Document:

ALLIS-CHALMERS ENERGY
INC.

    

    EMPLOYEE
PERFORMANCE AWARD AGREEMENT

    as
amended and restated, effective March 3, 2010

    Pursuant
to the terms of the Allis-Chalmers Energy Inc. 2006 Incentive Plan

    

    1.           Grant of Performance
Award.  Allis-Chalmers Energy Inc., a Delaware corporation
(“Company”), hereby grants to _________________________ (“Participant”)
performance awards in the form of [xx,xxx] shares (the “Performance
Award”) of common stock, $0.01 par value per share, of the Company (“Common
Stock”), subject to meeting the Performance Objectives as described in Section 4
hereof, and in accordance with the terms and conditions of this
document.  This Performance Award Agreement is dated as of [xx/xx/xx]. The Performance Award in
the form of Common Stock is awarded pursuant to and to implement in part the
Allis-Chalmers Energy Inc. 2006 Incentive Plan (as amended and in effect from
time to time, the “Plan”) and is subject to the restrictions, forfeiture
provisions and other terms and conditions of the Plan, which is hereby
incorporated herein and is made a part hereof, and this Performance Award
Agreement.  By execution of this Performance Award Agreement,
Participant agrees to be bound by all of the terms, provisions, conditions and
limitations of the Plan as implemented by the Performance Award Agreement,
together with all rules and determinations from time to time issued by the
Committee pursuant to the Plan.  All capitalized terms have the
meanings set forth in the Plan unless otherwise specifically
provided.  All references to specified paragraphs pertain to
paragraphs of this Performance Award Agreement unless otherwise
provided.

    

    2.   
      Settlement of Performance
Award.  The stock certificate(s) evidencing the Performance
Award shall not be issued or registered on the Company’s books and records until
the Performance Objectives set forth in paragraph 4 below have been met by the
Participant and approved by the Committee and all other restrictions contained
in this Performance Award Agreement have lapsed.  Upon resolution by
the Committee that the Participant has achieved the Performance Objectives, and
subject to the other terms and conditions of this Performance Award Agreement,
the Company will promptly issue a stock certificate with respect to the vested
portion of the shares of the Performance Award for which the Performance
Objectives have been met.  However, in no event shall such stock
certificate be issued to the Participant later than 90 days after such shares
have vested.

     

    3.           Risk of
Forfeiture.  Participant shall immediately forfeit all rights
to any Performance Award which have not vested and with respect to which the
Performance Objectives have not been met or in the event of termination for
cause, resignation, or removal of Participant from employment with the Company
or any Affiliate under circumstances that do not cause Participant to become
fully vested, under the terms of the Plan.

    

    4.           Performance
Objectives.  Subject to the provisions of this Performance
Award Agreement including, without limitation, the following provisions of this
Paragraph 4, the Performance Award shall vest upon Participant meeting
performance criteria based on any one or more of the Performance Objectives
described below, as more specifically determined by the Compensation Committee
and approved by the Board of Directors of the Company:

    

    (i) increase
in earnings per share; (ii) increase in price per share,
(iii) increase in revenues; (iv) increase in cash flow;
(v) return on net assets; (vi) return on assets; (vii) return on
investment; (viii) return on equity; (ix) economic value added;
(x) gross margin; (xi) net income; (xii) pretax earnings;
(xiii) pretax earnings before interest, depreciation, depletion and
amortization; (xiv) pretax operating earnings after interest expense and before
incentives, service fees, and extraordinary or special items;
(xv) operating income; (xvi) total stockholder return;
(xvii) debt reduction

    
      
         

      

      
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    Any of
the above goals may be determined on an absolute or relative basis or as
compared to the performance of a published or special index of companies as
determined by the Compensation Committee.

    

    The
period from the date hereof until Performance Awards have become one hundred
percent (100%) vested and the Committee has determined that such Performance
Objectives have been met shall be referred to as the “Restricted
Period.”

    

    5.           Transferability.  During
the Restricted Period, the Participant shall not sell, assign, transfer, pledge,
exchange, hypothecate, or otherwise dispose of any right, title or interest in
the Performance Award prior to vesting in accordance with this Performance Award
Agreement.  Upon receipt by the Participant of stock certificate(s)
representing the vested shares pursuant to Paragraph 2 above, the Participant
may hold or dispose of the shares represented by such certificate(s), subject to
compliance with (i) the terms and conditions of the Plan and this Performance
Award Agreement, (ii) applicable federal or state securities laws or other
applicable law, (iii) applicable rules of any exchange on which the Company’s
securities are traded or listed, and (iv) the Company’s rules or policies as
established by the Company in its sole discretion.

