Document:

EX-10.1

 Exhibit 10.1 

CONCHO RESOURCES INC. 

2019 STOCK INCENTIVE PLAN 

PERFORMANCE UNIT AWARD AGREEMENT 

January 4, 2021 (the “Date of Grant”) 

 

	To:	 <first_name> <last_name> 

Concho Resources Inc., a Delaware corporation (the “Company”), is pleased to grant you an award (the
“Award”) consisting of an aggregate of <shares_awarded> performance units (each, a “Performance Unit”) that have a performance period beginning on
January 1, 2021 through December 31, 2023 (the “Performance Period”). The Award is subject to your acceptance of and agreement to all the applicable terms, conditions and
restrictions described in this Performance Unit Award Agreement (this “Agreement”) [(which shall be deemed to include an acknowledgement of those covenants set forth on Appendix B hereto)] and the Concho
Resources Inc. 2019 Stock Incentive Plan (as such plan may be amended or restated thereafter from time to time, the “Plan”). A copy of the Plan is available upon request. To the extent that any provision of this
Agreement conflicts with the expressly applicable terms of the Plan, you acknowledge and agree that those terms of the Plan shall control and, if necessary, the applicable provisions of this Agreement shall be deemed amended so as to carry out the
purpose and intent of the Plan. Terms that have their initial letters capitalized, but that are not otherwise defined in this Agreement, shall have the meanings given to them in the Plan in effect as of the date of this Agreement. The Performance
Units contemplated herein are granted as Performance Awards under the Plan and are subject to the award limitations applicable to awards denominated in shares of the Company’s common stock (the “Common
Stock”) that are set forth in Paragraph V(a) of the Plan. 
 This Agreement sets forth the terms of the
agreement between you and the Company with respect to the Performance Units. By accepting this Agreement, you agree to be bound by all of the terms hereof. 

1. Overview of Performance Units. 

(a) Performance Units Generally. Each Performance Unit represents a contractual right to receive one share of Common Stock, subject to
the terms and conditions of this Agreement; provided that, based on the achievement of the performance objective outlined in Section 2 hereof (the “Performance Objective”), the
number of shares of Common Stock that may be deliverable hereunder in respect of the Performance Units may range from 0% to 250% of the number of Performance Units stated in the preamble to this Agreement (such stated number of Performance Units
hereafter called the “Initial Performance Units”). Your right to receive Common Stock in respect of Performance Units is generally contingent, in
whole or in part, upon (i) the achievement of the Performance Objective and (ii) except as provided in Section 4(a) or Section 5 hereof, your continued employment with the Company through the end of the Performance Period. 

(b) Dividend Equivalents. With respect to each outstanding Performance Unit, the Company shall credit a book entry account with an
amount equal to the amount of any cash dividend paid during the Performance Period on one share of Common Stock. The amount credited to such book entry account shall be payable to you at the same time or times, and subject to the same terms and
conditions as are applicable to, your Performance Units; provided that, if more than the Initial Performance Units shall become payable in accordance with this Agreement, then the maximum amount payable in respect of such dividend equivalents shall
be the amount credited to your book entry account. Dividends and distributions payable on Common Stock other than in cash shall have a value equal to the amount of such dividends reported by the issuer to its shareholders for purposes of Federal
income taxation and will be addressed in accordance with Section 9 hereof. 
 2. Performance Objective. The Performance
Objective with respect to the Initial Performance Units is based on both (a) the Total Shareholder Return achieved by the Company relative to the Peer Companies (as defined below) for the Performance Period (the “Relative Total
Shareholder Return”) and (b) the absolute annualized Total Shareholder Return achieved by the Company for the Performance Period (the “Absolute Total Shareholder Return”). “Total
Shareholder Return” shall mean, as to the Company and each of the Peer Companies, the percentage rate of return shareholders receive through stock price changes and the receipt of cash dividends paid over the Performance Period,
determined in accordance with the following formula: (Closing Value minus Initial Value plus Cash Dividends) divided by Initial Value, where: 

  
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 Closing Value means the average of the closing stock prices of the Company or
such Peer Company, as applicable, on each trading day during the period beginning on the first day of the calendar month in which the last day of the Performance Period occurs and ending on the last day of the Performance Period. 

Notwithstanding the foregoing, (A) if a Peer Company ceases to have a class of common equity securities listed to trade under
Section 12(b) or Section 12(g) of the Exchange Act during the Performance Period (determined after any applicable adjustment by the Committee pursuant to Section 9 hereof), then (i) unless such cessation is due to or following
the bankruptcy of the Peer Company, such Peer Company shall be treated as if it had never been a Peer Company and (ii) if such cessation is due to or following the bankruptcy of the Peer Company, such Peer Company shall remain a Peer Company
but shall be deemed to have a Total Shareholder Return for the Performance Period of negative 100% (-100%). Furthermore, if Total Shareholder Return for the Company and the Peer Companies is required to be
determined for purposes of Section 5 hereof, then the Closing Value shall be determined as described above, except that (i) the last day of the Performance Period shall be deemed to be the Change of Control Date and the Closing Value with
respect to the Peer Companies shall be based on the 30-day period ending on the date of such termination of employment, and (ii) the Closing Value with respect to the Company shall mean the fair market
value (as determined in good faith by the Committee) of the consideration received by the stockholders of the Company with respect to each share of Common Stock as of the effective time of the Change of Control; provided, however, that if such
Change of Control is effected in a manner that does not result in the stockholders of the Company receiving consideration in exchange for their Common Stock, then such Closing Value shall mean the average of the closing stock prices of the Company
on each trading day during the 30-day period immediately preceding the date of the Change of Control Date (as defined in Section 5 hereof). 

