Document:

Unassociated Document

    Noncompetition,
Nondisclosure and Nonsolicitation Agreement

    

    This Noncompetition, Nondisclosure and
Nonsolicitation Agreement (this “Agreement”)
is made as of February 14, 2008, by and between Best Energy Services, Inc., a
Nevada corporation
(“Buyer”),
and Tony Bruce (“Seller”).

    

    Recitals:

    

    Whereas,
Seller owns all of the issued and outstanding capital stock of Best Well
Service, Inc., a Kansas corporation (the “Company”),
engaged in the business of operating workover rigs and the
rental of oil field services, including operating workover rigs and providing
ancillary equipment and services (the “Business”);

    

    Whereas,
concurrently with the execution and delivery of this Agreement, Buyer is
purchasing from the Seller the Purchased Shares, pursuant to the terms and
conditions of that certain stock purchase agreement dated February 14, 2008 (the
"Stock
Purchase Agreement"). Section 2.4(a)(iv) of the Stock Purchase Agreement
requires that a noncompetition agreement be executed and delivered by Seller at
the Closing. Capitalized terms not expressly defined in this Agreement shall
have the meanings ascribed to them in the Stock Purchase Agreement;

    

    Whereas,
Buyer believes, and Seller hereby acknowledges, that the Confidential
Information (as hereinafter defined) is extremely important to the value of the
Company and to the success of the Business and Buyer desires to protect the
value of the Company and the Business by obtaining Seller’s agreement to refrain
from engaging in certain competition with the Business for a reasonable period
of time in a specified geographical area;

    

    Whereas,
Seller’s covenant not-to-compete and other covenants contained herein are an
important aspect of the Stock Purchase Agreement, and Buyer would not enter into
the Stock Purchase Agreement absent the covenants not-to-compete and other
covenants contained herein;

    

    Whereas, Buyer would suffer
damages, including the loss of profits, if Seller, or any of his affiliates,
engages, directly or indirectly, in competition with Buyer or any of its
affiliates in the Business or otherwise violates the covenants contained herein;
and

    

    Whereas, Buyer and Seller have reached
this agreement in good faith through arms-length negotiations, both with the
benefit of representation of counsel.

    

    Now, Therefore, for and in
consideration of the covenants not-to-compete and other covenants contained
herein and the consideration to be paid therefore, and other good and valuable
consideration, the receipt and adequ-acy of which consideration are hereby
acknowledged, and of the other promises, covenants and conditions contained
herein, the parties hereto agree as follows:

    

    1.           Acknowledgments
By Seller.  Seller acknowledges that Seller has occupied a
position of trust and confidence with the Company prior to the date hereof and
has had access to and has become familiar with all of the proprietary and
confidential financial, commercial, 

     

    
      
        
        

      

      
         

        
          

        

      

      
        
        

      

       

      technical,
engineering or other information of the Company, whether in written, oral,
visual, or electronic form (collectively the "Confidential
Information"), including the following: (a) all information that is a
trade secret under applicable trade secret or other law; (b) all information
concerning product specifications, data, know-how, formulae, compositions,
processes, designs, sketches, photographs, graphs, drawings, samples, inventions
and ideas, past, current and planned research and development, current and
planned manufacturing or distribution methods and processes, customer lists,
current and anticipated customer requirements, price lists, market studies,
business plans, computer hardware, computer software and database technologies,
systems, structures and architectures; (c) all material information concerning
the business and affairs of the Company (which includes historical and current
financial statements, financial projections and budgets, Tax Returns and
accountants’ materials, historical, current and projected sales, capital
spending budgets and plans, business plans, strategic plans, marketing and
advertising plans, publications, client and customer lists and files, contracts,
the names and backgrounds of key personnel and personnel training techniques and
materials, however documented), regardless of the form of the communication; and
(d) all notes, analyses, compilations, studies, summaries and other material
prepared by Seller to the extent containing or based, in whole or in part, upon
any information included in the foregoing.

    

    

    Seller
acknowledges that (a) the Business is regional in scope; (b) the products and
services of the Business are marketed throughout Arizona, Colorado, Kansas,
Nevada, Oklahoma and Texas; (c) the Business competes with other businesses that
are or could be located in the contiguous states to Arizona, Colorado, Kansas,
Nevada, Oklahoma and Texas; (d) Buyer has required that Seller make the
covenants set forth in Section 2 and Section 3 as a
condition to Buyer's acquisition of the Business and the purchase of the
Purchased Shares; (e) the provisions of Section 2 and Section 3 are
reasonable and necessary to protect and preserve the Business and the value of
the Company and Buyer's interests in the Company from and after Closing; and (f)
Buyer would be irreparably damaged if Seller were to breach the covenants set
forth in Section
2 and Section
3.

    

    2.           Confidential
Information. Seller acknowledges and agrees that the protection of the
Confidential Information is necessary to protect and preserve the Business and
the value of the Company. Therefore, Seller hereby agrees not to disclose to any
Persons or use for his own account or for the benefit of any third party any
Confidential Information, whether or not such information is embodied in writing
or other physical or electronic form or is retained in the memory of Seller,
without Buyer's prior written consent, unless and to the extent that the
Confidential Information is or becomes generally known to and available for use
by the public other than as a result of Seller's fault or the fault of any other
Person bound by a duty of confidentiality to Buyer or the Company. Seller agrees
to deliver to Buyer at the time of execution of this Agreement, and at any other
time Buyer may request, all documents, memoranda, notes, plans, records, reports
and other documentation, models, components, devices or computer software or
data, whether embodied in a disk or in other form (and all copies of all of the
foregoing), that contain Confidential Information and any other Confidential
Information that Seller may then possess or have under his control.

