XXXXXX X. XXXXXXXXX
MINING GEOLOGIST
0000 Xxxxxxxxxxx Xx. , Xxxx XX 00000
Telephone (000) 000-0000
October 30, 2000
Mr. Xxxxx Xxxxx
President
Xxxx Resources Inc.
0000 Xxxx 00xx Xxx.
Vancouver, B.C. V6N 2T5
Canada
Re: Letter Agreement Door Greek Property, Lemhi County, Idaho.
Unpatented mining claims: Alafi 1 .4 (IMC #175493-175496)
Dear Xx. Xxxxx:
The following sets out the general terms and conditions for the agreement
between Xxxxxx & Xxxxx Xxxxxxxxx + C, Xxxxxxx & Xxxx Xxxxxx (GE or Lessor)
and Drew Resources Inc, (Drew or Lessee) governing GE's Deer Creek
property, Lemhi County, Idaho, U. S. A.
Form of Agreement Mining Lease
Term 20 years with automatic extensions so long
as
conditions of the lease are met.
Production Royalties 3.0% Net Smelter Return
Advance Royalties Upon Execution US$ 5,000.00
1st Anniversary US$ 5,000.00
2nd Anniversary US$10,000.00
3rd Anniversary US$20,000.00
4th Anniversary & thereafter US$50,000.00
Adjusted to annual changes in the consumer price index (CPI) with 2000 as
the base year. CPI payments apply to payments beginning with the 4th
anniversary.
Performance Requirements Federal and state mining claim maintenance
fees for any year In which this agreement
Is maintained in good standing after June 1.
Reclamation Xxxx shall perform reclamation work an the
Property as required by Federal, State, and
Local law for disturbances resulting from
Xxxx's activities on the Property.
Assignment Freely by either party so long as Assignee
accepts terms and conditions of the Lease in
writing.
Interest Area One mile from the outside perimeter of the
Alafi claims claim boundary for new claims
located either by GE or by Xxxx.
If the above terms and conditions are consistent with our earlier
discussions, please acknowledge by signing in the space provided below and
return one copy. This will serve to bind GE and Xxxx while a formal and
comprehensive agreement, Incorporating then general terms, is prepared.
Very truly yours,
/s/ Xxxxxx X. Xxxxxxxxx
Xxxxxx X. Xxxxxxxxx
Xxxxxx and accepted to this 30th day of October, 2000.
By: /s/ Xxxxx Xxxxx President
Title
