of the Proprietary Agreement or Section 8, including specific performance
      and injunctions, restraining Executive from committing or continuing to commit
      such alleged breach. 

    

    13.
      Successors.
      Any
      successor to the Company (whether direct or indirect and whether by purchase,
      lease, merger, consolidation, liquidation or otherwise) to all or substantially
      all of the Company’s business and/or assets shall assume the obligations under
      this Agreement and agrees expressly to perform the obligations under this
      Agreement in the same manner and to the same extent as the Company would be
      required to perform such obligations in the absence of a succession. The terms
      of this Agreement and all of Executive’s rights hereunder shall inure to the
      benefit of, and be enforceable by, Executive’s personal or legal
      representatives, executors, administrators, successors, heirs, distributees,
      devisees and legatees. 

    

    14.
      Miscellaneous
      Provisions.
      

    

    14.1
      Amendments
      and Waivers.
      Any
      term of this Agreement may be amended or waived only with the written consent
      of
      the parties. The failure by either party to enforce any rights under this
      Agreement shall not be construed as a waiver of any rights of such party.

    

    14.2
      Notices.
      Any
      notice required or permitted by this Agreement shall be in writing and shall
      be
      deemed sufficient upon receipt, when delivered personally or by a
      nationally-recognized delivery service (such as Federal Express or UPS), or
      48
      hours after being deposited in the U.S. mail as certified or registered mail
      with postage prepaid, if such notice is addressed to the party to be notified
      at
      such party’s address as set forth below or as subsequently modified by written
      notice. 

    

    
      
         

      

      
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    14.3
      Choice
      of Law.
      The
      validity, interpretation, construction and performance of this Agreement shall
      be governed by the laws of the State of Washington, without giving effect to
      its
      or any other jurisdiction’s principles of conflict of laws. 

    

    14.4
      Severability.
      If one
      or more provisions of this Agreement are held to be unenforceable under
      applicable law, the parties agree to renegotiate such provision in good faith.
      In the event that the parties cannot reach a mutually agreeable and enforceable
      replacement for such provision, then (i) such provision shall be excluded from
      this Agreement, (ii) the balance of the Agreement shall be interpreted as if
      such provision were so excluded and (iii) the balance of the Agreement shall
      be
      enforceable in accordance with its terms. 

    

    14.5
      Counterparts.
      This
      Agreement may be executed in counterparts, each of which shall be deemed an
      original, but all of which together will constitute one and the same instrument.
      

    

    14.6
      Advice
      of Counsel.
      Each
      party to this agreement acknowledges that, in executing this Agreement, such
      party has had the opportunity to seek the advice of independent legal counsel,
      and has read and understood all of the terms and provisions of this Agreement.
      This Agreement shall not be construed against any party by reason of the
      drafting of preparation hereof. 

    

    [remainder
      of page intentionally left blank]

    
      
         

      

      
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    The
      parties have executed this Employment Agreement as of the date first written
      above. 

    
      	 	 	 
	 	
              COMPANY:

               

              REFINERY
                SCIENCE CORP. 

            
	 
 	 
 	 
 
	
            	By:  	 
	 	
              

              Name:
                David Rendina

              Title:
                President

            
	 	 
	 	
              Address:
                500 W. University Ave., #321 Burges Hall

              El
                Paso, Texas 79968

            

      	 	 	 
	 	EXECUTIVE:
	 
 	 
 	 
 
	 	By:  	
            
	 	
              
Name:
              Thomas Bugg
	 	
              Address:
                __________________________

              __________________________

            

      
        
           

        

        
          10

          
            

          

        

        
           

        

      

    

     

    EXHIBIT
      A 

    

    INDEMNIFICATION
      AGREEMENT

    

    This
      Indemnification Agreement (the “Agreement”) is made as of February 9, 2007, by
      and between Refinery Science Corp., a Texas corporation (the “Company”), and
      Thomas Bugg (the “Indemnitee”).

    

    RECITALS

    

    The
      Company and Indemnitee recognize the increasing difficulty in obtaining
      liability insurance for directors, officers and key employees, the significant
      increases in the cost of such insurance and the general reductions in the
      coverage of such insurance. The Company and Indemnitee further recognize the
      substantial increase in corporate litigation in general, subjecting directors,
      officers and key employees to expensive litigation risks at the same time as
      the
      availability and coverage of liability insurance has been severely limited.
      Indemnitee does not regard the current protection available as adequate under
      the present circumstances, and Indemnitee and agents of the Company may not
      be
      willing to continue to serve as agents of the Company without additional
      protection. The Company desires to attract and retain the services of highly
      qualified individuals, such as Indemnitee, and to indemnify its directors,
      officers and key employees so as to provide them with the maximum protection
      permitted by law.