    

    6.           No Ownership
Rights.  Prior to the vesting of the Performance Award, the
Participant shall not have any rights with respect to the shares of Common Stock
represented by the Performance Award hereunder including the right to vote the
shares of Common Stock and the right to receive any dividends.

    

    7.           Termination of
Employment.  If employment of Participant by the Company or any
Affiliate is terminated due to death or disability or in the event employment of
Participant is terminated without cause all Performance Awards outstanding at
the time of such termination and all rights thereunder shall immediately
vest.

    

    8.           Change
in Control.

    

    (a)        Change in
Control.  Upon the occurrence of a Change in Control (as
defined in the Plan), all restrictions and conditions of the Performance Award
shall automatically be waived without any required action by the Company,
Committee or the Board with the result that the Performance Award shall be fully
vested and the restrictions thereon shall have lapsed.

    

    
      (b)        Right of Cash-Out. If
approved by the Board prior to or within thirty (30) days after such time as a
Change in Control shall be deemed to have occurred, the Board shall have the
right for a forty-five (45) day period immediately following the date that the
Change in Control is deemed to have occurred to require Participant to transfer
and deliver to Company all unvested shares of the Performance Award hereunder
with respect to which the restrictions have not lapsed in exchange for an amount
equal to the “cash value” (defined below) of such shares of the Performance
Award.  Such right shall be exercised by written notice to
Participant.  The cash value of such shares of the Performance Award
shall equal the “market value” (defined below) per share, multiplied by the
number of unvested shares of the Performance Award hereunder with respect to
which the restrictions have not lapsed. For purposes of the preceding sentence,
“market value” per share shall mean the higher of (i) the average of the Fair
Market Value per share of Common Stock on each of the five trading days
immediately following the date a Change in Control is deemed to have occurred or
(ii) the highest price, if any, offered in connection with the Change in
Control.  The amount payable to Participant by Company pursuant to
this Section 8(b) shall be paid in cash or by certified check and shall be
reduced by any taxes required to be withheld.

    

    
      
         

      

      
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    9.           Reorganization of Company and
Subsidiaries.  The existence of the Performance Awards shall
not affect in any way the right or power of the Company or its stockholders to
make or authorize any or all adjustments, recapitalizations, reorganizations or
other changes in the Company’s capital structure or its business, or any merger
or consolidation of the Company or any issue of bonds, debentures, preferred or
prior preference stock ahead of or affecting the Performance Award or the rights
thereof, or the dissolution or liquidation of Company, or any sale or transfer
of all or any part of its assets or business, or any other corporate act or
proceeding, whether of a similar character or otherwise.

    

    10.           Adjustment of
Shares.  In the event of stock dividends, spin-offs of assets
or other extraordinary dividends, stock splits, combinations of shares,
recapitalizations, mergers, consolidations, reorganizations, liquidations,
issuances of rights or warrants and similar transactions or events involving
Company, the Committee shall, in such manner as it may deem equitable, make
adjustments to the terms and provisions of this Performance Award
Agreement.

    

    11.           Certain
Restrictions.  By executing this Performance Award Agreement,
Participant agrees that if at the time of delivery of certificates representing
the Performance Award is not covered by an effective registration statement
filed under the Securities Act of 1933 (“Act”), the certificates so delivered
may contain such legends as the Company shall require and the Participant will
acquire the shares of the Performance Award for Participant’s own account and
without a view to resale or distribution in violation of the Act or any other
securities law, and upon any such acquisition Participant will enter into such
written representations, warranties and agreements as Company may reasonably
request in order to comply with the Act or any other securities law or with this
Performance Award Agreement.  Participant agrees that the Company
shall not be obligated to take any affirmative action in order to cause the
issuance or transfer of shares of the Performance Award hereunder to comply with
any law, rule or regulation that applies to the shares of Common Stock subject
to this Performance Award Agreement.

    

    12.           Amendment and
Termination.  The Performance Award Agreement may not be
terminated by the Board or the Committee at any time without the written consent
of Participant.  This Performance Award Agreement may be amended in
writing by the Company and Participant, provided the Company may amend this
Performance Award Agreement unilaterally (i) if the amendment does not adversely
affect the Participant’s rights hereunder in any material respect, (ii) if the
Company determines that an amendment is necessary to comply with Rule 16b-3
under the Exchange Act or other applicable law, or (iii) if the Company
determines that an amendment is necessary to meet the requirements of the Code
or to prevent adverse tax consequences to the Participant.  No
amendment or termination of the Plan will adversely affect the rights and
privileges of Participant under this Performance Award Agreement or to the
Common Stock granted hereunder without the written consent of
Participant.