In addition, if Total Shareholder Return for the Company and the Peer Companies is required to be determined for purposes of Section 4(a)
or 4(b) hereof, then the Closing Value shall be determined as described above, except that the last day of the Performance Period shall be deemed to be the Termination Date (as defined in Section 4(a) hereof) and the Closing Value shall be
based on the 30-day period ending on the date of such termination of employment. 
 Initial
Value means the average of the closing stock prices of the Company or such Peer Company, as applicable, on each trading day in the calendar month immediately preceding the first day of the Performance Period. The Initial Value of the Common
Stock to be used to determine the Company’s Total Shareholder Return over the Performance Period is $______ per share. 
 Cash
Dividends means the aggregate amount of cash dividends per share paid over the Performance Period by the Company or such Peer Company, as applicable. 

Achievement with respect to the portion of the Performance Objective that is based on Relative Total Shareholder Return shall be determined by
the Committee based on the Company’s relative ranking in respect of the Performance Period with regard to Total Shareholder Return as compared to Total Shareholder Return of the Peer Companies, and shall be a percentage determined in accordance
with the table set forth in Appendix A hereto. A company shall be a “Peer Company” if it is one of the companies listed on Appendix A hereto. Achievement with respect to the portion of the Performance Objective that is
based on Absolute Total Shareholder Return shall be determined by the Committee based on the Company’s annualized Total Shareholder Return achieved over the Performance Period, and shall be a percentage determined in accordance with the
provisions set forth in Appendix A hereto. As soon as administratively practicable following the end of the Performance Period (but in no event later than the 15th day of the third calendar month
following the calendar month in which the Performance Period ends), the Committee shall certify whether and to the extent that the Performance Objective has been achieved and will determine the number of Performance Units, if any, determined to be
earned for the Performance Period (which number of Performance Units shall equal the product of the Initial Performance Units (subject to adjustment as set forth in Section 9 hereof) multiplied by the percentage determined with respect
to Relative Total Shareholder Return pursuant to the table set forth in Appendix A hereto multiplied by the percentage determined with respect to Absolute Total Shareholder Return in accordance with the provisions set forth in Appendix A
hereto). The number of Performance Units, if any, determined by the Committee to be earned pursuant to the preceding provisions of this Section 2 shall be referred to as the “Earned  

  
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 Performance Units.” 

3. Conversion of Performance Units; Delivery of Common Stock with respect to Performance Units. Unless an earlier date applies
pursuant to Section 5(d) or Section 5(f) hereof, payment in respect of Earned Performance Units shall be made not later than the 15th day of the third calendar month following the
calendar month in which the Performance Period ends. All payments in respect of Earned Performance Units shall be made in freely transferable shares of Common Stock. Neither this Section 3 nor any action taken pursuant to or in accordance with
this Section 3 shall be construed to create a trust of any kind. Any shares of Common Stock issued to you pursuant to this Agreement in settlement of Earned Performance Units shall be in book entry form registered in your name. Any fractional
Earned Performance Units shall be rounded up to the nearest whole share of Common Stock. 
 4. Termination of Employment. 

(a) Termination without Cause. In the event that your employment with the Company terminates during the Performance Period due to your
termination of employment by the Company without Cause (as defined in the Severance Plan (as defined below)) (and not by reason of your death or Disability (as defined in the Severance Plan)), then you shall be deemed to have earned, as of the date
of your termination of employment (the “Termination Date”), that number of Performance Units equal to the product of (i) and (ii), where: 
  

	 	(i)	 equals the number of Earned Performance Units that you would have earned in accordance with Section 2
hereof assuming that (A) the Performance Period ended on the Termination Date and (B) the determination of whether, and to what extent, the Performance Objective is achieved is based on the lower of the target level of performance and the
actual performance against the stated performance criteria through the Termination Date; and 

  

	 	(ii)	 equals a fraction (the “Pro-Ration
Fraction”), (A) the numerator of which is the number of days during the Performance Period during which you were employed by the Company and (B) the denominator of which is the total number of days in the Performance Period.

 Any portion of the Performance Units that do not become earned and payable in accordance with the preceding sentence shall terminate and
automatically be cancelled as of the Termination Date. Distribution of shares of Common Stock in respect of the Performance Units determined to be earned by reason of this Section 4(a) shall be made not later than the 15th day of the third calendar month following the calendar month in which the Termination Date occurs. 

(b) Death or Disability. In the event that your employment with the Company terminates during the Performance Period due to your death
or Disability, then you shall be deemed to have earned, as of the Termination Date, that number of Performance Units equal to the number of Earned Performance Units that you would have earned in accordance with Section 2 hereof assuming that
(A) the Performance Period ended on the Termination Date and (B) the determination of whether, and to what extent, the Performance Objective is achieved is based on the higher of the target level of performance and the actual performance
against the stated performance criteria through the Termination Date. Any portion of the Performance Units that do not become earned and payable in accordance with the preceding sentence shall terminate and automatically be cancelled as of the
Termination Date. Distribution of shares of Common Stock in respect of the Performance Units determined to be earned by reason of this Section 4(b) shall be made not later than the 15th day
of the third calendar month following the calendar month in which the Termination Date occurs. 
 (c) Retirement. In the event that
your employment with the Company terminates during the Performance Period due to your retirement at or after having attained age 65, then you shall be deemed to have earned, as of the end of the Performance Period, that number of Performance Units
equal to the product of (i) and (ii), where: 
  

	 	(i)	 equals the number of Earned Performance Units that you would have earned in accordance with Section 2
hereof had you remained employed through the end of the Performance Period; and 

  

	 	(ii)	 the Pro-Ration Fraction. 