    

    AGREEMENT

    

    In
      consideration of the mutual promises made in this Agreement, and for other
      good
      and valuable consideration, receipt of which is hereby acknowledged, the Company
      and Indemnitee hereby agree as follows:

    

    1.
      Indemnification.

    

    (a)
      Third
      Party Proceedings.
      The
      Company shall indemnify Indemnitee if Indemnitee is or was a party or is
      threatened to be made a party to any threatened, pending or completed action,
      suit or proceeding, whether civil, criminal, administrative or investigative
      (other than an action by or in the right of the Company) by reason of the fact
      that Indemnitee is or was a director, officer, employee or agent of the Company,
      or any subsidiary of the Company, by reason of any action or inaction on the
      part of Indemnitee while an officer or director or by reason of the fact that
      Indemnitee is or was serving at the request of the Company as a director,
      officer, employee or agent of another corporation, partnership, joint venture,
      trust or other enterprise, against expenses (including attorneys’ fees),
      judgments, fines and amounts paid in settlement (if such settlement is approved
      in advance by the Company, which approval shall not be unreasonably withheld)
      actually and reasonably incurred by Indemnitee in connection with such action,
      suit or proceeding if Indemnitee acted in good faith and in a manner Indemnitee
      reasonably believed to be in or not opposed to the best interests of the
      Company, and, with respect to any criminal action or proceeding, had no
      reasonable cause to believe Indemnitee’s conduct was unlawful. The termination
      of any action, suit or proceeding by judgment, order, settlement, conviction,
      or
      upon a plea of nolo contendere or its equivalent, shall not, of itself, create
      a
      presumption that Indemnitee did not act in good faith and in a manner which
      Indemnitee reasonably believed to be in or not opposed to the best interests
      of
      the Company, or, with respect to any criminal action or proceeding, that
      Indemnitee had reasonable cause to believe that Indemnitee’s conduct was
      unlawful.

    

    
      
         

      

      
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    (b)
      Proceedings
      by or in the right of the Company.
      The
      Company shall indemnify Indemnitee if Indemnitee was or is a party or is
      threatened to be made a party to any threatened, pending or completed action
      or
      proceeding by or in the right of the Company or any subsidiary of the Company
      to
      procure a judgment in its favor by reason of the fact that Indemnitee is or
      was
      a director, officer, employee or agent of the Company, or any subsidiary of
      the
      Company, by reason of any action or inaction on the part of Indemnitee while
      an
      officer or director or by reason of the fact that Indemnitee is or was serving
      at the request of the Company as a director, officer, employee or agent of
      another corporation, partnership, joint venture, trust or other enterprise,
      against expenses (including attorneys’ fees) and, to the fullest extent
      permitted by law, amounts paid in settlement (if such settlement is approved
      in
      advance by the Company, which approval shall not be unreasonably withheld),
      in
      each case to the extent actually and reasonably incurred by Indemnitee in
      connection with the defense or settlement of such action or suit if Indemnitee
      acted in good faith and in a manner Indemnitee reasonably believed to be in
      or
      not opposed to the best interests of the Company and its stockholders, except
      that no indemnification shall be made in respect of any claim, issue or matter
      as to which Indemnitee shall have been finally adjudicated by court order or
      judgment to be liable to the Company in the performance of Indemnitee’s duty to
      the Company and its stockholders unless and only to the extent that the court
      in
      which such action or proceeding is or was pending shall determine upon
      application that, in view of all the circumstances of the case, Indemnitee
      is
      fairly and reasonably entitled to indemnity for such expenses which such court
      shall deem proper.

    

    (c)
      Mandatory
      Payment of Expenses.
      To the
      extent that Indemnitee has been successful on the merits or otherwise in defense
      of any action, suit or proceeding referred to in Section 1(a) or Section 1(b)
      or
      the defense of any claim, issue or matter therein, Indemnitee shall be
      indemnified against expenses (including attorneys’ fees) actually and reasonably
      incurred by Indemnitee in connection therewith.

    

    2.
      No
      Employment Rights.
      Nothing
      contained in this Agreement is intended to create in Indemnitee any right to
      continued employment.

    

    3.
      Expenses;
      Indemnification Procedure.

    

    (a)
      Advancement
      of Expenses.
      The
      Company shall advance all expenses incurred by Indemnitee in connection with
      the
      investigation, defense, settlement or appeal of any civil or criminal action,
      suit or proceeding referred to in Section l(a) or Section 1(b) hereof (including
      amounts actually paid in settlement of any such action, suit or proceeding).
      Indemnitee hereby undertakes to repay such amounts advanced only if, and to
      the
      extent that, it shall ultimately be determined that Indemnitee is not entitled
      to be indemnified by the Company as authorized hereby.

    

    
      
         

      

      
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    (b)
      Notice/Cooperation
      by Indemnitee.
      Indemnitee shall, as a condition precedent to his or her right to be indemnified
      under this Agreement, give the Company notice in writing as soon as practicable
      of any claim made against Indemnitee for which indemnification will or could
      be
      sought under this Agreement. Notice to the Company shall be directed to the
      President of the Company and shall be given in accordance with the provisions
      of
      Section 12(d) below. In addition, Indemnitee shall give the Company such
      information and cooperation as it may reasonably require and as shall be within
      Indemnitee’s power.

