Document:

Exhibit
10.1

 

MATERIALS
SUPPLY AGREEMENT

 

This
Materials Supply Agreement (“Agreement”) is entered into and effective as of April 17, 2020 (“Effective
Date”), by and between Purebase Corp (“Purebase”), a corporation organized under the laws of the
State of Nevada with offices located at 8631 State Highway 124, P.O. Box 757, Ione, California 95640 and U S Mine Corp. (“US
Mine Corp”), a Nevada corporation organized under the laws of the State of Nevada with offices located at 8625 State
Highway 124, Ione, P.O. Box 580 California 95640. Purebase and US Mine Corp are collectively referred to herein as the “Parties”
and individually as a “Party.”

 

Recitals

 

A.
Pursuant to an existing mining agreement by and between US Mine Corp and U S Mine, LLC, a California limited liability
company (“US Mine LLC”), US Mine Corp holds the right to mine, process and sell certain raw clay materials
(collectively, the “Materials”) that are located in, on or about land owned by US Mine LLC (the
Properties.)

 

B.
WHEREAS, US Mine Corp will mine and transport the minerals owned by US Mine LLC and;

 

C.
Purebase shall have the right to acquire certain clays for its agricultural and supplementary cementitious materials (SCM)
businesses as per the services/supply agreement herein for the mineral products identified in Exhibit “A”. 

 

NOW,
THEREFORE, in consideration of the premises and agreements contained herein, and other good and valuable consideration, the receipt
and sufficiency of which are hereby acknowledged, the Parties hereby agree as follows:

 

TERMS
OF AGREEMENT

 

1.
 Incorporation of Recitals. The Recitals set forth above are a material part of
this Agreement and are incorporated herein by this reference.

 

2.
 Requirements Contract.

 

(a)
US Mine Corp shall use commercially reasonable efforts to supply Purebase with all of its requirements for Materials requested
under this Agreement. Purebase agrees to purchase from US Mine Corp those requirements for Materials as identified in Exhibit
A attached hereto and incorporated herein by this reference, which may be amended, modified or supplemented after the Effective
Date hereof in accordance with this Agreement. However, should Purebase determine to obtain some or all of the Materials from
a source other than US Mine Corp, then in such case, Purebase shall modify Exhibit A as, and if necessary, to reflect any
resulting change in the requirements for Materials from US Mine Corp.

 

(b)
All kaolin clay provided pursuant to this Agreement shall be used exclusively for agricultural products and supplementary cementitious
materials (SCM) products. US Mine Corp will supply metakaolin for the material for the purpose of SGM. 

 

3. Materials
Orders. All direct purchases of Materials by Purebase shall be made pursuant to a supply order, or other similar format or
procedure mutually agreed upon between the Parties (“Supply Order”). Each Supply Order shall clearly specify
the type of Materials, quantities, specifications, and the requested delivery date. All Supply Orders shall be FOB the US Mine
Corp facility located at 8625 State Highway 124, Ione, California (“US Mine Corp Facility”). US Mine Corp shall
use commercially reasonable efforts to deliver all Materials ordered by Purebase in accordance with each Supply Order. Except
to the extent this Agreement explicitly permits modification of its terms in a Supply Order, to the extent the Supply Order conflicts
with this Agreement, this Agreement shall prevail.

 

    	 	 	 

    	 

    

 

4. Purchase
Price. The cost per unit prices for Materials delivered under a Supply Order shall be as reflected in Exhibit A. If
any other customer of US Mine Corp obtains pricing with respect to any Materials which is more favorable (taking into account
all credits, discounts, rebates, adjustments, bonuses, allowances or any other incentives offered) than those terms provided to
Purebase at any time during the term of this Agreement, US Mine Corp shall adjust the cost to Purebase for such Materials to conform
to the more favorable terms. Purebase shall be responsible for payment of all freight, insurance, and other delivery charges from
the point upon delivery of the Materials FOB the US Mine Corp Facility. Purebase shall be responsible for all taxes with respect
to the sale and purchase of the Materials.