    
      
         

      

      
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    13.           No Guarantee of
Employment.  Neither this Performance Award Agreement nor the
Performance Award evidenced hereby shall confer upon Participant any right with
respect to continuance of employment or other service with the Company or any
Affiliate, nor shall it interfere in any way with any right Company or any
Affiliate would otherwise have to terminate such Participant’s employment or
other service at any time.

    

    14.           Tax Matters.

    

    (a)         Company
shall have the right to (i) make deductions from the number of shares of Common
Stock otherwise deliverable upon vesting of the Performance Award and
satisfaction of the conditions precedent under this Performance Award Agreement
in an amount sufficient to satisfy withholding of any federal, state or local
taxes required by law, or (ii) take such other action as may be necessary or
appropriate to satisfy any such tax withholding obligations.

    

    (b)         Under
Section 83 of the Code, the difference between the purchase price paid, if any,
for the shares of Performance ``Award and their fair market value on the date of
vesting when any forfeiture restrictions applicable to such shares lapse will be
reportable as ordinary income at that time.  Participant may elect to
be taxed at the effective time of this award when the shares are acquired rather
than when such shares vest and cease to be subject to such forfeiture
restrictions by filing an election under Section 83(b) of the Code with the
Internal Revenue Service within thirty (30) days after the date
hereof.  If such an election is made, Participant will have to make a
tax payment to the extent the purchase price, if any, is less than the fair
market value of the shares on the date hereof.  No tax payment will
have to be made to the extent the purchase price, if any, is at least equal to
the fair market value of the shares on the date hereof.  Failure to
make this filing within the thirty (30) day period will result in the
recognition of ordinary income by you as the shares of Restricted Stock vest and
the forfeiture restrictions lapse.

    

    PARTICIPANT
ACKNOWLEDGES THAT IT IS PARTICIPANT’S SOLE RESPONSIBILITY, AND NOT THE
COMPANY’S, TO FILE A TIMELY ELECTION UNDER SECTION 83(b) IF PARTICIPANT ELECTS
TO DO SO, EVEN IF PARTICIPANT REQUESTS THE COMPANY OR ITS REPRESENTATIVES TO
MAKE THIS FILING ON PARTICIPANT’S BEHALF. PARTICIPANT MUST AND IS RELYING SOLELY
ON PARTICIPANT’S OWN ADVISORS WITH RESPECT TO THE DECISION AS TO WHETHER OR NOT
TO FILE ANY SECTION 83(b) ELECTION.

    

    (c)         Neither
Company nor the Board or Committee makes any commitment or guarantee that any
federal or state tax treatment will apply or be available to any person eligible
for the benefits under this Performance Award Agreement.

    

    15.           Community Interest of
Spouse.  The community interest, if any, of any spouse of
Participant in any Performance Award shall be subject to all of the terms,
conditions and restrictions of this Performance Award Agreement and the
Plan.

    
      
         

      

      
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    16.           Consent to Electronic Delivery;
Electronic Signature.  In lieu of receiving documents in paper
format, Participant agrees, to the fullest extent permitted by law, to accept
electronic delivery of any documents that the Company may be required to deliver
(including,

    but not
limited to, prospectuses, prospectus supplements, grant or award notifications
and agreements, account statements, annual and quarterly reports, and all other
forms of communications) in connection with this and any other award made or
offered by the Company. Electronic delivery may be via a Company electronic mail
system or by reference to a location on a Company intranet to which Participant
has access.  Participant hereby consents to any and all procedures the
Company has established or may establish for an electronic signature system for
delivery and acceptance of any such documents that the Company may be required
to deliver, and agrees that his or her electronic signature is the same as, and
shall have the same force and effect as, his or her manual
signature.

    

    17.           Severability.  In
the event that any provision of this Performance Award Agreement shall be held
illegal, invalid, or unenforceable for any reason, such provision shall be fully
severable, but shall not affect the remaining provisions of this Performance
Award Agreement, and this Performance Award Agreement shall be construed and
enforced as of the illegal, invalid, or unenforceable provision had never been
included herein.

    

    18.           Governing Law.  This
Performance Award Agreement shall be construed in accordance with the laws of
the State of Delaware to the extent federal law does not supersede and preempt
Delaware law.

     

    
      
        
          
            
              
                
                  
                    
                      
                        	
                                COMPANY:

                              
	 
      	 
      
	
                                ALLIS-CHALMERS
      ENERGY INC.