Any portion of your Performance Units that is eligible to be earned pursuant to first sentence of this subparagraph (c), but is not earned as of the end of the
Performance Period, shall terminate and be canceled upon the expiration of the Performance Period. Distribution of shares of Common Stock in respect of the Performance Units determined to be earned by reason of this Section 4(c) shall be made
at the time provided in Section 3 hereof. 

  
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 (d) Other Termination of Employment. Unless otherwise determined by the Committee at
or after grant, in the event that your employment with the Company terminates prior to the end of the Performance Period for any reason other than those listed in Section 4(a), 4(b) or 4(c) hereof, all of your Performance Units shall terminate
and automatically be canceled upon such termination of employment. 
 (e) Definitions of Severance Plan. As used in this Agreement,
the term “Severance Plan” shall mean that certain Concho Resources Inc. Executive Severance Plan, as amended from time to time in accordance with the terms thereof. 

(f) Termination of Employment. For all purposes of this Agreement, you will be considered to have terminated from employment with the
Company when you incur a “separation from service” within the meaning of Section 409A(a)(2)(A)(i) of the Code and applicable administrative guidance thereunder; provided, however, that whether such a separation from service has
occurred shall be determined based upon a reasonably anticipated permanent reduction in the level of bona fide services to be performed to no more than 49% of the average level of bona fide services provided in the immediately preceding 36 months.

 5. Change of Control. Notwithstanding the provisions of Section 1 through Section 4 hereof or the terms of any
Employment Agreement between you and the Company or any Affiliate, if you have been continuously employed from the grant date specified above until the date that a Change of Control (as in the Severance Plan) occurs (the “Change of
Control Date”), then upon the occurrence of a Change of Control your rights in respect of the Performance Units shall be determined as provided in Section 5(a) or Section 5(f) hereof, as applicable. If your employment
shall have terminated prior to the Change of Control Date, but at least some of your Performance Units remain outstanding pursuant to Section 4(c) hereof, then your rights in respect of your outstanding Performance Units shall be determined as
provided in Section 5(b) or Section 5(f) hereof, as applicable. 
 (a) Continuous Employment. Subject to Section 5(f)s,
if a Change of Control occurs and your employment has not terminated prior to the Change of Control Date, then on the Change in Control Date, your outstanding Performance Units will be automatically converted into a number of time-based Restricted
Stock that will vest, subject solely to your continued employment, on the last date of the Performance Period. The number of such time-based Restricted Stock will be equal to the number of Performance Units that would have become Earned Performance
Units in accordance with the provisions of Section 2 hereof assuming that: 
 (i) the Performance Period ended on the
Change of Control Date; and 
 (ii) the determination of whether, and to what extent, the Performance Objective is achieved
is based on the actual performance against the stated performance criteria through the Change of Control Date. 
 In the event your Performance Units are
converted into time-based Restricted Stock pursuant to this Section 5(a), and your employment is terminated as a result of a Qualifying Termination (as defined in the Severance Plan) within the two-year
period beginning on the Change of Control Date, 100% of your then-unvested Restricted Stock shall immediately vest as of your Termination Date. 

(b) Termination of Employment Upon Change of Control. Subject to Section 5(f) , if a Change of Control occurs and your employment
is terminated upon the Change of Control Date as a result of a Qualifying Termination, then you will be issued a number of shares of Common Stock equal to the number of Performance Units that would have become Earned Performance Units in accordance
with the provisions of Section 2 hereof assuming that: 
 (i) the Performance Period ended on the Change of Control
Date; and 
 (ii) the determination of whether, and to what extent, the Performance Objective is achieved is based on the
actual performance against the stated performance criteria through the Change of Control Date. 
 Notwithstanding anything herein to the contrary, in the
event that the Change of Control occurs as a result of the consummation of the transactions described in the Conoco Merger Agreement (as defined herein), the number of Earned Performance Units for purposes of this Section 5(b) shall be the
number of Initial Performance Units. 

  
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 (c) Prior Termination of Employment. If your employment terminated prior to the
Change of Control Date, but some or all of your Performance Units are still outstanding on such date pursuant to Section 4(c) hereof, then you shall receive a number of shares of Common Stock equal to the product of (i) the number of
shares of Common Stock that would have been issued to you determined as though Section 5(a) or Section 5(f) hereof was applicable to you, times (ii) the Pro-Ration Fraction. 