 

5. Delivery;
Risk of Loss. Unless otherwise agreed to in writing by the Parties, title and risk of loss with respect to the Materials shall
remain in US Mine Corp until the Materials have been tendered to Purebase or an agent or consignee duly designated by Purebase,
at US Mine Corp’s mine site whereupon, upon acceptance by Purebase, title and risk of loss shall pass to Purebase.

 

6. Specifications.

 

(a)
All Materials furnished by US Mine Corp shall conform to the mutually agreed upon requested specifications in the Supply Orders.
No material deviation or substitution from the specifications set forth on the Supply Order is permitted without the prior written
consent of Purebase. Purebase shall have the right at all times during this Agreement, at its sole cost and expense, to conduct
such tests and inspections as Purebase deems necessary to assure the Materials comply with its specifications. Purebase will be
supplied, as agreed and needed.

 

(b)
US Mine Corp. shall mine and process the Materials to Purebase’s specifications which specifications shall remain proprietary
to Purebase. Such specifications may include organic certification requirements. Such specifications cannot be altered or changed
without the express written consent of Purebase.

 

(c)
Will perform all operations and tasks in compliance with NOP standards as described in the quality assurance manual provided by
Purebase.

 

(d)
US Mine Corp shall insure that its equipment, personnel and operational practices comply with NOP standards.

 

7. Payment.
Purebase shall pay amount due under each invoice upon delivery of the Materials. Any amounts not paid after thirty days shall
bear interest from the due date at (12%) per annum.

 

8. Weighing
of Materials. In order to accurately determine the net total tonnage of each of the Materials provided, the Parties agree
to use the existing certified truck platform scale located at the US Mine Corp property, located at 8625 Hwy 124, Ione, CA 95640.
All Materials shall be weighed on a truckload basis for bulk Material.

 

9. Term.
The initial term of this Agreement shall commence on the Effective Date and shall remain in effect for three (3) years. Thereafter,
this Agreement shall renew automatically for three (3) successive one (1) year periods unless either Party elects to terminate
this Agreement upon written notice to the other Party at least sixty (60) days prior to the end of the then-current term. The
initial term of this Agreement and any extensions thereof shall be referred to collectively as the “Term.”

 

10. Termination.
This Agreement may be terminated:

 

(a) by
US Mine Corp in the event that Purebase fails to make any payments due under this Agreement when due, and fails to cure such non-payment
within ninety (90) days after receiving written notice from US Mine Corp.

 

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(b) by
either Party in the event that the other Party materially breaches or fails to comply with any other material provision of this
Agreement, and fails to cure such breach within ninety (90) days after written notice is received from the non-breaching Party
(or if such breach cannot be cured within ninety (90) days, fails commence to cure within such time or fails to diligently pursue
the cure after such ninety (90) day period); or

 

(c) by
either Party in the event that the other Party ceases doing business or is otherwise unable to fulfill its obligations pursuant
to this Agreement, or is adjudicated a bankrupt, or makes a general assignment for the benefit creditors, or has a receiver or
liquidator appointed, such termination to be effective immediately upon written notice from the terminating Party.

 

11. Effect
of Termination. Upon termination of this Agreement, US Mine Corp shall use commercially reasonable efforts to sell any unused
processed and/or bagged Materials that Purebase ordered pursuant to the last Supply Order submitted to US Mine Corp immediately
prior to the termination of this Agreement to other customers that US Mine Corp has for the next 60 days from US Mine Corp’s
receipt of Notice of Termination from Purebase, in order to mitigate any damages that US Mine Corp may incur as a result of such
Termination. However, Purebase acknowledges and agrees that should US Mine Corp still have unsold Materials in its possession
from Purebase’s last Supply Order after the 60 days, then Purebase will be responsible for paying any fees due for the remaining
amount of the Materials that Purebase’s last Supply Order in US Mine Corp’s possession that meet the Purebase’s
specifications as defined in Exhibit A.