    

    (c)
      Procedure.
      Any
      indemnification and advances provided for in Section 1 and this Section 3 shall
      be made no later than twenty (20) days after receipt of the written request
      of
      Indemnitee. If a claim under this Agreement, under any statute, or under any
      provision of the Company’s Articles of Incorporation or Bylaws providing for
      indemnification, is not paid in full by the Company within twenty (20) days
      after a written request for payment thereof has first been received by the
      Company, Indemnitee may, but need not, at any time thereafter bring an action
      against the Company to recover the unpaid amount of the claim and, subject
      to
      Section 11 of this Agreement, Indemnitee shall also be entitled to be paid
      for
      the expenses (including attorneys’ fees) of bringing such action. It shall be a
      defense to any such action (other than an action brought to enforce a claim
      for
      expenses incurred in connection with any action, suit or proceeding in advance
      of its final disposition) that Indemnitee has not met the standards of conduct
      which make it permissible under applicable law for the Company to indemnify
      Indemnitee for the amount claimed, but the burden of proving such defense shall
      be on the Company and Indemnitee shall be entitled to receive interim payments
      of expenses pursuant to Section 3(a) unless and until such defense may be
      finally adjudicated by court order or judgment from which no further right
      of
      appeal exists. It is the parties’ intention that if the Company contests
      Indemnitee’s right to indemnification, the question of Indemnitee’s right to
      indemnification shall be for the court to decide, and neither the failure of
      the
      Company (including its Board of Directors, any committee or subgroup of the
      Board of Directors, independent legal counsel, or its stockholders) to have
      made
      a determination that indemnification of Indemnitee is proper in the
      circumstances because Indemnitee has met the applicable standard of conduct
      required by applicable law, nor an actual determination by the Company
      (including its Board of Directors, any committee or subgroup of the Board of
      Directors, independent legal counsel, or its stockholders) that Indemnitee
      has
      not met such applicable standard of conduct, shall create a presumption that
      Indemnitee has or has not met the applicable standard of conduct.

    

    (d)
      Notice
      to Insurers.
      If, at
      the time of the receipt of a notice of a claim pursuant to Section 3(b) hereof,
      the Company has director and officer liability insurance in effect, the Company
      shall give prompt notice of the commencement of such proceeding to the insurers
      in accordance with the procedures set forth in the respective policies. The
      Company shall thereafter take all necessary or desirable action to cause such
      insurers to pay, on behalf of the Indemnitee, all amounts payable as a result
      of
      such proceeding in accordance with the terms of such policies.

    

    (e)
      Selection
      of Counsel.
      In the
      event the Company shall be obligated under Section 3(a) hereof to pay the
      expenses of any proceeding against Indemnitee, the Company, if appropriate,
      shall be entitled to assume the defense of such proceeding, with counsel
      approved by Indemnitee, upon the delivery to Indemnitee of written notice of
      its
      election so to do. After delivery of such notice, approval of such counsel
      by
      Indemnitee and the retention of such counsel by the Company, the Company will
      not be liable to Indemnitee under this Agreement for any fees of counsel
      subsequently incurred by Indemnitee with respect to the same proceeding,
      provided that (i) Indemnitee shall have the right to employ counsel in any
      such
      proceeding at Indemnitee’s expense; and (ii) if (A) the employment of counsel by
      Indemnitee has been previously authorized by the Company, (B) Indemnitee shall
      have reasonably concluded that there may be a conflict of interest between
      the
      Company and Indemnitee in the conduct of any such defense or (C) the Company
      shall not, in fact, have employed counsel to assume the defense of such
      proceeding, then the fees and expenses of Indemnitee’s counsel shall be at the
      expense of the Company.

    

    
      
         

      

      
        13

        
          

        

      

      
         

      

       

    

    4.
      Additional
      Indemnification Rights; Nonexclusivity.

    

    (a)
      Scope.
      Notwithstanding any other provision of this Agreement, the Company hereby agrees
      to indemnify the Indemnitee to the fullest extent permitted by law,
      notwithstanding that such indemnification is not specifically authorized by
      the
      other provisions of this Agreement, the Company’s Articles of Incorporation, the
      Company’s Bylaws or by statute. In the event of any change, after the date of
      this Agreement, in any applicable law, statute, or rule which expands the right
      of a Washington corporation to indemnify a member of its board of directors
      or
      an officer, such changes shall be deemed to be within the purview of
      Indemnitee’s rights and the Company’s obligations under this Agreement. In the
      event of any change in any applicable law, statute or rule which narrows the
      right of a Washington corporation to indemnify a member of its board of
      directors or an officer, such changes, to the extent not otherwise required
      by
      such law, statute or rule to be applied to this Agreement shall have no effect
      on this Agreement or the parties’ rights and obligations hereunder.

     

    (b)
      Nonexclusivity.
      The
      indemnification provided by this Agreement shall not be deemed exclusive of
      any
      rights to which Indemnitee may be entitled under the Company’s Articles of
      Incorporation, its Bylaws, any agreement, any vote of stockholders or
      disinterested members of the Company’s Board of Directors, the Texas Business
      Corporation Act (and any successor statute applicable to the Company), or
      otherwise, both as to action in Indemnitee’s official capacity and as to action
      in another capacity while holding such office. The indemnification provided
      under this Agreement shall continue as to Indemnitee for any action taken or
      not
      taken while serving in an indemnified capacity even though he or she may have
      ceased to serve in any such capacity at the time of any action, suit or other
      covered proceeding.