     

    
      
        
        

      

      
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    3.           Noncompetition
and Nonsolicitation.  As an inducement for Buyer to enter into
the Stock Purchase Agreement and as additional consideration for the
consideration to be paid to the Company under the Stock Purchase Agreement,
Seller agrees that:

     

    (a)  For a
period of two years after the Closing:

    

    (i) Seller
will not, directly or indirectly, engage or invest in, own, manage, operate,
finance, control or participate in the ownership, management, operation,
financing or control of, be employed or retained by, associated with or in any
manner connected with, or render services or advice or other aid to, or
guarantee any obligation of, any Person engaged in or planning to become engaged
in the industry or any other business whose products or activities compete in
whole or in part with the Business or the Company prior to the Closing or the
business thereafter conducted by Buyer, anywhere in Arizona, Colorado, Kansas,
Nevada, Oklahoma and Texas or any state that is
contiguous thereto; provided,
however,
that Seller may purchase or otherwise acquire up to (but not more than) one
percent of any class of securities of any enterprise (but without otherwise
participating in the activities of such enterprise) if such securities are
listed on any national or regional securities exchange or have been registered
under Section 12(g) of the Securities Exchange Act of 1934. Seller agrees that
this covenant is reasonable with respect to its duration, geographical area and
scope.

    

    (ii) Seller
agrees not to, directly or indirectly, (A) induce or attempt to induce any
employee of the Company who becomes an employee of Buyer in connection with the
purchase of the Company to leave the employ of Buyer; (B) in any way interfere
with the relationship between Buyer and any such employee of Buyer; (C) employ
or otherwise engage as an employee, independent contractor or otherwise any such
employee of Buyer; or (D) induce or attempt to induce any customer, supplier,
licensee or other Person to cease doing business with Buyer or in any way
interfere with the relationship between any such customer, supplier, licensee or
other business entity and the Buyer.

    

    (iii) Seller
agrees that he will not, directly or indirectly, solicit the business of any
Person who, to the knowledge of Seller is a customer of the Buyer, whether or
not such Seller had personal contact with such Person, with respect to products
or activities which compete in whole or in part with the Business or the
business thereafter conducted by Buyer by and through the Company.

    

    (b) In the
event of a breach by Seller of any covenant set forth in Subsection 3(a)
of this Agreement, the term of such covenant will be extended by the period of
the duration of such breach;

    

    (c) Seller
will not, at any time during or after the two year period, disparage Buyer, the
Company, the Business formerly conducted by the Company, the business conducted
by Buyer by and through the Company or any shareholder, director, officer,
employee or agent of Buyer; and

    

    (d) Seller
will, for a period of two years after the Closing, within ten days after
accepting any employment, consulting engagement, engagement as an independent
contractor, 

     

    
      
        
        

      

      
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      partnership
or other association engaged in any business similar to the Business, advise
Buyer of the identity of the new employer, client, partner or other Person with
whom Seller has become associated. Buyer may serve notice upon each such Person
that such Seller is bound by this Agreement and furnish each such Person with a
copy of this Agreement or relevant portions thereof.

    

    

    4.           Remedies.  If
Seller breaches the covenants set forth in Section 2 and Section 3, Buyer will
be entitled to the following remedies:

    

    (a) Damages
from Seller; and

    

    (b) In
addition to its right to damages and any other rights it may have, to temporary,
preliminary and permanent injunctive or other equitable relief to restrain any
breach or threatened breach or otherwise to specifically enforce the provisions
of Section 2
and Section 3,
without posting any bond or other undertaking, it being agreed that money
damages alone would be inadequate to compensate Buyer and would be an inadequate
remedy for such breach.

    

    Any
exercise by Buyer and/or its affiliates of their rights pursuant to this Section 4 shall be
cumulative and in addition to any other remedies at law or equity to which they
may otherwise be entitled.

    

    5.           Waiver.  Neither
the failure nor any delay by any party in exercising any right, power or
privilege under this Agreement will operate as a waiver of such right, power or
privilege, and no single or partial exercise of any such right, power or
privilege will preclude any other or further exercise of such right, power or
privilege or the exercise of any other right, power or privilege. To the maximum
extent permitted by applicable law: (a) no claim or right arising out of this
Agreement can be discharged, in whole or in part, by a waiver or renunciation of
the claim or right except in writing; (b) no waiver that may be given by a party
will be applicable except in the specific instance for which it is given; and
(c) no notice to or demand on one party will be deemed to be a waiver of any
obligation of such party, or of the right of the party giving such notice or
demand to require the other party, to take further action without notice or
demand as provided in this Agreement.

    

    6.           Governing
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.

    

    7.           Dispute
Resolution.  Except as provided below, in the event of any
dispute, claim or disagreement arising out of or relating to this Agreement or
any Contemplated Transaction, including the negotiation, execution,
interpretation, performance or non-performance of this Agreement, the parties
shall first submit the dispute, claim or disagreement to non-binding mediation
administered by the American Arbitration Association (the “AAA”) in
accordance with its Commercial Mediation Procedures.  The place of
mediation shall be Dallas, Texas.  If the dispute, claim or
disagreement is not resolved within 30 days after the initial mediation meeting
among the parties and the mediator, or if the mediation is otherwise

     

    
      
        
        

      

      
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      terminated,
then either party may submit the dispute, claim or disagreement to binding
arbitration administered by the AAA in accordance with the provisions of its
Commercial Arbitration Rules (the “Rules”)
and, except as provided below, such arbitration shall be the sole means of
dispute resolution.  The place of arbitration shall be Dallas,
Texas.  The arbitration shall be conducted by a panel of three
arbitrators selected in accordance with the Rules, unless the parties otherwise
agree to one arbitrator.  Any mediator or arbitrator selected under
this Section 7
shall be a practicing attorney experienced in commercial agreements and
acquisitions and shall not have been employed or engaged by or affiliated with
either of the parties or their respective affiliates.  Each party
shall initially bear its own costs and expenses in connection with any mediation
or arbitration hereunder, including, without limitation, its attorneys’ fees,
and an equal share of the mediator’s or arbitrator’s and administrative fees of
mediation or arbitration.  The decision of the arbitrators shall be in
writing.  Judgment upon an arbitration award may be entered in any
court of competent jurisdiction and shall be final, binding and
non-appealable.  Notwithstanding anything in this Section 7 to the
contrary, each party shall be entitled to seek injunctive or other equitable
relief without first submitting the matter to mediation or arbitration in
accordance with the provisions of this Section 7, even if a
similar or related matter has already been referred to meditation or arbitration
in accordance with the terms of this Section
7.  Venue for any action permitted to be brought in court under
this Section 7
shall be the appropriate state and federal courts located in Dallas County,
Texas.