(d) Time and Form of Payment. Any shares of Common Stock issuable pursuant to Section 5(a) shall be issued at the time provided in
Section 3 hereof, or, if sooner, immediately upon your Termination Date. Any shares of Common Stock issuable pursuant to Section 5(b) or 5(c) shall be issued immediately following (and not later than five business days after) the Change of
Control Date and shall be fully earned and freely transferable as of the Change of Control Date. Notwithstanding anything else contained in this Section 5 to the contrary (other than Section 5(e)), if the Change of Control involves a
merger, reclassification or other reorganization or business combination pursuant to which the Common Stock is exchanged for or converted to stock of the surviving or continuing corporation in such transaction, the successor or continuing entity to
the Company or the direct or indirect parent of the Company (collectively, the “Successor Corporation”), then you shall receive, instead of each share of Common Stock otherwise deliverable hereunder, the same
consideration (whether stock, cash or other property) payable or distributable in such transaction in respect of a share of Common Stock. Any property distributed pursuant to this Section 5(d), whether in shares of the Successor Corporation or
otherwise, shall in all cases be freely transferable without any restriction (other than any such restriction that may be imposed by applicable law), and any securities issued hereunder shall be registered to trade under the Exchange Act, and shall
have been registered under the Securities Act of 1933, as amended (the “Securities Act”). 
 (e)
Alternative Form of Payment. Notwithstanding anything else contained in this Section 5 to the contrary, the Committee may elect, at its sole discretion by resolution adopted prior to the Change of Control Date, to have the Company
satisfy your rights in respect of the Performance Units (as determined pursuant to the foregoing provisions of this Section 5), in whole or in part, by having the Company make a cash payment to you within five business days of the Change of
Control Date in respect of all such Performance Units or such portion of such Performance Units as the Committee shall determine. Any cash payment for any Performance Unit shall be equal to the Fair Market Value of the number of shares of Common
Stock into which it would convert, determined on the Change of Control Date. 
 (f) Conoco Merger. Notwithstanding anything in this
Section 5 to the contrary, in the event that a Change of Control occurs as a result of the consummation of the transactions described in that certain Agreement and Plan of Merger, dated as of October 18, 2020, among ConocoPhillips, a
Delaware corporation (“Parent”), Falcon Merger Sub Corp., a Delaware corporation and a wholly owned Subsidiary of Parent, and the Company (as amended, the “Conoco Merger Agreement”), at
the Effective Time, your outstanding Performance Units shall be cancelled and converted into a Parent Restricted Stock Award in respect of that number of whole shares of Parent Common Stock (rounded to the nearest whole share) equal to the product
of (x) the number of Initial Performance Units multiplied by (y) the Exchange Ratio. As converted, each such Parent Restricted Stock Award shall (A) vest one-third per year on the first, second
and third anniversaries of the Date of Grant, (B) immediately vest in full upon a Qualifying Termination (as defined in the Severance Plan) and (C) otherwise be subject to substantially the terms and conditions set forth herein; provided,
that as of the Effective Time, the Performance Objectives set forth in Section 2 shall no longer apply. Capitalized terms used, but not defined in this Section 5(f) shall have the meanings set forth in the Conoco Merger Agreement. 

6. Clawback and Forfeiture under Certain Circumstances. Notwithstanding any provisions in this Agreement to the contrary,
any portion of the payments and benefits provided under this Agreement or the sale of shares of Common Stock shall be subject to a clawback to the extent necessary to comply with applicable law including, without limitation, the requirements of the
Dodd-Frank Wall Street Reform and Consumer Protection Act or any Securities and Exchange Commission rule. In addition, notwithstanding any provisions herein to the contrary, the Committee may terminate your Award if it determines that you have
engaged in conduct that would permit the Company to terminate your employment for cause. For purposes of the preceding sentence, the term “cause” has the meaning assigned to such term in your employment agreement with the Company or an
Affiliate; provided, however, that in the absence of such an employment agreement or if such employment agreement does not define the term “cause,” then “cause” means a determination by the Company that you have (a) engaged
in conduct that is injurious (monetarily or otherwise) to the Company or any Affiliate (including, without limitation, misuse of any of the Company’s funds or other property), (b) been convicted of, or pleaded no contest to, or received
adjudicated probation or deferred adjudication in connection with any felony or any other crime involving fraud, dishonesty or moral turpitude, (c) breached any material provision of the Plan, this Agreement or any other written agreement or
corporate policy or code of conduct established by the Company or its Affiliates, (d) engaged in gross negligence or willful misconduct in the performance of your duties, or (e) refused without proper legal reason to perform your duties.

  
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 7. Nontransferability of Awards. The Performance Units granted hereunder may
not be sold, assigned, pledged, exchanged, hypothecated or otherwise transferred, encumbered or disposed of, other than by will or by the laws of descent and distribution. Following your death, any shares distributable (or cash payable) in respect
of Performance Units will be delivered or paid, at the time specified in Section 3 hereof or, if applicable, Section 5 hereof, to your beneficiary in accordance with, and subject to, the terms and conditions hereof and of the Plan. 

8. [Reserved]. 
 9.
Adjustments in Respect of Performance Units. In the event of any common stock dividend or common stock split, recapitalization (including, but not limited to, the payment of an extraordinary dividend), merger, consolidation,
combination, spin-off, distribution of assets to stockholders, exchange of shares, or other similar corporate change with regard to the Company or any Peer Company (other than the payment of cash dividends),
appropriate adjustments shall be made by the Committee to the Initial Value of the corresponding common stock, and, if any such event occurs with respect to the Company, in the aggregate number of Performance Units subject to this Agreement. The
Committee’s determination with respect to any such adjustment shall be conclusive. 
 10. Effect of Settlement. Upon
conversion into shares of Common Stock (or Successor Corporation common stock) pursuant to Section 3 or Section 5 hereof, a cash settlement of your rights, at the election of the Committee at its sole discretion pursuant to
Section 5(e) hereof, or a combination of the issuance of Common Stock and the payment of cash in accordance with any applicable provisions of this Agreement, all of your Performance Units subject to the Award shall be cancelled and terminated.
If and to the extent that you are still employed at the end of the Performance Period, and none of your Performance Units shall have become earned in accordance with the terms of this Agreement, all such Performance Units subject to the Award shall
be cancelled and terminated. 
 11. Furnish Information. You agree to furnish to the Company all information requested by the
Company to enable it to comply with any reporting or other requirements imposed upon the Company by or under any applicable statute or regulation. 

12. Remedies. The parties to this Agreement shall be entitled to recover from each other reasonable attorneys’ fees incurred
in connection with the enforcement of the terms and provisions of this Agreement whether by an action to enforce specific performance or for damages for its breach or otherwise. 

13. Information Confidential. As partial consideration for the granting of the Award hereunder, you hereby agree with the Company
that you will keep confidential all information and knowledge, except that which has been disclosed in any public filings required by law, that you have relating to the terms and conditions of this Agreement; provided, however, that such information
may be disclosed as required by law and may be given in confidence to your spouse, tax and financial advisors, or to a financial institution to the extent that such information is necessary to secure a loan. 