    

    5.
      Partial
      Indemnification.
      If
      Indemnitee is entitled under any provision of this Agreement to indemnification
      by the Company for some or a portion of the expenses, judgments, fines or
      penalties actually or reasonably incurred in the investigation, defense, appeal
      or settlement of any civil or criminal action, suit or proceeding, but not,
      however, for the total amount thereof, the Company shall nevertheless indemnify
      Indemnitee for the portion of such expenses, judgments, fines or penalties
      to
      which Indemnitee is entitled.

    

    6.
      Mutual
      Acknowledgment.
      Both
      the Company and Indemnitee acknowledge that in certain instances, Federal law
      or
      public policy may override applicable state law and prohibit the Company from
      indemnifying its directors and officers under this Agreement or otherwise.
      For
      example, the Company and Indemnitee acknowledge that the Securities and Exchange
      Commission (the “SEC”) has taken the position that indemnification is not
      permissible for liabilities arising under certain federal securities laws,
      and
      federal legislation prohibits indemnification for certain ERISA violations.
      Indemnitee understands and acknowledges that the Company has undertaken or
      may
      be required in the future to undertake with the SEC to submit the question
      of
      indemnification to a court in certain circumstances for a determination of
      the
      Company’s right under public policy to indemnify Indemnitee.

    

    
      
         

      

      
        14

        
          

        

      

      
         

      

       

    

    7.
      Officer
      and Director Liability Insurance.
      The
      Company shall, from time to time, make the good faith determination whether
      or
      not it is practicable for the Company to obtain and maintain a policy or
      policies of insurance with reputable insurance companies providing the officers
      and directors of the Company with coverage for losses from wrongful acts, or
      to
      ensure the Company’s performance of its indemnification obligations under this
      Agreement. Among other considerations, the Company will weigh the costs of
      obtaining such insurance coverage against the protection afforded by such
      coverage. In all policies of director and officer liability insurance,
      Indemnitee shall be named as an insured in such a manner as to provide
      Indemnitee the same rights and benefits as are accorded to the most favorably
      insured of the Company’s directors, if Indemnitee is a director; or of the
      Company’s officers, if Indemnitee is not a director of the Company but is an
      officer; or of the Company’s key employees, if Indemnitee is not an officer or
      director but is a key employee. Notwithstanding the foregoing, the Company
      shall
      have no obligation to obtain or maintain such insurance if the Company
      determines in good faith that such insurance is not reasonably available, if
      the
      premium costs for such insurance are disproportionate to the amount of coverage
      provided, if the coverage provided by such insurance is limited by exclusions
      so
      as to provide an insufficient benefit, or if Indemnitee is covered by similar
      insurance maintained by a parent or subsidiary of the Company.

    

    8.
      Severability.
      Nothing
      in this Agreement is intended to require or shall be construed as requiring
      the
      Company to do or fail to do any act in violation of applicable law. The
      Company’s inability, pursuant to court order, to perform its obligations under
      this Agreement shall not constitute a breach of this Agreement. The provisions
      of this Agreement shall be severable as provided in this Section 8. If this
      Agreement or any portion hereof shall be invalidated on any ground by any court
      of competent jurisdiction, then the Company shall nevertheless indemnify
      Indemnitee to the full extent permitted by any applicable portion of this
      Agreement that shall not have been invalidated, and the balance of this
      Agreement not so invalidated shall be enforceable in accordance with
      its

    terms.

    

    9.
      Exceptions.
      Any
      other provision herein to the contrary notwithstanding, the Company shall not
      be
      obligated pursuant to the terms of this Agreement:

    

    (a)
      Claims
      Initiated By Indemnitee.
      To
      indemnify or advance expenses to Indemnitee with respect to proceedings or
      claims initiated or brought voluntarily by Indemnitee and not by way of defense,
      except with respect to proceedings brought to establish or enforce a right
      to
      indemnification under this Agreement or any other statute or law or otherwise
      as
      required under the Texas Business Corporation Act (and any successor statute
      applicable to the Company), but such indemnification or advancement of expenses
      may be provided by the Company in specific cases if the Board of Directors
      finds
      it to be appropriate;

    

    
      
         

      

      
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    (b)
      Lack
      of Good Faith.
      To
      indemnify Indemnitee for any expenses incurred by Indemnitee with respect to
      any
      proceeding instituted by Indemnitee to enforce or interpret this Agreement,
      if a
      court of competent jurisdiction determines that each of the material assertions
      made by Indemnitee in such proceeding was not made in good faith or was
      frivolous;

    

    (c)
      Insured
      Claims.
      To
      indemnify Indemnitee for expenses or liabilities of any type whatsoever
      (including, but not limited to, judgments, fines, ERISA excise taxes or
      penalties, and amounts paid in settlement) to the extent such expenses or
      liabilities have been paid directly to Indemnitee by an insurance carrier under
      a policy of officers’ and directors’ liability insurance maintained by the
      Company; or

    

    (d)
      Claims
      Under Section 16(b).
      To
      indemnify Indemnitee for expenses or the payment of profits arising from the
      purchase and sale by Indemnitee of securities in violation of Section 16(b)
      of
      the Securities Exchange Act of 1934, as amended, or any similar successor
      statute.