    

     

    8.           Severability.  Whenever
possible, each provision and term of this Agreement will be interpreted in a
manner to be effective and valid, but if any provision or term of this Agreement
is held to be prohibited or invalid, then such provision or term will be
ineffective only to the extent of such prohibition or invalidity, without
invalidating or affecting in any manner whatsoever the remainder of such
provision or term or the remaining provisions or terms of this Agreement. If any
of the covenants set forth in Section 3 are held to
be unreasonable, arbitrary or against public policy, such covenants will be
considered divisible with respect to scope, time and geographic area, and in
such lesser scope, time and geographic area, will be effective, binding and
enforceable against Seller to the greatest extent permissible. Further, this
Agreement shall be deemed amended by modifying such provision to the extent
necessary to make it legal and enforceable while preserving its
intent.

    

    9.           Section
Headings; Construction.  The headings of sections in this
Agreement are provided for convenience only and will not affect its construction
or interpretation. All references to "Section" or "Sections" refer to the
corresponding Section or Sections of this Agreement unless otherwise specified.
All words used in this Agreement will be construed to be of such gender or
number as the circumstances require. Unless otherwise expressly provided, the
word "including" does not limit the preceding words or terms. This Agreement has
been jointly drafted by Buyer and Seller and each party has had an opportunity
to review this Agreement with counsel and no rule of construction strictly
construing this Agreement against the drafter shall be applied by a court of
competent jurisdiction. The language in all parts of this Agreement shall in all
cases be construed as a whole according to its fair meaning and not strictly for
or against any party.

     

    
      
        
        

      

      
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    10.           Assignments.  No
party may assign any of its rights or delegate any of its obligations under this
Agreement without the prior written consent of the other parties, except that
Buyer may assign any of its rights under this Agreement to any Subsidiary or
Related Person of Buyer. 

    

    11.           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, in each case to the following addresses,
facsimile numbers or e-mail addresses and marked to the attention of the person
(by name or title) designated below (or to such other address, facsimile number,
e-mail address or person as a party may designate by notice to the other
parties):

    

    Buyer:                     Best
Energy Services, Inc.

    1010 Lamar

    Suite 1200

    Houston, Texas 77002

    Attention:              Larry
Hargrave, President

    Facsimile
No.:   (713)
933-2602

    Email:                       lhargrave@bestwellservicesinc.com

    

    with a
copy to (which shall not constitute notice):

    Jackson
Walker L.L.P.

    100 Congress Avenue

    Suite 1100

    Austin, Texas 78701

    Attention:              Lawrence
A. Waks, Esq.

    Facsimile
No.:   (512)
236-2002

    Email:                      lwaks@jw.com

    

    Seller:                     Tony
Bruce

            2081
Road C

    Liberal,
Kansas  67901

    Email:                      bestwellserv@yahoo.com

    

    with a
copy to (which shall not constitute notice):

    Gilmore, Shellenberger & Maxwell,
P.A.

    500 North Kansas Avenue

    Liberal, Kansas 67901

    Attention: Grant Shellenberger,
Esq.

    Facsimile No.: (620)
624-5525

    Email: gshellenberger@swko.net

     

    
      
        
        

      

      
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    12.           Entire
Agreement.  This Agreement and the Stock Purchase Agreement
constitute the entire agreement between the parties with respect to the subject
matter of this Agreement and supersede all prior written and oral agreements and
understandings between the parties with respect to the subject matter of this
Agreement. This Agreement may not be amended, supplemented, or otherwise
modified except by a written agreement executed by the party to be charged with
the amendment.

    

    13.           Execution
of Agreement.  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]

     

    
      
        
        

      

      
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    In
Witness Whereof, the parties have executed and delivered this Agreement as of
the date first above written.

     

    
      	 Buyer: 	 Seller:
	 Best Energy
      Services, Inc.	 
	 	 
	 /s/
      Larry Hargrave	 /s/ Tony Bruce
	 Larry
      Hargrave, Chief Executive Officer 	 Tony Bruce,
      individuallyUnassociated Document

     

    LEASE
AGREEMENT

    

    By and
Between

    

    TONY
BRUCE

    

    (Landlord)

    

    And

    

         BEST ENERGY SERVICES,
INC.

    

    (Tenant).

    

    Effective February 12, 2008

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

    

    

    TABLE OF
CONTENTS

     

    
      
        	ARTICLE 1. 	LEASED
      PREMISES	
                1

              
	ARTICLE 2.  	TERM OF
    LEASE	
                1

              
	ARTICLE
      3. 	RENT 	
                1

              
	ARTICLE 4.	TAXES, INSURANCE,
      UTILITIES, AND MAINTENCE    	
                1

              
	ARTICLE 5.	 LATE
    FEE	
                1

              
	ARTICLE
      6. 	SECURITY
      DEPOSIT	
                2

              
	ARTICLE
      7. 	USE OF
      PREMISES 	
                2

              
	ARTICLE 8.	SIGNS 	
                2

              
	ARTICLE 9.	COVENANT OF TITLE
      AND QUIET ENJOYMENT 	
                2

              
	ARTICLE
11.	SUBORDINATION TO
      FUTURE MORTGAGE HOLDERS PROVIDED TENANT IS NOT DISTURBED IN
      POSSESSION 	
                2

              
	ARTICLE
12.	COMPLIANCE WITH LAWS
      AND ORDINANCES 	
                3

              
	ARTICLE
13.	MECHANICS'
      LIENS 	
                3

              
	ARTICLE
14.	LOSS OF POSSESSION
      OR USE 	
                3

              
	ARTICLE 15. 	TENANT'S RIGHT TO
      CURE LANDLORD'S DEFAULTS 	
                3

              
	
                ARTICLE
      16.

