January 27, 1993
Messrs. Francis J. L. Guardia and
John W. Perston
General Araya No. 7
Colonia La Huerta
This letter agreement is intended to supersede and replace all prior agreements entered into between Minefinders
and Messrs. Guardia and Perston or G & P International (hereafter referred to as “G&P”). There are no
representations, warranties, forms, conditions, undertakings or collateral agreements, express, implied or
statutory, between the parties other than expressly set forth herein.
In consideration for G&P presenting and negotiating, on Minefinders’ behalf, the acquisition of the Dolores
Option Agreement with Sr. Liábano Saenz pertaining to the Property set out in Schedule “A” which is
incorporated herein by reference, Minefinders agrees that G&P will be entitled to receive, following signature of
the Dolores Option Agreement and subject to regulatory approval, eighty thousand (80,000) Minefinders
treasury shares, issuable as follows:
1) twenty thousand (20,000) common shares following signature and regulatory approval;
2) thirty thousand (30,000) common shares upon initiation by Minefinders of a phase 2 drilling program (i.e.
following a successful, phase 1 initial drilling program);
3) thirty thousand (30,000) common shares following a positive production decision.
In addition, Minefinders agrees to grant to G&P a one and one quarter percent (1-1/4%) net smelter return
(“NSR”) on all gold production achieved from the Dolores Project, following a positive production decision by
Minefinders. The calculation of the NSR is set out in Schedule “B” and is incorporated herein by reference.
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1 Dundas Street West, Suite 2402, Bos 10, Toronto, Ontario M5G 1Z3 (410) 977-1502 FAX (410) 977-
Minefinders acknowledges and agrees