 

12. Force
Majeure. Neither Party shall be deemed to be in default of its obligations hereunder (other than the obligation to make payments
arising prior to the date of the applicable Force Majeure) to the extent any delay in its performance is caused by or is the result
of factors beyond its reasonable control, including, without limitation, fire, explosion, accident, riot, terrorism, flood, drought,
storm, earthquake, lightning, frost, civil commotion, sabotage, vandalism, smoke, hail, embargo, pandemic, loss of power, act
of God or of a public enemy, other casualty, strike or lockout (collectively, an event of “Force Majeure”).
Upon the occurrence of an event of Force Majeure that prevents US Mine Corp from supplying Materials to Purebase, Purebase shall
have the right to purchase its requirements of such Materials from any available alternate source until such time as US Mine Corp
is able to recommence performance under this Agreement.

 

13. Defective
or Nonconforming Materials. US Mine Corp agrees that all the Materials will meet the specifications in all material respects.
Any Materials which must meet organic certification shall be free from all contaminates including cross contamination
by other clays, minerals, sands, equipment, personnel. Any such contamination shall be considered nonconforming materials. If
the Materials provided by US Mine Corp meet the specifications, it will be accepted, and the fee to US Mine Corp shall be paid.
If Purebase finds that any of the Materials specifications are not met, then Purebase shall promptly notify US Mine Corp of the
problem in writing and provide US Mine Corp with its test data and results. Purebase agrees to provide US Mine Corp written notification
of any nonconformity within fifteen (15) days of receipt of the Materials during which period Purebase may reject any Materials
not meeting the stated specifications without further liability or cost and US Mine Corp shall be responsible for loading and
transporting nonconforming Materials off Purebase’s premises. In the event US Mine Corp has not received a notice from Purebase
within fifteen (15) days of Purebase's receipt of the Materials, the Materials shall be deemed to be accepted by Purebase.

 

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14. LIMITED
WARRANTY. SO LONG AS USMC HAS PERFORMED TO THE SPECIFICATIONS REQUESTED, PUREBASE ACCEPTS SOLE RESPONSIBILITY FOR SELECTING
THE TYPE OF MATERIALS HEREUNDER AND PROVIDING THE SPECIFICATIONS THEREFORE. PUREBASE ACKNOWLEDGES THAT THE MATERIALS SUPPLIED
UNDER THIS AGREEMENT ARE SUPPLIED IN ACCORDANCE WITH SPECIFICATIONS FURNISHED TO AND RELIED UPON BY US MINE CORP, AND
PUREBASE UNDERTAKES SOLE RESPONSIBILITY FOR ALL USES OF THE MATERIALS BY PUREBASE CUSTOMERS.

 

15. Indemnification.

 

(a) Purebase
shall indemnify, defend, and hold harmless US Mine Corp and its officers, directors, employees, agents, subsidiaries, successors
and assigns from and against any and all claims, costs, liabilities, debts, demands, suits, actions, causes of action, proceedings,
damages, judgments, liens, expenses, or obligations of whatever kind or nature, including attorneys’ fees and costs, the
costs of all other professionals, and all court or arbitration or other dispute resolution costs (collectively, “US Mine
Corp Claims”), arising out of or related to (i) the design or specifications of the Materials as set forth in Exhibit
A; (ii) the marketing, advertisement, sale, or distribution of Purebase's finished products or services in which the Materials
are used; (iii) any contamination of or defect in the Materials arising after delivery by US Mine Corp; or (iv) the use of Purebase's
finished products or services by any person. The foregoing indemnity obligations shall not apply to the extent any such US Mine
Corp Claims are ultimately established by a court of competent jurisdiction to have been caused by the gross negligence or willful
misconduct of US Mine Corp. US Mine Corp shall give Purebase prompt written notice of any claim or lawsuit arising for or relating
to Items (i) – (iv) above and shall permit Purebase to undertake the defense thereof at Purebase's expense. If Purebase
fails to do so, US Mine Corp shall have the right, but not the obligation, to defend any US Mine Corp Claim and to charge all
of the direct or incidental costs of such defense, including attorneys’ fees and costs, to Purebase and to recover the same
from Purebase. If Purebase accepts the defense, US Mine Corp shall have the right to participate in such defense, at its own expense,
to the extent that in its judgment US Mine Corp may be prejudiced thereby. US Mine Corp shall cooperate in any defense, to the
extent reasonably requested by Purebase, at Purebase's expense. In any claim made or suit brought from which US Mine Corp seeks
indemnification under this Section 16(a), US Mine Corp shall not settle, offer to settle, or admit liability or damages without
the prior written consent of Purebase, such consent not being unreasonably withheld.