              	ALTERATIONS, TITLE
      TO AND REMOVAL OF IMPROVEMENTS 	
                4

              
	
                 ARTICLE
      17.

              	REPAIRS 	
                4

              
	
                ARTICLE
      18.

              	PUBLIC LIABILITY
      INSURANCE 	
                5

              
	
                ARTICLE
      19. 

              	WAIVER OF
      SUBROGATION 	
                5

              
	ARTICLE 20.
       	DAMAGE TO OR
      DESTRUCTION OF IMPROVEMENTS 	
                5

              
	ARTICLE 21. 	EMINENT
      DOMAIN 	
                6

              
	ARTICLE 22.
       	ASSIGNMENT AND
      SUBLETTING	
                7

              
	ARTICLE
      23. 	REMEDIES OF
      LANDLORD 	
                7

              
	ARTICLE
24.	LANDLORD'S ACCESS TO
      PREMISES 	
                7

              
	ARTICLE
      25. 	LEASE OF PERSONAL
      PROPERTY 	
                7

              
	ARTICLE
      26. 	SURRENDER OF
      PREMISES 	
                8

              
	ARTICLE
      27. 	HOLDING
      OVER 	
                8

              
	ARTICLE
      28. 	SERVICE OF
      NOTICE 	
                8

              
	ARTICLE
      29. 	SUCCESSORS AND
      ASSIGNS 	
                8

              
	ARTICLE
30.	RECORDING 	
                8

              
	ARTICLE
      31. 	AMENDMENTS 	
                8

              
	ARTICLE
      32. 	ESTPPEL
      CERTIFICATE 	
                9

              
	ARTICLE
33.	INVALIDITY OF
      PROVISIONS 	
                9

              
	ARTICLE
      34. 	ATTORNEYS' FEES
      AND COSTS IN EVENT OF BREACH 	
                9

              
	ARTICLE
      35. 	CAPTIONS 	
                9

              
	ARTICLE
36.	ENTIRE
      AGREEMENT 	
                9

              

      

       

      
        
          
          

        

        
          
          

          
            

          

        

        
          
          

        

      

    

     

    Agreement
of Lease

    

    This
Agreement of Lease (“Lease”) is
made this 14th day of
February, 2008, between Tony Bruce (hereinafter referred to as "Landlord"),
and Best Energy Services, Inc., a Nevada corporation, (hereinafter referred to
as "Tenant").

    

    ARTICLE
1.  LEASED
PREMISES. Landlord owns that
parcel of property at 1461 General Welch Boulevard, Liberal, Kansas 67901 that
will be subject to this Lease (the “Leased
Premises”).  The Leased Premises are more particularly
described in Exhibit
A attached hereto and incorporated herein by reference.

    

    ARTICLE
2.  TERM OF LEASE.   The Lease Term of this
lease shall be from February 14, 2008, and shall continue until February 14,
2011 (the “Lease
Term”).

    

    ARTICLE
3.  RENT.  Tenant shall pay rent (“Rent”) to
the Landlord for the Leased Premises the amount of Three Thousand Five Hundred
Dollars ($3,500) per month with the first Rent payment due on the date of this
Lease and on the same day of each month thereafter during the term of the
Lease.

    

    ARTICLE
4.  TAXES, INSURANCE, UTILITIES, AND MAINTENANCE.
  Tenant and Landlord shall pay the following expenses as
designated:

     

    
      	
               Property
      taxes

            	 Tenant
	 Property
      insurance	 Tenant
	 Utilities	 Tenant
	 Water &
      Sewer	 Tenant
	 Maintenance of
      interior	 Tenant
	Maintenance of
      exterior	 Landlord
	 Fencing	 Tenant
	 Snow
      plowing/removal	 Tenant
	 Landscaping	 Tenant

    

     

    If Tenant
pays the property taxes, the taxes for 2008 and 2011 shall be prorated for the
number of days that Tenant occupies the property in those years.

    

    ARTICLE
5.  LATE FEE.  Tenant agrees that if any payment or
installment of Rent hereunder becomes delinquent (i.e., has not be received by
Landlord) for a period of more than ten (10) days, Tenant shall pay Landlord a
late charge of Five Hundred Dollars ($500.00) and the delinquent payment shall
also bear interest at the rate of one and one-half percent (11⁄2 %) per month (18%
annual percentage rate) until paid.  Said late charge and interest
shall be due and payable with 

     

    
      
        
        

      

      
        
        

        
          

        

      

      
        
        

      

       

      the next
following Rent payment due.  Returned check fee:
If any check for payment of Rent is returned to Landlord for insufficient
funds, there shall be a returned check fee assessed of One Hundred Dollars
($100.00), and the Late Fee shall also apply.

    

    

    ARTICLE
6.  SECURITY DEPOSIT.   Tenant
shall  not be required to pay to Landlord any security
deposit.

    

    ARTICLE
7.  USE OF PREMISES.  The Leased  Premises
may be used and occupied only for the purpose of operating an oil field
equipment and mineral services yard, maintenance facilities and administrative
offices.  Tenant shall not use the Leased Premises for any other
purpose without the prior written consent of the Landlord, which shall not be
unreasonably withheld.  Tenant shall comply with all laws and
regulations governing the use of the Leased Premises.

    

    ARTICLE
8.  SIGNS.  Tenant shall not install, erect, display,
paint or attach any sign to the exterior of the building or elsewhere on the
Leased Premises without the written consent of the Landlord, which shall not be
unreasonably withheld, and any sign authorized by the Landlord shall be removed
and the sign space restored to its original condition upon termination of the
Lease.