14. Payment of Taxes. The Company may from time to time require you to pay to the Company (or an Affiliate if you are an employee
of an Affiliate) the amount that the Company deems necessary to satisfy the Company’s or its Affiliate’s current or future obligation to withhold federal, state or local income or other taxes that you incur as a result of the Award. With
respect to any required tax withholding, unless another arrangement is permitted by the Company in its discretion, the Company shall withhold from the shares of Common Stock to be issued to you the number of shares necessary to satisfy the
Company’s obligation to withhold taxes, that determination to be based on the shares’ Fair Market Value at the time as of which such determination is made. In the event the Company subsequently determines that the aggregate Fair Market
Value of any shares of Common Stock withheld as payment of any tax withholding obligation is insufficient to discharge that tax withholding obligation, then you shall pay to the Company, immediately upon the Company’s request, the amount of
that deficiency. 
 15. Right of the Company and Affiliates to Terminate Your Employment. Nothing contained in this Agreement
shall confer upon you the right to continue in the employ of the Company or any Affiliate, or interfere in any way with the rights of the Company or any Affiliate to terminate your employment at any time for any or no reason; provided, however, that
any such termination shall be subject to the terms and conditions of any employment agreement between you and the Company or any Affiliate. 

  
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 16. No Liability for Good Faith Determinations. Neither the Company nor the
members of the Board and the Committee shall be liable for any act, omission or determination taken or made in good faith with respect to this Agreement or the Performance Units granted hereunder. 

17. No Guarantee of Interests. The Board, the Committee and the Company do not guarantee the Common Stock of the Company from
loss or depreciation. 
 18. Company Records. Records of the Company or its Affiliates regarding your period of employment,
termination of employment and the reason therefor, leaves of absence, re-employment, and other matters shall be conclusive for all purposes hereunder, unless determined by the Company to be incorrect. 

19. Severability. If any provision of this Agreement is held to be illegal or invalid for any reason, the illegality or
invalidity shall not affect the remaining provisions hereof, but such provision shall be fully severable and this Agreement shall be construed and enforced as if the illegal or invalid provision had never been included herein. 

20. Notices. Whenever any notice is required or permitted hereunder, such notice must be in writing and personally delivered or
sent by mail. Any such notice required or permitted to be delivered hereunder shall be deemed to be delivered on the date on which it is personally delivered, or, whether actually received or not, on the third business day after it is deposited in
the United States mail, certified or registered, postage prepaid, addressed to the person who is to receive it at the address which such person has theretofore specified by written notice delivered in accordance herewith. The Company or you may
change, at any time and from time to time, by written notice to the other, the address which it or you had previously specified for receiving notices. 

The Company and you agree that any notices shall be given to the Company or to you at the following addresses: 

Company: 
 Concho Resources Inc. 

Attn: Corporate Secretary 
 One Concho Center 

600 W. Illinois Avenue 
 Midland, Texas 79701 

Holder: At your current address as shown in the Company’s records. 

21. Waiver of Notice. Any person entitled to notice hereunder may waive such notice in writing. 

22. Successor. This Agreement shall be binding upon you, your legal representatives, heirs, legatees and distributees, and upon
the Company, its successors and assigns. 
 23. Headings. The titles and headings of Sections and paragraphs are included for
convenience of reference only and are not to be considered in construction of the provisions hereof. 
 24. Governing Law. All
questions arising with respect to the provisions of this Agreement shall be determined by application of the laws of the State of Texas except to the extent Texas law is preempted by federal law. The obligation of the Company to sell and deliver
Common Stock hereunder is subject to applicable laws and to the approval of any governmental or regulatory authority (including any applicable stock exchange) required in connection with the authorization, issuance, sale, or delivery of such Common
Stock. 
 25. Execution of Receipts and Releases. Any payment of cash or any issuance or transfer of shares of Common Stock or
other property to you, or to your legal representative, heir, legatee or distributee, in accordance with the provisions hereof, shall, to the extent thereof, be in full satisfaction of all claims of such persons hereunder. The Company may require
you or your legal representative, heir, legatee or distributee, as a condition precedent to such payment or issuance, to execute a release and receipt therefor in such form as it shall determine. 

  
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 26. Amendment. This Agreement may be amended at any time unilaterally by the
Company provided that such amendment is consistent with all applicable laws and does not reduce any rights or benefits you have accrued pursuant to this Agreement. This Agreement may also be amended at any time unilaterally by the Company to the
extent the Company believes in good faith that such amendment is necessary or advisable to bring this Agreement into compliance with any applicable laws, including Section 409A of the Code. 

27. The Plan. This Agreement is subject to all the terms, conditions, limitations and restrictions contained in the Plan. 

28. Agreement Respecting Securities Act. You represent and agree that you will not sell the Common Stock that may be issued to
you pursuant to your Performance Units except pursuant to an effective registration statement under the Securities Act or pursuant to an exemption from registration under the Securities Act (including Rule 144). 

29. No Stockholder Rights. The Performance Units granted pursuant to this Agreement do not and shall not entitle you to any
rights as a stockholder of Common Stock until such time as you receive shares of Common Stock pursuant to this Agreement. Your rights with respect to the Performance Units shall remain forfeitable at all times prior to the date on which rights
become earned in accordance with this Agreement. 
 [Signatures on the following page.] 

  
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 If you accept this Performance Unit Award Agreement and agree to its terms and conditions,
please so confirm by signing and returning the duplicate of this Agreement enclosed for that purpose. 
  

			
	Very Truly Yours,
	
	CONCHO RESOURCES INC.
		
	By:	 	  

	Name:	 	Timothy A. Leach
	Title:	 	Chief Executive Officer

  

			
	ACKNOWLEDGED AND AGREED:
		
	By:	 	  

		 	<first_name> <last_name>

  
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 Appendix A 

Determination of Earned Performance Units 
 A.
Relative Total Shareholder Return 
 Peer Companies: 

OXY Occidental Petroleum Corporation 
 EOG EOG Resources, Inc.