    

    10.
      Construction
      of Certain Phrases.

    

    (a)
      For
      purposes of this Agreement, references to the “Company” shall include, in
      addition to the resulting corporation, any constituent corporation (including
      any constituent of a constituent) absorbed in a consolidation or merger which,
      if its separate existence had continued, would have had power and authority
      to
      indemnify its directors, officers, and employees or agents, so that if
      Indemnitee is or was a director, officer, employee or agent of such constituent
      corporation, or is or was serving at the request of such constituent corporation
      as a director, officer, employee or agent of another corporation, partnership,
      joint venture, trust or other enterprise, Indemnitee shall stand in the same
      position under the provisions of this Agreement with respect to the resulting
      or
      surviving corporation as Indemnitee would have with respect to such constituent
      corporation if its separate existence had continued. 

    

    (b)
      For
      purposes of this Agreement, references to “Other Enterprises” shall include
      employee benefit plans; references to “Fines” shall include any excise taxes
      assessed on Indemnitee with respect to an employee benefit plan; and references
      to “Serving at the Request of the Company” shall include any service as a
      director, officer, employee or agent of the Company which imposes duties on,
      or
      involves services by, such director, officer, employee or agent with respect
      to
      an employee benefit plan, its participants, or beneficiaries; and if Indemnitee
      acted in good faith and in a manner Indemnitee reasonably believed to be in
      the
      interest of the participants and beneficiaries of an employee benefit plan,
      Indemnitee shall be deemed to have acted in a manner “Not Opposed to the Bests
      Interests of the Company” as referred to in this Agreement.

    

    11.
      Attorneys’
      Fees.
      In the
      event that any action is instituted by Indemnitee under this Agreement to
      enforce or interpret any of the terms hereof, Indemnitee shall be entitled
      to be
      paid all court costs and expenses, including reasonable attorneys’ fees,
      incurred by Indemnitee with respect to such action, unless as a part of such
      action, the court of competent jurisdiction determines that each of the material
      assertions made by Indemnitee as a basis for such action were not made in good
      faith or were frivolous. In the event of an action instituted by or in the
      name
      of the Company under this Agreement or to enforce or interpret any of the terms
      of this Agreement, Indemnitee shall be entitled to be paid all court costs
      and
      expenses, including attorneys’ fees, incurred by Indemnitee in defense of such
      action (including with respect to Indemnitee’s counterclaims and cross-claims
      made in such action), unless as a part of such action the court determines
      that
      each of Indemnitee’s material defenses to such action were made in bad faith or
      were

    frivolous.

    

    
      
         

      

      
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    12.
      Miscellaneous.

    

    (a)
      Governing
      Law.
      This
      Agreement and all acts and transactions pursuant hereto and the rights and
      obligations of the parties hereto shall be governed, construed and interpreted
      in accordance with the laws of the State of Washington, without giving effect
      to
      principles of conflict of law.

    

    (b)
      Entire
      Agreement; Enforcement of Rights.
      This
      Agreement sets forth the entire agreement and understanding of the parties
      relating to the subject matter herein and merges all prior discussions between
      them. No modification of or amendment to this Agreement, nor any waiver of
      any
      rights under this Agreement, shall be effective unless in writing signed by
      the
      parties to this Agreement. The failure by either party to enforce any rights
      under this Agreement shall not be construed as a waiver of any rights of such
      party.

    

    (c)
      Construction.
      This
      Agreement is the result of negotiations between and has been reviewed by each
      of
      the parties hereto and their respective counsel, if any; accordingly, this
      Agreement shall be deemed to be the product of all of the parties hereto, and
      no
      ambiguity shall be construed in favor of or against any one of the parties
      hereto.  

    

    (d)
      Notices.
      Any
      notice, demand or request required or permitted to be given under this Agreement
      shall be in writing and shall be deemed sufficient when delivered personally
      or
      sent by telegram or forty-eight (48) hours after being deposited in the U.S.
      mail, as certified or registered mail, with postage prepaid, and addressed
      to
      the party to be notified at such party’s address as set forth below or as
      subsequently modified by written notice.

    

    (e)
      Counterparts.
      This
      Agreement may be executed in two or more counterparts, each of which shall
      be
      deemed an original and all of which together shall constitute one instrument.
      

    

    (f)
      Successors
      and Assigns.
      This
      Agreement shall be binding upon the Company and its successors and assigns,
      and
      inure to the benefit of Indemnitee and Indemnitee’s heirs, legal representatives
      and assigns.

    

    [remainder
      of page intentionally left blank]

    

    
      
         

      

      
        17

        
          

        

      

      
         

      

       

    

    (g)
      Subrogation.
      In the
      event of payment under this Agreement, the Company shall be subrogated to the
      extent of such payment to all of the rights of recovery of Indemnitee, who
      shall
      execute all documents required and shall do all acts that may be necessary
      to
      secure such rights and to enable the Company to effectively

    bring
      suit to enforce such rights.

    

    The
      parties hereto have executed this Agreement as of the day and year set forth
      on
      the first page of this Agreement.

    
      	 	 	 
	 	
              COMPANY:

               

              REFINERY SCIENCE
                CORP.