                              
	 
      	 
      
	
                                By:

                              	 
      
	
                                Printed Name:

                              	 
      
	
                                Title:

                              	 
      
	 
      	 
      
	
                                PARTICIPANT:

                              
	 
      	 
      
	
                                By:

                              	 
      
	 
      	
                                (signature)

                              

                      

                    

                  

                

              

            

          

        

      

    

     

    
      
        
        

      

      
        - 5
-EXHIBIT
10.1

     

    AMENDED AND RESTATED
FINANCIAL SERVICES AGREEMENT

     

    This
Restated Financial Services Agreement (this “Agreement”) is made as of
March 1, 2010 by and between Savoy Energy Corporation (the “Company”), Excelsus
Consulting, LLC (“Consulting”) (each a “Party” and collectively
referred to hereafter as the “Parties”).

    

    WITNESSETH:

    

    WHEREAS,
the Company has previously entered into a Consulting Agreement with Consulting
dated as of January 14, 2010 (collectively, the “Prior Agreement”) whereby
Consulting agreed to serve as the Company’s corporate finance and strategic
advisor on the terms and for the services specified in the Prior
Agreement;

     

    WHEREAS,
the Parties now recognize that the scope of services provided and to be provided
by Consulting under the terms of the Prior Agreement is greater that the Parties
anticipated at the time the Company entered into the Prior Agreement and that it
is fair and appropriate for Consulting to be paid compensation in addition to
the consideration which was stated in the Prior Agreement;

     

    WHEREAS,
the Parties intend by this Agreement to restate the terms of the Prior
Agreements and to proceed forward based upon the terms of this
Agreement.

     

    NOW,
THEREFORE, in consideration of the premises and the mutual covenants herein
contained and for other good and valuable consideration, the receipt and
adequacy of which are hereby acknowledged, the Parties, intending to be legally
bound, hereby agree in good faith as follows:

     

    1.           Definitions.  Unless
otherwise defined in this Agreement, terms appearing in initial capitalized form
shall have the meaning ascribed to such terms in this.

     

    2.           Services.  The
Services, which Consulting shall provide under this Agreement, shall include the
following:

     

    (a)           Consulting
will work with the Company to review various business operations as well as
strategic alternatives to financing Company through funding resources within
Consultant’s contact network, specific to the contemplated “Financings” on a
case by case basis;

     

    (b)           Consulting
will work with the Company to identify potential acquisitions or merger
candidates strategic to the Company

     

    (c)           Consulting
will assist the Company in negotiating the terms of potential
transactions.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    3.           Term and Termination.
The term of this engagement shall be for a period commencing with the date of
this Agreement and ending twelve (12) months from the date hereof and may only
be extended upon the mutual written agreement of the Parties.

     

    4.           Consideration.  Company
shall pay Consulting a Commencement fee of $5,000.00 upon execution of this
Agreement.  Further, Company will pay Consulting $5,000.00 monthly for
the term of this Agreement.  In further consideration for Consulting
providing the services set forth in Section 2 above, the Company will issue
3,000,000 shares of the Company’s Common Stock to Consulting (the “Consulting
Shares”).  The Consulting Shares shall be deemed to be fully
earned upon receipt and shall be Rule 144-eligible.

     

    5.           Non-Circumvention.  The
undersigned Parties, intending to be legally bound, hereby irrevocably agree not
to circumvent, avoid, bypass or obviate each other, directly or indirectly, to
avoid payment of fees or any other form of compensation in any transaction with
any corporation, partnership or individual revealed by either party to the other
in connection with any agreements between the Parties.  In the event
of circumvention, either directly or indirectly, the circumvented party shall be
entitled to a legal monetary penalty equal to the maximum services fee it should
have realized from such transactions, including all legal expenses incurred in
the recovery of funds.  The parties agree to notify the other Parties
prior to the request for any contract and upon reaching an agreement of any
kind.

     

    6.           Notices.  All
notices, requests, demands, claims, and other communications hereunder shall be
in writing.  Any notice, request, demand, claim or other communication
hereunder shall be deemed duly delivered four business days after it is sent by
registered or certified mail, return receipt requested, postage prepaid, or one
business day after it is sent for next business day delivery via a reputable
nationwide overnight courier service, in each case to the intended recipient as
set forth below:

     

    
      If to Consulting:

       

      Excelsus
Consulting LLC

      53 W
Palisade Ave (PH-2)

      Englewood,
NJ 07631

       

      
        If to the Company:

         

        Savoy
Energy Corporation

        11200
Westheimer

        Suite
200

        Houston,
TX 77042

         

        Attn:  Arthur
Bertagnolli

      

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    
      Copy to:

       

      Law
Offices of Robert Diener

      122 Ocean
Park Boulevard

      Suite
307

      Santa
Monica, California 90405

      Facsimile:
(310) 362-8887

      Attention:
Robert Diener

    

     

    Any Party
may give any notice, request, demand, claim or other communication hereunder
using any other means (including personal delivery, expedited courier, messenger
service, telecopy, telex, ordinary mail or electronic mail), but no such notice,
request, demand, claim or other communication shall be deemed to have been duly
given unless and until it actually is received by the party for whom it is
intended.  Any party may change the address to which notices,
requests, demands, claims, and other communications hereunder are to be
delivered by giving the other party notice in the manner herein set
forth.