 DVN Devon Energy Corporation 
 APA Apache Corporation 

MRO Marathon Oil Corporation 
 PXD Pioneer Natural Resources 

CLR Continental Resources, Inc. 
 HES Hess Corporation 

COG Cabot Oil & Gas Corporation 
 XEC Cimarex Energy Co.

 FANG Diamondback Energy, Inc. 
 COP ConocoPhillips 

S&P 500 Index 
 Determination of Percentage Attributable
to Relative Total Shareholder Return: 
 The percentage attributable to the achievement of Relative Total Shareholder Return shall be determined in
accordance with the following table based on the Company’s relative ranking in respect of the Performance Period with regard to Total Shareholder Return as compared to Total Shareholder Return of the Peer Companies (straight line interpolation
will be used between levels): 
  

			
	 Company’s Relative Ranking
	  	Applicable Percentage
	
90th Percentile or Above
	  	200%
	
70th Percentile
	  	150%
	
50th Percentile
	  	100%
	
25th Percentile
	  	50%
	 Below the
25th Percentile
	  	0%

  
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 B. Absolute Total Shareholder Return 

The percentage attributable to the achievement of Absolute Total Shareholder Return shall be determined in accordance with the following table based on the
Company’s annualized Total Shareholder Return for the Performance Period: 
  

			
	 Company’s annualized Total Shareholder Return for the
Performance Period
	  	Applicable Percentage
	 Greater than 15%
	  	125%
	 10% to 15%
	  	112.5%
	 5% to 10%
	  	100%
	 0% to 5%
	  	87.5%
	 Less than 0%
	  	75%

  
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 [Appendix B 

In consideration of the Performance Units granted hereunder, the Restricted Shares granted to Employee on January 4, 2021, the retention awards relating
to the transactions contemplated by the Conoco Merger Agreement granted to Employee and other severance to which Employee may become entitled, in the event the Closing Date occurs, Employee agrees that if Employee is terminated without Cause or
resigns with Good Reason, in each case, before the second anniversary of the Closing Date (a “Triggering Event”), then during the Restricted Period, Employee shall not, directly or indirectly participate in the
ownership, management, operation or control of, or be connected as an officer, employee, partner, director, contractor or otherwise with, any Competitor; provided, however, that this provision shall not preclude Employee from owning less than 2% of
the equity securities of any publicly held Competitor so long as Employee does not serve as an employee, officer, director or consultant to such business. Notwithstanding the foregoing, if the Conoco Merger Agreement terminates before the Closing
Date occurs, this Appendix B and the covenants set forth here in shall be null and void ab initio and of no further force and effect. 
 In addition,
in the event the Closing Date occurs, Good Reason (for purposes of determining if a Qualifying Termination has occurred under the Performance Units granted hereunder and the Restricted Shares granted to Employee on January 4, 2021) shall be
based on the definition in this Appendix B. 
 Capitalized terms used in this Appendix B that are not defined below or in the body of this Appendix B shall
have the meanings given to them in the Agreement. In addition to the terms defined in the body of this Appendix B, the following capitalized words and terms shall have the meanings indicated below: 

“Closing Date” shall have the meaning assigned to such term under the Conoco Merger Agreement. 

“Competitor” means each of Apache Corporation, BP plc, Chevron Corporation, Devon Energy Corporation, EOG Resources, Inc.,
Exxon Mobil Corporation, Hess Corporation, Marathon Oil Corporation, Noble Energy, Inc., Occidental Petroleum Corporation, Royal Dutch Shell plc and Total SA. 

“Good Reason” shall have the meaning assigned to such term in Employee’s letter agreement, dated November 13, 2020
with Parent. 
 “Restricted Period” shall mean the period of time commencing upon a Triggering Event and ending upon the
second anniversary of the Closing Date. ]1 
  

	1 	 For T Leach, J. Harper and W. Giraud only. 

  
 12EX-10.2

 Exhibit 10.2 

CONCHO RESOURCES INC. 

2019 STOCK INCENTIVE PLAN 

RESTRICTED STOCK AGREEMENT 

THIS RESTRICTED STOCK AGREEMENT (this “Agreement”) is made on <award_date> (the
“Date of Grant”), between CONCHO RESOURCES INC., a Delaware corporation (the “Company”), and <first_name> <last_name> (the
“Employee”). 
 1. Award. Pursuant to the CONCHO RESOURCES INC. 2019 STOCK INCENTIVE PLAN
(the “Plan”), as of the Date of Grant, <shares_awarded> shares (the “Restricted Shares”) of the Company’s common stock, par value $0.001 per share, shall be issued as
hereinafter provided in the Employee’s name subject to certain restrictions thereon. The Restricted Shares shall be issued upon acceptance hereof by the Employee and upon satisfaction of the conditions of this Agreement. The Employee
acknowledges receipt of a copy of the Plan, and agrees that this award of Restricted Shares shall be subject to all of the terms and provisions of the Plan, including future amendments thereto, if any, pursuant to the terms thereof. 

2. Definitions. Capitalized terms used in this Agreement that are not defined below or in the body of this Agreement shall have
the meanings given to them in the Plan. In addition to the terms defined in the body of this Agreement, the following capitalized words and terms shall have the meanings indicated below: 

(a) “Cause” shall have the meaning assigned to such term under the Severance Plan. 

(b) “Change of Control” shall have the meaning assigned to such term under the Severance Plan. 

(c) “Disability” shall have the meaning assigned to such term under the Severance Plan. 

(d) “Earned Shares” means the Restricted Shares after the lapse of the Forfeiture Restrictions without
forfeiture. 
 (e) “Forfeiture Restrictions” shall have the meaning specified in Section 3(a) hereof.