            
	 
 	 
 	 
 
	 	By:  	 
	 	
              

              Name:
                David Rendina 

              Title:
                President 

              

              Address:
                500 W. University Ave., #321 Burges Hall

              El
                Paso, TX 79968

            
	 	
            

      	 	 	 
	 	
              AGREED TO AND ACCEPTED:

               

              INDEMNITEE:

            
	 
 	 
 	 
 
	 	By:  	 
	 	
              

              Name:
                Thomas Bugg

              

              Address:
                ____________________________

              __________________________

            
	 	
            

    

    
      
         

      

      
        18

        
          

        

      

      
         

      

    

    

    EXHIBIT
      B

    

    PROPRIETARY
      INFORMATION AND

    INVENTIONS
      AGREEMENT

    

    REFINERY
      SCIENCE CORP.

    

    In
      consideration of my employment or consultancy (as the case may be) by Refinery
      Science Corp., a Texas corporation (the “Company”, which term includes the
      Company’s subsidiaries and any of its affiliates), any opportunity for
      advancement or reassignment that the Company may offer me, the compensation
      paid
      to me in connection with such employment and stock options which have been
      or
      may be granted to me by the Company, I, Thomas Bugg, hereby agree as follows:
      

    

    1.
      Whenever used in this Agreement the following terms will have the following
      meanings: 

    

    1.1
      “Invention(s)”
means
      discoveries, developments, designs, improvements, inventions and/or works of
      authorship, whether or not patentable, copyrightable or otherwise legally
      protectable. This includes, but is not limited to, any new machine, article
      of
      manufacture, biological material, method, process, technique, use, equipment,
      device, apparatus, system, compound, formulation, composition of matter, design
      or configuration of any kind, or any improvement thereon. This does not include
      any Invention that is available to the public or becomes available to the public
      through no fault, unauthorized act or omission of the Company.

    

    1.2
      “Proprietary
      Information”
means
      information or physical material not generally known or available outside the
      Company or information or physical material entrusted to the Company by third
      parties. This includes, but is not limited to, Inventions, confidential
      knowledge, trade secrets, copyrights, product ideas, techniques, processes,
      formulas, object codes, biological materials such as nucleic acids, proteins,
      organisms, strands, cell lines, antibodies or antigen source materials, or
      fragments thereof, mask works and/or any other information of any type relating
      to documentation, data, schematics, algorithms, flow charts, mechanisms,
      research, manufacture, improvements, assembly, installation, marketing,
      forecasts, pricing, customers, the salaries, duties, qualifications, performance
      levels and terms of compensation of other employees, and/or cost or other
      financial data concerning any of the foregoing or the Company and its
      operations. Proprietary Information may be contained in material such as
      drawings, samples, procedures, specifications, reports, studies, customer or
      supplier lists, budgets, cost or price lists, compilations or computer programs,
      or may be in the nature of unwritten knowledge or know-how. 

    

    1.3
      “Company
      Documents”
means
      documents or other media that contain Proprietary Information or any other
      information concerning the business, operations or plans of the Company, whether
      such documents have been prepared by me or by others. “Company Documents”
include, but are not limited to, blueprints, drawings, photographs, charts,
      graphs, notebooks, customer lists, computer disks, tapes or printouts, sound
      recordings and other printed, typewritten or handwritten documents.

    

    
      
         

      

      
        19

        
          

        

      

      
         

      

       

    

    2.
      I
      understand that the Company is engaged in a continuous program of research,
      development and production. I also recognize that the Company possesses or
      has
      rights to Proprietary Information (including certain information developed
      by me
      during my employment or consultancy (as the case may be) by the Company that
      has
      commercial value in the Company’s business. 

    

    3.
      I
      understand that the Company possesses Company Documents that are important
      to
      its business. 

    

    4.
      I
      understand and agree that my employment or consultancy (as the case may be)
      creates a relationship of confidence and trust between me and the Company with
      respect to (i) all Proprietary Information and (ii) the confidential information
      of another person or entity with which the Company has a business relationship
      and is required by terms of an agreement with such entity or person to hold
      such
      information as confidential. At all times, both during my employment or
      consultancy (as the case may be) by the Company and after its termination,
      I
      will keep in confidence and trust all such information, and I will not use
      or
      disclose any such information without the written consent of the Company, except
      as may be necessary in the ordinary course of performing my duties to the
      Company. 

    

    5.
      In
      addition, I hereby agree as follows: 

    

    5.1
      All
      Proprietary Information will be the sole property of the Company and its
      assigns, and the Company and its assigns will be the sole owner of all trade
      secrets, patents, copyrights and other rights in connection therewith. I hereby
      assign to the Company any rights I may presently have or I may acquire in such
      Proprietary Information. 

    

    5.2
      All
      Company Documents, apparatus, equipment and other physical property, whether
      or
      not pertaining to Proprietary Information, furnished to me by the Company or
      produced by me or others in connection with my employment or consultancy (as
      the
      case may be) will be and remain the sole property of the Company. I will return
      to the Company all such Company Documents, materials and property as and when
      requested by the Company, excepting only (i) my personal copies of records
      relating to my compensation; (ii) my personal copies of any materials previously
      distributed generally to stockholders of the Company; and (iii) my copy of
      this
      Agreement (my “Personal Documents”). Even if the Company does not so request, I
      will return all such Company Documents, materials and property upon termination
      of my employment or consultancy (as the case may be) by me or by the Company
      for
      any reason, and, except for my Personal Documents, I will not take with me
      any
      such Company Documents, material or property or any reproduction thereof upon
      such termination. 