 

(b)
US Mine Corp shall indemnify, defend, and hold harmless Purebase and its officers, directors, employees, agents,
subsidiaries, successors and assigns from and against any and all claims, costs, liabilities, debts, demands, suits, actions,
causes of action, proceedings, damages, judgments, liens, expenses, or obligations of whatever kind or nature, including
attorneys’ fees and costs, the costs of all other professionals, and all court or arbitration or other dispute
resolution costs (collectively, “Purebase Claims”), to the extent caused by US Mine Corp arising out of or
related to (i) the mining, production, processing or packaging of the Materials; (ii) any contamination of or defect in the
Materials arising prior to delivery to Purebase including any failure to meet all NOP specification applicable to such
Material and whether such contamination or defect is identified before or after delivery to Purebase; or (iii) any improper
packaging, labeling or Bill of Lading of such Material by US Mine Corp. The foregoing indemnity obligations shall not apply
to the extent any such Purebase Claims are ultimately established by a court of competent jurisdiction to have been caused by
the gross negligence or willful misconduct of Purebase. Purebase shall give US Mine Corp prompt written notice of any claim
or lawsuit arising from or relating to Items (i) – (ii) above and shall permit US Mine Corp to undertake the defense
thereof at US Mine Corp 's expense. If US Mine Corp fails to do so, Purebase shall have the right, but not the obligation, to
defend any Purebase Claim and to charge all of the direct or incidental costs of such defense, including attorneys’
fees and costs, to US Mine Corp and to recover the same from US Mine Corp. If US Mine Corp accepts the defense, Purebase
shall have the right to participate in such defense, at its own expense, to the extent that in its judgment Purebase may be
prejudiced thereby. Purebase shall cooperate in any defense, to the extent reasonably requested by US Mine Corp, at US Mine
Corp 's expense. In any claim made or suit brought from which Purebase seeks indemnification under this Section 16(b),
Purebase shall not settle, offer to settle, or admit liability or damages without the prior written consent of US Mine Corp,
such consent not being unreasonably withheld.

 

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16. Miscellaneous
Provisions.

 

(a) Notices.
Any notice to be given or to be served upon either Party hereto in connection with this Agreement must be in writing and
shall be deemed to have been given and received (i) when personally delivered, (ii) when verified received if sent by fax or
email, (iii) two (2) days after it is sent by Federal Express or similar overnight courier, postage prepaid and addressed to
the Party for whom it is intended, at that Party's address specified below, or (iv) three (3) days after it is sent by
certified or registered United States mail, return receipt requested, postage prepaid and addressed to the Party for whom it
is intended, at that Party's address specified below:

 

PUREBASE:
Purebase Corp

Attention: A. Scott Dockter, Chairman, CEO

8631 Highway 124

P.O. Box 757

Ione,
California 95640

 

US
MINE CORP: U S Mine Corp

Attention: John Bremer, President

8625
Highway 124

P.O.
Box 580

Ione, California 95640

 

Either
party may change the place for the giving of notice to it by thirty (30) days prior written notice to the other party as provided
herein.

 

(b) Binding
Effect. This Agreement is binding upon, and inures to the benefit of, each Party hereto and its directors, officers,
employees, agents, representatives, affiliates, assigns, and successors.

 

(c) Independent
Contractor. US Mine Corp shall act as an independent contractor in furnishing the goods and services provided for in this
Agreement and shall furnish such goods and services in US Mine Corp’s own manner and method and in no respect, shall US
Mine Corp be considered an agent or employee of Purebase, maintaining complete control over all employees and operations. No
provisions of this Agreement shall be construed to create a partnership or joint venture between Purebase and US Mine Corp,
and neither Party shall have the power to bind or obligate the other Party, except as expressly set forth in this
Agreement.