    

    ARTICLE
9.  COVENANT OF TITLE AND QUIET ENJOYMENT. Landlord covenants
that Landlord is well seized of and has good title to the Leased Premises and
does warrant and will defend the title thereto and will indemnify the Tenant for
any damage and expense which Tenant may suffer by reason of any lien,
encumbrance, restriction or defect in the title or description herein of the
Leased Premises.  If, at any time, Landlord's title or right to
receive Rent hereunder is disputed, or there is a change of ownership of
Landlord's estate by act of the parties or operation of law, Tenant may withhold
Rent thereafter accruing until Tenant has been furnished proof satisfactory to
it as to the party entitled thereto.

    

    ARTICLE
10.  TIME OF THE ESSENCE: It is agreed that time is of the
essence in respect to the agreements hereinafter contained.

    

    ARTICLE
11.  SUBORDINATION TO FUTURE MORTGAGE HOLDERS PROVIDED TENANT IS NOT
DISTURBED IN POSSESSION.  There are no mortgages on the Leased
Premises.  However, Landlord reserves the right to mortgage the Leased
Premises in the future if he desires to do so.  If Landlord desires to
borrow against the Leased Premises,  Tenant will, upon request by
Landlord, subject and subordinate all or any of its rights under this Lease to
any and all mortgages and deeds of trust hereafter placed on the property of
which the Leased Premises are a part; provided,
however,
that Tenant will not be disturbed in the use or enjoyment of the Leased Premises
so long as it is not in default hereunder and Landlord shall, at the time of
execution of any new mortgage or trust deed, provide a binding written
commitment from any and all lenders whose interests are secured by mortgage or
deed of trust that Tenant may remain in possession notwithstanding foreclosure
so long as Tenant is not in default of this Lease.  Tenant agrees that
this Lease shall remain in full force and effect notwithstanding any default or
foreclosure under any such 

     

    
      
        
        

      

      
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      mortgage
or deed of trust hereinafter placed on the property  and that it will
remain liable under the terms of this Lease to the mortgagee, trustee, or
beneficiary of such mortgage or trust deed, and their successors and assigns,
and to the purchaser or assignee under any such foreclosure.  Tenant
will, upon request by Landlord, execute and deliver to Landlord, or to any other
person designated by Landlord, any instrument or instruments required to give
effect to the provisions of this Article.

    

    

    ARTICLE
12.  COMPLIANCE WITH LAWS AND ORDINANCES. Landlord, as owner,
shall comply with all federal, state, county and city laws and ordinances, and
all rules and regulations of any duly constituted authority presently affecting
or respecting the Leased Premises.  Any other improvements that may be
necessary to comply with any such rules and regulations shall be the obligation
of Tenant. Tenant shall comply with all federal, state, county
and  city laws and ordinances and all rules and regulations of any
duly constituted authority present or future affecting or respecting the use or
occupancy of the Leased Premises by Tenant, or the business at any time thereon
transacted by Tenant or any assignee or Sub-tenant of Tenant, after commencement
of the term of this  Lease.  Tenant shall, at all times,
keep the Leased Premises,  the buildings thereon and all
appurtenances, in a clean and sanitary condition, according to the applicable
statues, city ordinances and the directions and regulations of the proper public
authorities.

    

    ARTICLE
13.   MECHANICS' LIENS.  Tenant agrees to pay,
when due, all sums of money that may become due for, or purporting to be due
for, any labor, services, materials, supplies or Tenant's equipment, alleged to
have been furnished or to be furnished to or for the Landlord,
in,  upon or about the Leased Premises and which may be secured
by  any mechanics', materialmen's or other lien against the
Leased  Premises and/or the Landlord's interest
therein.  Tenant shall cause each such lien to be fully discharged and
released, provided,
however,
that, if the Tenant desires to contest any such lien, it may do so, but
notwithstanding any such contest, if  such lien shall be reduced to
final judgment and such judgment  or processes may be issued for the
enforcement thereof is not   promptly stayed or is so stayed and
such stay thereafter expires,  then, and in that event, the Tenant
shall forthwith pay and  discharge said judgment.

    

    ARTICLE
14.  LOSS OF POSSESSION OR USE.  If at any time
during the term of this Lease or any extension thereof, Tenant shall, through no
act, default or neglect on its  part, be deprived of possession of the
Leased Premises or any material portion thereof or the use of the Leased
Premises for the purposes contemplated by Tenant for any reason including, but
not limited to, any limitation of access to the Leased  Premises or
any rezoning or other governmental action which would prohibit the operation of
the business contemplated by Tenant, then, and in any such event, Tenant shall
have the right  to terminate this Lease upon giving Landlord ten (10)
days written notice of its intention to so terminate, in accordance with the
provisions of Article
28 hereof.

    

    ARTICLE
15.  TENANT'S RIGHT TO CURE LANDLORD'S DEFAULTS.Landlord agrees
that if Landlord fails to pay any interest,  principal, cost or other
charges upon any mortgage or mortgages or other liens and encumbrances affecting
the Leased Premises and to which this Lease may be subordinate when any of the
same become due, or if Landlord fails to make any repairs or do any
work  required of the Landlord by the provisions of this Lease, or in
any other respect fails to 

     

    
      
        
        

      

      
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      perform
any covenant or agreement in this Lease contained on the part of the Landlord to
be performed, then,  and in such event, after the continuance of any
such failure or default for ten (10) days after notice in writing thereof is
given by the Tenant to the Landlord, notwithstanding any delay or forbearance in
giving such notice, Tenant may pay said principal, interest cost or other
charges and cure such defaults all on behalf  of and at the expense of
the Landlord.  Tenant may further do all  necessary work and
make all necessary payments in connection therewith, including, but not limiting
the same, to the payment of  any attorneys' fees and costs and charges
of or in connection with any legal action which may have been
brought.  Landlord agrees to pay to Tenant forthwith any amount so
paid by Tenant together  with interest thereon at the maximum legal
rate. Landlord further agrees to give Tenant written notice of any claim of
default which  may be made by any mortgagee or lienor as to the Leased
Premises within five (5) days after such claim shall have been made if Landlord
shall have not remedied the same within said five (5) day period.  All
sums charged to Landlord by Tenant hereunder shall be indebtedness of Landlord
to Tenant payable on demand.  If any such indebtedness or any other
indebtedness of Landlord to Tenant is due at any time, Tenant may, in addition
to other remedies, withhold all Rent accruing hereunder and apply the same to
such indebtedness.  If all such indebtedness is not fully paid at
the  expiration of the Lease Term or any extension thereof, Tenant
may, at its option, extend this Lease on the same  covenants and
conditions as herein provided, until such  indebtedness is fully paid
by application of the Rent payable  hereunder against such
indebtedness.