    

    5.3
      Except with respect to those items identified under Section 1 of Exhibit A
      hereto, I will promptly disclose to the Company, or any persons designated
      by
      it, all Inventions relating to the Field, as defined below, made or conceived,
      reduced to practice or learned by me, either alone or jointly with others,
      during the term of my employment or consultancy (as the case may be) and for
      one
      (1) year thereafter. The Company acknowledges that the Executive has been
      involved in upgradering technology and development business for the past several
      years and has knowledge and information related to upgrading outside of the
      Company’s technology. For purposes of this Agreement, “Field” means research,
      development, marketing or manufacturing of any products also researched,
      developed, marketed or manufactured by the Company and related to its
      proprietary information, rights, technologies or trade secrets. 

    

    
      
         

      

      
        20

        
          

        

      

      
         

      

       

    

    5.4
      Except with respect to those items identified under Section 1 of Exhibit A
      hereto, all Inventions that I conceive, reduce to practice, develop or have
      developed (in whole or in part, either alone or jointly with others) during
      the
      term of my employment or consultancy (as the case may be) will be the sole
      property of the Company and its assigns to the maximum extent permitted by
      law
      (and to the fullest extent permitted by law will be deemed “works made for
      hire”), and the Company and its assigns will be the sole owner of all patents,
      copyrights and other rights in connection therewith. I hereby assign to the
      Company my entire right, title and interest, whether possessed now or later
      acquired, in such Inventions. I agree that any Invention required to be
      disclosed under paragraph (c) above within one (1) year after the term of my
      employment or consultancy (as the case may be) will be presumed to have been
      conceived during my employment or consultancy (as the case may be). I understand
      that I may overcome the presumption by showing that such Invention was conceived
      after the termination of my employment or consultancy (as the case may be).
      

    

    NOTICE
      REQUIRED BY REVISED CODE OF WASHINGTON 49.44.140: ANY ASSIGNMENT OF INVENTIONS
      REQUIRED BY THIS AGREEMENT DOES NOT APPLY TO AN INVENTION FOR WHICH NO
      EQUIPMENT, SUPPLIES, FACILITIES OR TRADE SECRET INFORMATION OF THE COMPANY
      WAS
      USED AND WHICH WAS DEVELOPED ENTIRELY ON THE EMPLOYEE’S OWN TIME, UNLESS (a) THE
      INVENTION RELATES (i) DIRECTLY TO THE BUSINESS OF THE COMPANY OR (ii) TO THE
      COMPANY’S ACTUAL OR DEMONSTRABLY ANTICIPATED RESEARCH OR DEVELOPMENT, OR (b) THE
      INVENTION RESULTS FROM ANY WORK PERFORMED BY THE EMPLOYEE FOR THE COMPANY.
      

    

    5.5
      Except with respect to those items identified under Section 1 of Exhibit A
      hereto, during or after my employment, upon the Company’s request and at the
      company’s expense, I will execute all papers in a timely manner and do all acts
      necessary to apply for, secure, maintain or enforce patents, copyrights and
      any
      other legal rights in the United States and foreign countries in Inventions
      assigned to the Company under this Agreement, and I will execute all papers
      and
      do any and all acts necessary to assign and transfer to the Company or any
      person or party to whom the Company is obligated to assign its rights, my entire
      right, title and interest in and to such Inventions that are related to the
      Company’s proprietary information, rights, technologies or trade secrets. This
      obligation will survive the termination of my employment or consultancy (as
      the
      case may be), but the Company will compensate me at a reasonable rate after
      such
      termination for time actually spent by me at the Company’s request on such
      assistance. 

    

    5.6
      So
      that the Company may be aware of the extent of any other demands upon my time
      and attention, I will disclose to the Company (such disclosure to be held in
      confidence by the Company) the nature and scope of any other business activity
      in which I am or become engaged during the term of my employment or consultancy
      (as the case may be). During the term of my employment or consultancy (as the
      case may be), I will not engage in any other business activity that is related
      to the Company’s business. or its actual or demonstrably anticipated research
      and development. 

    

    
      
         

      

      
        21

        
          

        

      

      
         

      

       

    

    6.
      As a
      matter of record I attach hereto as Exhibit
      A
      is a
      complete list of all Inventions (including patent applications and patents)
      relevant to the Field that have been made, conceived, developed or first reduced
      to practice by me, alone or jointly with others, prior to my employment or
      consultancy (as the case may be) with the Company that I desire to remove from
      the operation of this Agreement, and I covenant that such list is complete.
      If
      no such list is attached to this Agreement, I represent that I have no such
      Inventions at the time of signing this Agreement. If in the course of my
      employment or consultancy with the Company, I use or incorporate into a product
      or process an Invention not covered by Paragraph 5(d) of this Agreement in
      which
      I have an interest, the Company is hereby granted a nonexclusive, fully paid-up,
      royalty-free, perpetual, worldwide license of my interest to use and sublicense
      such Invention without restriction of any kind. 

    

    7.
      I
      represent that my execution of this Agreement, my employment or consultancy
      (as
      the case may be) with the Company and my performance of my proposed duties
      to
      the Company in the development of its business will not violate any obligations
      I may have to any former employer, or other person or entity, including any
      obligations to keep confidential any proprietary or confidential information
      of
      any such employer. I have not entered into, and I will not enter into, any
      agreement that conflicts with or would, if performed by me, cause me to breach
      this Agreement. 