 

(d) Non-Waiver.
Neither Party shall be deemed, by any act of omission or commission, to have waived any of its rights or remedies hereunder
unless such waiver is in writing and signed by that Party, and then only to the extent specifically set forth in writing. A
waiver with reference to one event shall not be construed as continuing or as a bar to or waiver of any right or remedy as to
a subsequent event.

 

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(e) Severability. If any provision of this Agreement is held by a court of competent jurisdiction to be invalid,
void, or unenforceable, the remaining provisions of this Agreement will continue in full force and effect without being
impaired or invalidated in any way and will be construed in accordance with the purposes and intent of this Agreement as set
forth by the Parties.

 

(f) Interpretation.
Each Party acknowledges that it has participated in the drafting of this Agreement, and any applicable rule of construction
to the effect that ambiguities are to be resolved against the drafting Party will not be applied in connection with the
construction or interpretation of this Agreement.

 

(g) Opportunity
to Consult Counsel. Each Party represents to the other that it has had an opportunity to have this Agreement reviewed by legal
counsel of its choosing and has done so to its satisfaction, that it has had a full opportunity to review the terms of this Agreement,
that it fully understands the legal effect of each provision of this Agreement, and that it has willingly consented to the terms
of this Agreement. Purebase has obtained a fairness opinion from independent counsel confirming this Agreement represents a fair
agreement based on an arms-length third party negotiated agreement comparison.

 

(h) Further
Acts. Each party agrees to perform any further acts and to execute and deliver any documents which may be reasonably
necessary to carry out the provisions of this Agreement.

 

(i) Governing
Law. This Agreement shall be governed by and interpreted in accordance with the laws of the State of California,
excluding any choice of law provisions.

 

(j) Jurisdiction;
Venue. Any action taken to enforce this Agreement shall be maintained in the Superior Court of Amador County, California.
The parties expressly consent to the jurisdiction of said court and agree that said court shall be a proper venue for any
such action.

 

(k) Attorney’s
Fees. In the event any action, including arbitration, shall be brought to interpret or enforce any provision of this
Agreement, the prevailing party shall be entitled to reasonable costs, including attorney's fees, in addition to any other
recovery to which they may be entitled.

 

(l) Mutual
Representations. Each Party hereby represents and warrants to the other: that it has full corporate power and authority
and is duly authorized under applicable law, its articles of incorporation and its by-laws, to own its properties and to
conduct its business as presently conducted and as herein contemplated, and to enter into and perform this Agreement in
accordance with the terms hereof; and that neither such entering into nor such performance violates or will violate such
articles of incorporation or by-laws or any agreement or other instrument, or any federal, state or local law, regulation or
ordinance applicable to such Party or by which it is bound. Purebase acknowledges that certain members of its board of
directors hold an ownership interest in each Party and as a result have a personal financial interest in the transaction
contemplated by this Agreement. Purebase has obtained the approval or unanimous consent of the transactions contemplated by
this Agreement from its disinterested directors, each of whom have been fully advised of and provided with the details
concerning the nature of the common ownership and personal interests of the interested directors in accordance with Section
78.140 of the Nevada Revised Statutes. Purebase has obtained a fairness opinion from independent counsel opining that the
transactions contemplated by this Agreement are fair to Purebase.

 

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(m) Modifications
Must Be Made in Writing. This Agreement may not be modified, altered, or changed in any manner whatsoever except by a
written instrument duly executed by authorized representatives of the Parties.

 

(n) Entire
Agreement. This Agreement and the documents and Agreements referred to herein or executed pursuant hereto, constitute the
entire agreement of the Parties as to the subject matters addressed by this Agreement, and supersede any prior written or
oral agreements between them concerning the subject matter contained herein. There are no representations, agreements,
arrangements, or understandings, oral or written, between and among the Parties, relating to the subject matter contained in
this Agreement, which are not fully referred to or expressed herein.

 

(o) Counterparts.
This Agreement may be executed in two or more counterparts, each of which is an original, but all of which together will be deemed
to be one and the same instrument. Electronically reproduced and/or transmitted signatures are equivalent to original signatures
for all purposes hereof.