    

    

    ARTICLE
16.  ALTERATIONS, TITLE TO AND REMOVAL OF
IMPROVEMENTS.   Tenant or any Subtenant may not make
alterations, additions  and improvements to the Leased Premises
without the prior written consent of Landlord, which shall not be unreasonably
withheld.  Notwithstanding the foregoing, Tenant shall not erect signs
or other improvements that will restrict the free flow of traffic.  It
is mutually agreed that the trade fixtures and equipment and interior and
exterior signs which may be installed on the Leased Premises prior to, or during
the term hereof, at the cost  of Tenant or any assignee or Subtenant,
shall remain personal property and shall not be deemed to become part of the
Leased Premises.  Tenant shall have the right and obligation to remove
such trade fixtures and equipment on or before the expiration of this Lease or
any extensions or renewals thereof.  Tenant or any assignee or
Subtenant is hereby expressly given the right, at any time during the term of
this Lease or any extension thereof and for a period of ten (10) days after the
termination of this Lease or any extension thereof, by lapse of time or
otherwise, to enter upon and remove from said Premises any improvements or
equipment of Tenant or any assignee or Subtenant.  Tenant shall repair
at its expense any damage to the property created by its installation
or  removal of improvements.

    

    ARTICLE
17.  REPAIRS.Tenant agrees that it has had the opportunity of
inspecting the Leased Premises, is satisfied therewith, and accepts the same "as
is."  Landlord further represents that prior to commencement of this
Lease, the Leased Premises have been lawfully used and maintained in accordance
with all applicable federal, state, and local laws. Tenant shall be responsible
for maintaining the Leased Premises in all respects and to return the Leased
Premises at the end of the lease term in as good or better condition as when
first occupied by Tenant.   In default of the Tenant making the
necessary repairs or replacements during the course of the Lease, the Landlord
may, but 

     

    
      
        
        

      

      
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      shall not
be required to, make such repairs and replacements for the Tenant's account and
the expense thereof shall constitute and be collectible as additional Rent,
together with interest at twelve percent (12%) per annum and reasonable
attorney's fees.

    

    

    ARTICLE
18.  PUBLIC LIABILITY INSURANCE.   Tenant hereby
covenants and agrees that at all times during the term hereof to obtain and
maintain and keep in force for the mutual benefit of Landlord and Tenant general
public liability insurance against the claims for personal injury, death or
property damage occurring in, on or about the Leased Premises or sidewalks
adjacent to the Leased Premises in the following amounts:

     

    
      
        	 Bodily
      injury  	per person 
      	$1,000,000
	 	per accident
    	$2,000,000  (involving  two  or  more
      persons)
	 Property  damage	 	$500,000

      

    

     

    Tenant
agrees that all of the above-noted insurance shall be noncancellable without
(10) days written notice to Landlord.  Tenant further covenants and
agrees that the insurance required  to be carried hereunder shall be
placed with top rated insurance companies as shall be selected by Tenant. The
parties further covenant and agree that the Landlord and Tenant or anyone
claiming by, through or under them, shall be named as co-insureds as their
respective interests may appear in the above policies and that Tenant, at the
request of Landlord, shall deliver to the Landlord certificates of said
insurance and of renewals thereof, from time to time during the term of this
Lease. Tenant shall keep, protect and save the Landlord harmless from any loss,
costs, or expenses of any sort or nature and from any liability to any
third-party person natural or artificial, on account of any damage to such third
person or their property arising out of any failure to comply with and perform
all of the requirements and provisions set forth in this Article. Landlord may,
if necessary, arrange and pay for all such insurance and invoice Tenant
therefor, together with interest thereon at twelve per cent (12%) per annum
until paid.

    

    ARTICLE
19.  WAIVER OF SUBROGATION.  Landlord and Tenant each
hereby release the other, their agents and employees from any claim for damage
or destruction to the above-described Premises and the contents thereof
belonging to either, and for the business interruption of either, caused by fire
or any other event insured under fire and extended coverage insurance, whether
due to the negligence of either of them or otherwise.

    

    ARTICLE
20.  DAMAGE TO OR DESTRUCTION OF IMPROVEMENTS. If Landlord's
improvements on the Leased Premises shall be damaged or rendered untenantable by
fire or other casualty, the Landlord shall within thirty (30) days from the date
of said damage or destruction commence to repair or replace said improvements,
according to the condition and use of the property prior to said damage or
destruction so that the Tenant may continue with occupancy and the same shall be
completed within one hundred twenty (120) days thereafter.  However,
Landlord's obligation to pay for cost of rebuilding or repairing any such damage
or destruction to the improvements located on the Leased Premises shall be
limited to the insurance monies payable by reason of such damage or destruction
and if the cost of repairing or replacing said improvements 

     

    
      
        
        

      

      
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      according
to the condition and use of the Leased Premises prior to said damage shall
exceed this amount this Lease shall terminate immediately and Landlord shall be
entitled to keep all insurance proceeds as compensation for damage done to the
Leased Premises unless Tenant, upon written notification by Landlord of the
amount of the excess elects in writing to itself pay such excess.  It
is further agreed that the Rent herein required to be paid shall abate during
said period of untenantability or if the improvements shall be damaged but not
rendered untenantable thereby, the Rent shall abate in an amount appropriate to
the decrease in the utility of the Leased Premises.  In the event
Landlord has not commenced construction or has not notified Tenant that he
intends to commence construction within thirty (30) days from the date of such
damage, then, and in that event, Tenant may either (a) terminate this Lease by
giving written notice of such termination in accordance with Article 28 hereof, or
(b) thereupon and without further notice to Landlord commence to repair or
replace said building with Tenant having access to the insurance proceeds
available by reason of such damage or destruction.  In the event
Tenant makes said repairs or replacements, Landlord shall be liable to the
Tenant for any and all costs and expenses of Tenant in making the same and
Landlord shall be required to reimburse Tenant for any such costs and expenses
of Tenant for any costs which Tenant expends for replacement or repair of the
improvements plus 12% (which shall not be in excess of the insurance proceeds
payable by reason of such damage or destruction).  If Landlord fails
to reimburse Tenant within thirty (30) days after receiving Tenant's invoice
Tenant shall have the right to deduct this amount of the invoice from Rent
payments due to Landlord and/or institute legal action at law or equity to
recover its expense.