    

    8.
      In the
      course of performing my duties to the Company, I will not utilize any
      proprietary or confidential information of any former employer. 

    

    9.
      I
      agree that this Agreement does not constitute an employment or consultancy
      (as
      the case may be) agreement for a specific duration and that, unless otherwise
      provided in a written contract signed by both an officer of the Company and
      me.

    

    10.
      This
      Agreement will be effective as of the first day of my employment or consultancy
      (as the case may be) by the Company and the obligations hereunder will continue
      beyond the termination of my employment and will be binding on my heirs, assigns
      and legal representatives. This Agreement is for the benefit of the Company,
      its
      successors and assigns (including all subsidiaries, affiliates, joint ventures
      and associated companies) and is not conditioned on my employment for any period
      of time or compensation therefor. I agree that the Company is entitled to
      communicate any obligations under this Agreement to any future employer or
      potential employer of mine. 

    

    11.
      Without the Company’s prior written consent, for a period of three (3) years
      following the termination of this Agreement, I shall not directly or indirectly
      be employed or involved with any business developing or exploiting any products
      or services that are competitive with products or services (i) being
      commercially developed or exploited by the Company during Executive’s employment
      and (ii) on which Executive worked or about which Executive learned proprietary
      information or trade secrets of the Company during Executive’s employment with
      the Company. 

    

    
      
         

      

      
        22

        
          

        

      

      
         

      

       

    

    12.
      During the term of my employment and for two (2) years thereafter, I will not
      personally or through others recruit, solicit or induce in any way any employee,
      advisor or consultant of the Company to terminate his or her relationship with
      the Company. 

    

    13.
      I
      acknowledge that any violation of this Agreement by me will cause irreparable
      injury to the Company and I agree that the Company will be entitled to
      extraordinary relief in court, including, but not limited to, temporary
      restraining orders, preliminary injunctions and permanent injunctions without
      the necessity of posting a bond or other security and without prejudice to
      any
      other rights and remedies that the Company may have for a breach of this
      Agreement. 

    

    14.
      I
      agree that any dispute in the meaning, effect or validity of this Agreement
      will
      be resolved in accordance with the laws of the state of Washington without
      regard to its or any other jurisdiction’s conflict of laws provisions. I further
      agree that if one or more provisions of this Agreement are held to be
      unenforceable under applicable Washington law, such provision(s) will be
      excluded from this Agreement and the balance of the Agreement will be
      interpreted as if such provision were so excluded and will be enforceable in
      accordance with its terms. 

    

    15.
      I
      HAVE READ AND UNDERSTOOD THIS AGREEMENT. THIS AGREEMENT MAY ONLY BE MODIFIED
      BY
      A SUBSEQUENT WRITTEN AGREEMENT EXECUTED BY AN OFFICER OF THE COMPANY.

    
      	 	 	 	 
	 	Dated:
              February 9, 2007. 	 
	 By:
	 
   
              	 
 	 
 
	 	Name: Thomas Bugg	  	 
	 	 	
            
	 	
              Accepted
                and Agreed to: 

              

              REFINERY
                SCIENCE CORP. 

            	 
	 	 	 
	 By:	   	 
	 	
              Name:
                David Rendina 

              Title:
                President

            	 
	 	 	 
	 	 	
            

    

     

    
      
         

      

      
        23

        
          

        

      

      
         

      

    

    EXHIBIT
      A

    

    Refinery
      Science Corp. 

    500
      W.
      University Ave., #321 Burges Hall

    El
      Paso,
      TX 79968

    

    February
      9, 2007

    

    Ladies
      and Gentlemen: 

    

    1.
      The
      following is a complete list of all inventions or improvements relevant to
      the
      subject matter of my employment or consultancy (as the case may be) by Refinery
      Science Corp. (the “Company”) that have been made or conceived or first reduced
      to practice by me, alone or jointly with others, prior to my employment or
      consultancy (as the case may be) by the Company that I desire to remove from
      the
      operation of the Proprietary Information and Inventions Agreement entered into
      between the Company and me. 

    

    o
      No inventions or
      improvements.

    

    x
      Any and
      all inventions regarding:

    

    Any
      and
      all inventions created, designed or patented and or any and all inventions
      that
      may be created, designed or patented by Kiril Chukanov individually or thorough
      Chukanov Quantum Energy, jointly or in association with any other individuals,
      companies, research or government institutes.

    This
      will
      specifically include, but not limited whatsoever, Methods and Systems for
      Generating High Energy Photons or technologies related or developed there from
      including US Patent 6,936,971 B2 Issued August 30, 2005.

    

    Any
      and
      all inventions related to ultrasound for upgrading any bitumen/oil based product
      and/or making hydrogen

    

    

    o
      Additional sheets attached.

    

    

    2.
      I
      propose to bring to my employment or consultancy (as the case may be) the
      following materials and documents of a former employer:

    

    x
      No
      materials or documents.

    

    o
      See below:

    

    

    By:
      ___________________________________

    Name:
      Thomas Bugg

     

    
      
         

      

      
        24

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