 

IN
WITNESS WHEREOF, the Parties have executed this Agreement as of the Effective Date.

 

	 	U
    S MINE CORP., a Nevada corporation	 
	 	 	 	 
	 	By:

	 	 
	 	Name:	John
    Bremer	 
	 	Its:	President	 
	 	 	 	 
	 	PUREBASE
    CORP., a Nevada corporation	 
	 	 	 	 
	 	By:

	 	 
	 	Name:	A.
    Scott Dockter	 
	 	Its:	Chairman,
    CEO	 

 

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EXHIBIT
A

PRICE
LIST

 

Purebase
Agricultural, Inc. agrees to pay the following prices:

 

	Product	 	Price
	Kaolin
        Clay exclusively for SCM products 

         

        

        Kaolin
        Clay exclusively for Organic Agriculture

        
	 	$25
        per US ton to US Mine Corp + $5 royalty to US Mine LLC

         

        

        $145
        per US Ton for bagged products to US Mine Corp + $5 royalty to US Mine LLC

        

        

 

    	 	8scyx-ex1024_104.htm

Exhibit 10.24

 

Our non-employee directors are compensated in accordance with the following policy:

Each non-employee director receives an annual base cash retainer of $35,000 for such service, to be paid quarterly. In addition, the chairman of the Board receives an additional annual base cash retainer of $28,000, to be paid quarterly. 

In addition, each member of a committee receives compensation for service on a committee as follows:

	
 
	
a.
	
The chairperson of the Audit Committee receives an annual cash retainer of $15,000 for this service, paid quarterly, and each of the other members of the Audit Committee receives an annual cash retainer of $7,500, paid quarterly.

	
 
	
b.
	
The chairperson of the Compensation Committee receives an annual cash retainer of $11,000 for this service, paid quarterly, and each of the other members of the Compensation Committee receive an annual cash retainer of $5,500, paid quarterly.

	
 
	
c.
	
The chairperson of the Nominating and Corporate Governance Committee receive an annual cash retainer of $7,500 for this service, paid quarterly, and each of the other members of the Nominating and Corporate Governance Committee receive an annual cash retainer of $3,750, paid quarterly.

The Board has established our non-employee director compensation policy with respect to equity grants to provide that each year on the first business day following the company’s annual meeting of stockholders, each non-employee director will automatically be granted an option to purchase 55,000 shares of the company’s common stock.  These annual grants will have an exercise price per share equal to the fair market value of a share of common stock on the date of grant and will vest in full on the one-year anniversary of the grant date, provided that the non-employee director is providing continuous services on the applicable vesting date. If a new board member joins the Board, the director will be granted an initial option to purchase 85,000 shares. Initial option grants to new board members will have an exercise price per share equal to the fair market value of a share of common stock on the date of grant and will vest over three years following the date of grant, with one-third of the options vesting on the first anniversary of the date of grant and the balance vesting equally monthly over the remaining two-year period.

In addition, each non-employee director may elect to receive nonstatutory stock options in lieu of all or a portion of the cash compensation to which the non-employee director would otherwise be entitled to, as described above. Each non-employee director shall make their election prior to the period in which the compensation is to be earned. For each non-employee director electing to receive a nonstatutory stock option in lieu of such cash compensation, the date on which the nonstatutory stock options will be granted will be the date on which the cash compensation would otherwise have been earned, which is generally the first business day of each fiscal quarterly period, and the number of shares underlying such stock option will be determined by (i) dividing the cash compensation that the non-employee director elects to forgo in exchange for such nonstatutory stock options by 0.65, and (ii) dividing the result by the fair market value of a share of common stock on the date of grant. Each nonstatutory stock option granted in lieu of cash compensation pursuant to a non-employee director’s election will be 100% vested on the date of grant. After a non-employee director has elected to receive nonstatutory stock options in lieu of cash compensation, the option grants made to that non-employee director are awarded automatically pursuant to the previously described policy and no further action is required by the company’s Board.

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