     

    7.           Miscellaneous.

     

    (a)           Entire
Agreement.  This Agreement constitutes the entire agreement
among the Parties and supersedes any prior understandings, agreements or
representations by or among the Parties, written or oral, with respect to the
subject matter hereof.

     

    (b)           Succession and
Assignment.  This Agreement shall be binding upon and inure to
the benefit of the Parties named herein and their respective successors and
permitted assigns.  No Party may assign either this Agreement or any
of its rights, interests or obligations hereunder without the prior written
approval of the other party.

     

    (c)           Counterparts and Facsimile
Signature.  This Agreement may be executed in two or more
counterparts, each of which shall be deemed an original but all of which
together shall constitute one and the same instrument.  This Agreement
may be executed by facsimile signature.

     

    (d)           Headings.  The
section headings contained in this Agreement are inserted for convenience only
and shall not affect in any way the meaning or interpretation of this
Agreement.

     

    (e)           Governing
Law.  This Agreement shall be governed by and construed in
accordance with the internal laws of the State of New Jersey without giving
effect to any choice or conflict of law provision or rule (whether of the State
of New Jersey or any other jurisdiction) that would cause the application of
laws of any jurisdictions other than those of the State of New
Jersey.  The Parties hereby consent to the exclusive jurisdiction of
the courts of the State of New Jersey and the United States District Court for
the District of New Jersey for all disputes arising under this
Agreement.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    (f)           Amendments and
Waivers.  The Parties may mutually amend any provision of this
Agreement at any time during the term of this Agreement prior to the termination
of this Agreement.  No amendment of any provision of this Agreement
shall be valid unless the same shall be in writing and signed by the
Parties.  No waiver of any right or remedy hereunder shall be valid
unless the same shall be in writing and signed by the party giving such
waiver.  No waiver by any party with respect to any default,
misrepresentation or breach of warranty or covenant hereunder shall be deemed to
extend to any prior or subsequent default, misrepresentation or breach of
warranty or covenant hereunder or affect in any way any rights arising by virtue
of any prior or subsequent such occurrence.

     

    (g)           Severability.  Any
term or provision of this Agreement that is invalid or unenforceable in any situation in any
jurisdiction shall not affect the validity or enforceability of the remaining
terms and provisions hereof or the validity or enforceability of the offending
term or provision in any other situation or in any other
jurisdiction.  If the final judgment of a court of competent
jurisdiction declares that any term or provision hereof is invalid or
unenforceable, the Parties agree that the court making the determination of
invalidity or unenforceability shall have the power to limit the term or
provision, to delete specific words or phrases, or to replace any invalid or
unenforceable term or provision with a term or provision that is valid and
enforceable and that comes closest to expressing the intention of the invalid or
unenforceable term or provision, and this Agreement shall be enforceable as so
modified.

     

    (h)           Construction.  The
language used in this Agreement shall be deemed to be the language chosen by the
Parties to express their mutual intent, and no rule of strict construction shall
be applied against any party.  Any reference to
any federal, state, local or foreign statute or law shall be deemed also to
refer to all rules and regulations promulgated thereunder, unless the context
requires otherwise.

     

    (i)           Remedies. Consulting shall be
entitled to enforce its rights under this Agreement specifically to recover
damages by reason of any breach of any provision or term of this Agreement and
to exercise all other rights existing in its favor.  In the event of
any dispute under this Agreement, the prevailing party shall be entitled to
recover its costs incurred in connection with the resolution thereof, including
reasonable attorneys fees.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    IN
WITNESS WHEREOF, the parties hereto have duly executed this Agreement as an
instrument under seal as of the date first written above.

     

    
      
        
          
            
              	
                      Excelsus
      Consulting, LLC

                    	
                      Savoy
      Energy Corporation

                    
	 
      	 
      
	 
      	 
      
	
                      By:_____________________

                    	
                      By:____________________________

                    
	
                      Name:

                    	
                      Name:
      Arthur Bertagnolli

                    
	
                      Title:
      Principal

                    	
                            
                        Title:
      President

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