CREOSOTE OIL SUPPLY CONTRACT
KMG BERNUTH, INC.
10611 HARWIN SUITE 402
HOUSTON, TEXAS 77036
(HEREINAFTER CALLED "BUYER")
RUTGERS VFT N.V.
Whereas the Buyer has been acting for a number of years as Agent of the Seller's group for the sale of Creosote
Oil, such as is commonly used for timber preservation, to customers situated within the South East of the United
Whereas the Seller wishes to continue selling its Creosote in the United States and whereas the Buyer wishes to
continue selling the Seller's creosote to its customers.
Now therefore both parties desire to establish a business relationship whereby the Buyer will be acting no longer
as an Agent but in its own name and for its own account.
1. PURCHASE AND SALE
Seller shall sell to Buyer and Buyer shall purchase from Seller minimum
[*****] metric Tons of Creosote Oil per calendar year, in 1998 a minimum of
(HEREINAFTER CALLED "SELLER") Note: The marks [*****] indicate that
material has been omitted under a request for
confidential treatment and filed separately
with the SEC.
It is understood that if the Buyer wants to buy a higher quantity, the Seller will do its reasonable commercial
endeavors to set the quantity asked for available. For the purposes of this clause "Metric Ton" shall mean 1.000
This contract is entered into for a 3 years and 2 months period, as from 01/11/98 terminating on 31/12/2001.
Thereafter this agreement shall continue on an annual basis with two calendar years advance notice of termination
to be given by either party in writing by registered mail.
The price for the period 01/11/98 to 31/12/98 will be [*****] FOB Zelzate/Belgium (Incoterms 1990). As from
the 01/01/99 to the 31/12/99 the price will be [*****] FOB Zelzate. Thereafter the price will increase