    

    

    It is
agreed by the parties that if the building cannot be replaced or repaired within
one hundred twenty (120) days after such damage to the building, due to the
inability of either party to obtain materials or labor needed, strikes or acts
of God or governmental restrictions that would prohibit, limit, or delay said
construction, then the time for completion of said repairs and replacement shall
be extended accordingly, provided,
however,
that in any event, if the repair or replacement of the building has not been
completed within a period of one hundred eighty (180) days from the date of such
damage or destruction, Tenant may, at its option, and in addition to other
remedies available to Tenant, elect to terminate this Lease.  In the
event of any damage or destruction occurring in the last six (6) months of the
original term of this Lease or during any extension of the term, to the extent
of fifty percent (50%) or more of the insurable value of the building, Tenant
may, at its option, to be evidenced by notice in writing given to Landlord
within thirty (30) days after the occurrence of such damage and destruction, in
lieu of repairing or replacing such building, elect to terminate this Lease as
of the date of said damage or destruction.

    

    ARTICLE
21.  EMINENT DOMAIN.   If the whole or any part
of the Leased Premises shall be taken for any public or quasi-public use under
any statute or by right of eminent domain or by private purchase in lieu
thereof, Tenant reserves unto itself the right to prosecute its claim for an
award based upon injury caused to its leasehold interest by such taking, without
impairing any rights of Landlord for the taking of or injury to the reversion.
In the event a part of the Leased Premises shall be so taken that (a) the part
so taken includes the building or Premises on the Leased Premises or any part
thereof or (b) ten percent(10%) or more of the from depth of the Leased Premises
or (c) that part taken shall consist of twenty-five percent (25%) or more of the
total Premises or (d) such

     

    
      
        
        

      

      
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      part so
taken shall result in cutting off direct access from the Leased Premises to any
adjacent public street or highway or (e) such taking makes the carrying on of
Tenant's business impractical, then, and in any such event, the Tenant may at
any time either prior to or within a period of sixty (60) days after the date
when possession of the Leased Premises shall be required by the taking authority
elect to terminate this Lease.  In the event that Tenant shall fail to
exercise any such option to terminate this Lease or in the event that a part of
the Leased Premises shall be taken under circumstances under which the Tenant
will have no such option, then the Landlord shall, at its own cost and expense
and with reasonable promptness, restore the remaining portion of the Leased
Premises to the extent necessary to reconstitute the improvements thereon as a
complete architectural unit, susceptible to the same use as that which was in
effect immediately prior to such taking and the Rent payable under the
provisions of the lease shall be equitably reduced according to the decrease in
the utility of the Leased Premises for Tenant's intended use and the effect
thereof upon the business of Tenant.

    

    

    ARTICLE
22.  ASSIGNMENT AND SUBLETTING.  Tenant may not,
without consent of Landlord, which consent shall not be unreasonably withheld,
assign or encumber  this Lease or its rights hereunder. In the event
Landlord consents to any assignment or subletting, Tenant shall remain liable
for the payment of all Rent required to be paid hereunder and for the
performance of all terms, covenants and conditions herein undertaken by
Tenant.

    

    ARTICLE
23.  REMEDIES OF LANDLORD.    If Tenant
shall fail to pay any installment of Rent promptly on the day when the same
shall become due and payable hereunder, and shall continue in such default for a
period of ten (10) days after written notice thereof by Landlord, or if Tenant
shall fail to promptly keep and perform any other affirmative covenants of this
Lease, strictly in accordance with the terms of  this Lease and shall
continue in default for a period of thirty (30) days after written notice
thereof by Landlord of default and demand of performance, then and in any such
event and as often as  any such event shall occur, Landlord may (a)
declare the said term ended, and enter into said Premises, or any part thereof,
either  with or without process of law and expel Tenant or any
person  occupying the same in or upon said Premises, using such force
as  may be necessary, and to repossess and enjoy said Premises as
in  the Landlord's former estate; or (b) relet the Leased Premises
against the  Rent payable by Tenant hereunder and Tenant shall be
responsible  for no more than the balance that may be due, should a
balance  exist.  However, if any default shall occur, other
than in the  payment of money, which cannot with due diligence be
cured within  a period of thirty (30) days, and if Tenant prior to the
expiration  of thirty (30) days from and after the giving of the
notice of aforesaid, commences to eliminate the cause of such default and
proceeds diligently and with reasonable dispatch to take all
steps  and undertake all work required to cure such default and does
so  cure such default, then Landlord shall not have the right to
declare  the term ended by reason of such default.

    

    ARTICLE
24.  LANDLORD'S ACCESS TO PREMISES.   Landlord
shall have the right to inspect the Leased Premises
during   normal business hours and upon reasonable
notice.  Landlord shall have access to the Leased Premises during
normal business hours during the last six (6) months of the  Lease or
any extension thereof for the purpose of showing the same  to any
prospective tenants.

     

    
      
        
        

      

      
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    ARTICLE
25.  LEASE OF PERSONAL PROPERTY.   Landlord
shall lease to Tenant such personal property on the  Premises as shall
be reflected in an Addendum attached to this Lease which Addendum shall set
forth the terms and conditions of  the Lease of said personal
property.