 (f) “Qualifying Termination” shall have the meaning assigned to such term under the Severance Plan. 

(g) “Severance Plan” shall mean that certain Concho Resources Inc. Executive Severance Plan, as amended from
time to time in accordance with the terms thereof. 
 3. Restricted Shares. The Employee hereby accepts the Restricted Shares when issued and
agrees with respect thereto as follows: 
 (a) Forfeiture Restrictions. The Restricted Shares may not be sold, assigned,
pledged, exchanged, hypothecated or otherwise transferred, encumbered or disposed of, and in the event of termination of the Employee’s employment with the Company for any reason other than as described in Section 3(b) below, the Employee
shall, for no consideration, forfeit to the Company all Restricted Shares. The prohibition against transfer and the obligation to forfeit and surrender Restricted Shares to the Company upon termination of employment as provided in the preceding
sentence are herein referred to as the “Forfeiture Restrictions.” The Forfeiture Restrictions shall be binding upon and enforceable against any transferee of Restricted Shares. 

(b) Lapse of Forfeiture Restrictions. Provided that the Employee has been continuously employed by the Company from the Date of
Grant through the lapse date set forth in the following schedule, the Forfeiture Restrictions shall lapse with respect to a percentage of the Restricted Shares determined in accordance with the following schedule: <vesting_schedule> 

Notwithstanding the foregoing, (i) subject to Section 3.4 (relating to a release agreement) of the Severance Plan, if the Employee’s employment
with the Company is terminated by the Company without Cause, and not by reason of death or Disability, then the Forfeiture Restrictions shall lapse with respect to a pro-rated number of then unvested
Restricted Shares based upon the number of days that the Employee was employed by the Company during the vesting period applicable to such unvested Restricted Shares divided by the total number of days in such vesting period, (ii) if the
Employee’s employment with the Company is terminated by reason of death or Disability, then the Forfeiture Restrictions shall lapse with respect to 100% of the Restricted Shares effective as of the date of such termination, and
(iii) subject to the provisions of Section 3.4 (relating to a release agreement) and Section 3.5 (relating to parachute payments) of the Severance Plan, if the Employee’s employment with the Company shall be subject to an
Qualifying Termination within the two-year period beginning on the date upon which a Change of Control occurs, then the Forfeiture Restrictions shall lapse with respect to 100% of the Restricted Shares
effective as of the date of such Qualifying Termination. Any shares with respect to which the Forfeiture Restrictions do not lapse in accordance with the preceding provisions of this Section 3(b) shall be forfeited to the Company for no
consideration as of the date of the termination of the Employee’s employment with the Company. 

  
 1 

 (c) Certificates. A certificate evidencing the Restricted Shares shall be
issued by the Company in the Employee’s name, pursuant to which the Employee shall have all of the rights of a stockholder of the Company with respect to the Restricted Shares, including, without limitation, voting rights and the right to
receive dividends (provided, however, that dividends paid in shares of the Company’s stock shall be subject to the Forfeiture Restrictions and further provided that dividends that are paid other than in shares of the Company’s stock shall
be paid no later than the end of the calendar year in which the dividend for such class of stock is paid to stockholders of such class or, if later, the 15th day of the third month following the date the dividend is paid to stockholders of such
class of stock). Notwithstanding the foregoing, the Company may, in its discretion, elect to complete the delivery of the Restricted Shares by means of electronic, book-entry statement, rather than issuing physical share certificates. The Employee
may not sell, transfer, pledge, exchange, hypothecate or otherwise dispose of the stock until the Forfeiture Restrictions have expired, and a breach of the terms of this Agreement shall cause a forfeiture of the Restricted Shares. The certificate,
if any, shall be delivered upon issuance to the Secretary of the Company or to such other depository as may be designated by the Committee as a depository for safekeeping until the forfeiture of such Restricted Shares occurs or the Forfeiture
Restrictions lapse pursuant to the terms of the Plan and this Agreement. At the Company’s request, the Employee shall deliver to the Company a stock power, endorsed in blank, relating to the Restricted Shares. Upon the lapse of the Forfeiture
Restrictions without forfeiture, the Company shall cause a new certificate or certificates to be issued without legend (except for any legend required pursuant to applicable securities laws or any other agreement to which the Employee is a party) in
the name of the Employee in exchange for the certificate evidencing the Restricted Shares or, as may be the case, the Company shall issue appropriate instructions to the transfer agent if the electronic, book-entry method is utilized. 

(d) Corporate Acts. The existence of the Restricted Shares shall not affect in any way the right or power of the Board or the
stockholders of the Company to make or authorize any adjustment, recapitalization, reorganization or other change in the Company’s capital structure or its business, any merger or consolidation of the Company, any issue of debt or equity
securities, the dissolution or liquidation of the Company or any sale, lease, exchange or other disposition of all or any part of its assets or business or any other corporate act or proceeding. The prohibitions of Section 3(a) hereof shall not
apply to the transfer of Restricted Shares pursuant to a plan of reorganization of the Company, but the stock, securities or other property received in exchange therefor shall also become subject to the Forfeiture Restrictions and provisions
governing the lapsing of such Forfeiture Restrictions applicable to the original Restricted Shares for all purposes of this Agreement, and the certificates, if any, representing such stock, securities or other property shall be legended to show such
restrictions. 
 (e) Conoco Merger. In the event that a Change of Control occurs as a result of the consummation of the
transactions described in that certain Agreement and Plan of Merger, dated as of October 18, 2020, among ConocoPhillips, a Delaware corporation (“Parent”), Falcon Merger Sub Corp., a Delaware corporation and a
wholly owned Subsidiary of Parent, and the Company (as amended, the “Conoco Merger Agreement”), at the Effective Time, the Restricted Shares shall, in accordance with Section 3.2(a) of the Conoco Merger Agreement,
be cancelled and converted into a Parent Restricted Stock Award in respect of a number of whole shares of Parent Common Stock (rounded up to the nearest whole share) equal to the product of (x) the number of shares of the Company’s common
stock subject to such Restricted Shares multiplied by (y) the Exchange Ratio. As converted , the Parent Restricted Stock Award shall vest one-third per year on the first, second and third anniversaries of
the Date of Grant and shall otherwise be subject to substantially the terms and conditions set forth herein, including, but not limited to, accelerated vesting upon a Qualifying Termination as described in Section 3(b) hereof. Capitalized terms
used, but not defined in this Section 3(e) shall have the meanings set forth in the Conoco Merger Agreement. [In addition, in the event transactions contemplated by the Conoco Merger Agreement are completed, the “Succession”
Restricted Shares that were granted to you on January 2, 2019 shall vest in three equal installments on each of January 2, 2022, 2023 and 2024, subject to such other terms and conditions of the applicable award agreement (including
immediate vesting acceleration upon a Qualifying Termination (as defined therein).]1 

 

	1 	 For Messrs. Harper and Giraud only. 

  
 2 

 4. Withholding of Tax. To the extent that the receipt of the Restricted Shares or the lapse of
any Forfeiture Restrictions results in compensation income or wages to the Employee for federal, state or local tax purposes, the Employee shall deliver to the Company at the time of such receipt or lapse, as the case may be, such amount of money as
the Company may require to meet its minimum obligation under applicable tax laws or regulations, and if the Employee fails to do so, the Company is authorized to withhold from any cash or stock remuneration (including withholding any Restricted
Shares or Earned Shares distributable to the Employee under this Agreement) then or thereafter payable to the Employee any tax required to be withheld by reason of such resulting compensation income or wages. The Employee acknowledges and agrees
that the Company is making no representation or warranty as to the tax consequences to the Employee as a result of the receipt of the Restricted Shares, the lapse of any Forfeiture Restrictions or the forfeiture of any Restricted Shares pursuant to
the Forfeiture Restrictions. 
 5. Status of Stock. The Employee agrees that the Restricted Shares and Earned Shares issued under this
Agreement will not be sold or otherwise disposed of in any manner which would constitute a violation of any applicable federal or state securities laws. The Employee also agrees that (a) the certificates, if any, representing the Restricted
Shares and Earned Shares may bear such legend or legends as the Committee deems appropriate in order to reflect the Forfeiture Restrictions and to assure compliance with the terms and provisions of this Agreement and applicable securities laws,
(b) the Company may refuse to register the transfer of the Restricted Shares or Earned Shares on the stock transfer records of the Company if such proposed transfer would constitute a violation of the Forfeiture Restrictions or, in the opinion
of counsel satisfactory to the Company, of any applicable securities law, and (c) the Company may give related instructions to its transfer agent, if any, to stop registration of the transfer of the Restricted Shares. 

6. Employment Relationship. For purposes of this Agreement, the Employee shall be considered to be in the employment of the Company as long as
the Employee remains an employee of either the Company or an Affiliate. Without limiting the scope of the preceding sentence, it is specifically provided that the Employee shall be considered to have terminated employment with the Company at the
time of the termination of the “Affiliate” status of the entity or other organization that employs the Employee. Nothing in the adoption of the Plan, nor the award of the Restricted Shares thereunder pursuant to this Agreement, shall
confer upon the Employee the right to continued employment by the Company or affect in any way the right of the Company to terminate such employment at any time. Unless otherwise provided in a written employment agreement or by applicable law, the
Employee’s employment by the Company shall be on an at-will basis, and the employment relationship may be terminated at any time by either the Employee or the Company for any reason whatsoever, with or
without cause or notice. Any question as to whether and when there has been a termination of such employment, and the cause of such termination, shall be determined by the Committee or its delegate, and its determination shall be final. 

7. Notices. Any notices or other communications provided for in this Agreement shall be sufficient if in writing. In the case of the Employee,
such notices or communications shall be effectively delivered if hand delivered to the Employee at the Employee’s principal place of employment or if sent by registered or certified mail to the Employee at the last address the Employee has
filed with the Company. In the case of the Company, such notices or communications shall be effectively delivered if sent by registered or certified mail to the Company at its principal executive offices. 

8. Entire Agreement; Amendment. This Agreement replaces and merges all previous agreements and discussions relating to the same or similar
subject matters between the Employee and the Company and constitutes the entire agreement between the Employee and the Company with respect to the subject matter of this Agreement. This Agreement may not be modified in any respect by any verbal
statement, representation or agreement made by any employee, officer, or representative of the Company or by any written agreement unless signed by an officer of the Company who is expressly authorized by the Company to execute such document. 

9. Binding Effect; Survival. This Agreement shall be binding upon and inure to the benefit of any successors to the Company and all persons
lawfully claiming under the Employee. The provisions of Section 5 shall survive the lapse of the Forfeiture Restrictions without forfeiture. 
 10.
Controlling Law. This Agreement shall be governed by, and construed in accordance with, the laws of the State of Texas, without regard to conflicts of law principles thereof, or, if applicable, the laws of the United States.

 [Signatures begin on next page.] 

  
 3 

 IN WITNESS WHEREOF, the Company has caused this Agreement to be duly executed by an
officer thereunto duly authorized, and the Employee has executed this Agreement, all as of the date first above written. 
  

					
	CONCHO RESOURCES INC.
		
	By:	 	
             

		 	Name:	 	Timothy A. Leach
		 	Title:	 	Chief Executive Officer
	
	
             

	<first_name> <last_name>

  
 4

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