    

    ARTICLE
26.  SURRENDER OF PREMISES.   Tenant shall,
after the last day of the Lease  Term or any extension thereof, or
upon any earlier termination of such term,  surrender and yield up to
Landlord all of Landlord's improvements on such Premises in good order,
condition, and state of repair,  reasonable wear and tear and the
provisions of Article
16 hereof  excepted.

    

    ARTICLE
27.  HOLDING OVER.   In the event Tenant
continues to occupy the Leased Premises after the last day of the Lease Term
hereby created, or after the last day of  any extension of the Lease
Term, and the Landlord elects to accept Rent  thereafter, a tenancy
from month to month only shall be created under and subject to all other
provisions contained herein.

    

    ARTICLE
28.  SERVICE OF
NOTICE.                                                                                                Every
notice, approval, consent or other communication authorized or required by this
Lease shall not be effective unless  the same shall be in writing and
sent postage prepaid by United States registered or certified mail, return
receipt requested, and  shall be addressed to:

     

    
      	
              To
      Landlord:

            	To
      Tenant:
	Tony
      Bruce  	Best Energy
      Services, Inc.
	2081
      Road C	1010
      Lamar Street, Suite 1200
	Liberal, Kansas
      67901 	Houston, Texas
      77002

    

     

    or to
such other address as either party may designate, by notice given from time to
time in accordance with this Article.  Any  notice given in
accordance with the provisions of this Article  shall be deemed to
have been given as of the date such notice shall  have been placed in
the United States Postal Service.  The Rent payable by Tenant
hereunder shall be paid to Landlord at the same place where a notice to Landlord
is herein required to be directed.

    

    ARTICLE
29.  SUCCESSORS AND ASSIGNS.  The terms, conditions
and covenants of this Lease shall  be binding upon and shall inure to
the benefit of each of the   parties hereto, their heirs,
personal representatives, successors  or assigns, and shall run with
the land; and where more than one  party shall be Landlord under this
Lease, the word "Landlord" whenever  used in this Lease shall be
deemed to include all Landlords jointly  and severally.

    

    ARTICLE
30.  RECORDING.   This Lease shall not be
recorded.  However, if either of  the parties hereto desire
to record a memorandum of this Lease, Landlord and Tenant agree to execute and
deliver to the other  a memorandum of this Lease containing only
minimum statutory requirements, which memorandum of lease may then be recorded
in the appropriate office of the county within which the Leased
Premises  are located.

     

    
      
        
        

      

      
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    ARTICLE
31.  AMENDMENTS. No waivers, alterations, or modifications
of this Lease  or any agreements in connection therewith shall be
valid unless in  writing duly executed by both Landlord and Tenant
herein.

    

    ARTICLE
32.  ESTOPPEL CERTIFICATE.  Either party to this
Lease shall from time to time during  the term of this Lease,
immediately (within 10 days at the latest)  upon the request of the
other party, execute and deliver to the other party a statement certifying that
this Lease is in full force and effect, the date through which the Rent and
other charges hereunder have been paid, and any other factual matters
reasonably  requested by the other party.

    

    ARTICLE
33.  INVALIDITY OF PROVISIONS.   If any term,
covenant, condition or provision of this Lease  or the application
thereof to any person or circumstance shall, at  any time, or to any
extent, be invalid or unenforceable, the  remainder of this Lease or
the application of such term or  provision to persons or circumstances
other than those as to which  it is held invalid or unenforceable,
shall not be affected thereby,  and each term, covenant, condition and
provision of this Lease   shall be valid and enforceable to the
fullest extent permitted by  law.

    

    ARTICLE
34.  ATTORNEYS' FEES AND COSTS IN EVENT OF
BREACH.   In the event of any breach of this Lease,
the  nonbreaching party shall be entitled to receive reasonable
attorneys' fees and costs from the breaching party in enforcing
the  terms of this Lease, in addition to any other damages
or  compensation that may be applicable.

    

    ARTICLE
35.  CAPTIONS.  The captions appearing in this Lease
are inserted only as  a matter of convenience and in no way define,
limit, construe or  describe the scope or intent of such Articles of
this Lease or in  any way affect this Lease.

    

    ARTICLE
36.  ENTIRE AGREEMENT.   This Lease supersedes
any and all other agreements, either  oral or in writing, between the
parties hereto with respect to the Leased Premises and contains all of the
covenants, agreements and  other obligations between the said parties
in respect to said Premise.

    

    ARTICLE
37.  EXECUTION.   This Lease 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
Lease and of signature pages by facsimile transmission, PDF or other electronic
file shall constitute effective execution and delivery of this Lease as to the
parties and may be used in lieu of the original Lease 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.

    

     [Signatures
are on following page]

     

    
      
        
        

      

      
        9

        
          

        

      

      
        
        

      

    

     

    In
Witness Whereof, the said parties have hereunto set their hands the day and year
first above written.

     

    
      	LANDLORD:	TENANT:
	Tony
      Bruce	Best
      Energy Services, Inc.
	 	 
	 /s/
      Tony Bruce	 /s/
      Larry Hargrave
	Tony Bruce,
      individually	 Larry
      Hargrave, Chief Executive Officer

    

     

    
      
        
        

      

      
        10

        
          

        

      

      
        
        

      

    

     

    Exhibit
A

    

    Description
of Leased Premises

    

    Property
in Liberal, Kansas:

    

    A tract
of land located in the Northeast Quarter (NE/4) of Section 6, Township
Thirty-Five South (T35S), Range Thirty-Three West (R33W), of the Sixth Principal
Meridian in Seward County, Kansas, more particularly described as
follows:

    

    All of
Lot 9, Block 2, of the Airport Industrial Park, dated September 11, 1980, Book
III, Page 42 and 43, filed for record September 30, 1980, an addition to the
City of Liberal, Seward County, Kansas, according to the recorded plat
thereof.  Said tract contains 5.26 acres, more or less,

    

    but excluding the blue
building west of the offices, which shall remain the sole and exclusive property
of Landlord together with rights of ingress and
egress.

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