Attached files
| file | filename |
|---|---|
| 8-K - Standard Metals Processing, Inc. | v196482_8k.htm |
| EX-10.3 - Standard Metals Processing, Inc. | v196482_ex10-3.htm |
| EX-10.2 - Standard Metals Processing, Inc. | v196482_ex10-2.htm |
| EX-99.1 - Standard Metals Processing, Inc. | v196482_ex99-1.htm |
| EX-10.1 - Standard Metals Processing, Inc. | v196482_ex10-1.htm |
EXHIBIT
10.4
Guaranty &
NSR
Standard
Gold Inc (SDGR), hereby unconditionally agrees with Stephen D. King (Payee) as
follows:
Stephen
D. King (Payee) has personally guaranteed by pledge of 100,000 shares of stock
owned by him in LKA International Inc (LKAI on OTCBB) the loans by Irwin Gross
and S.E. Flechner of aggregate $75,000 to assist SDGR in funding timely payment
required for effectiveness of SDGR’s Option Agreement with US American
Exploration Inc for the Rex gold mine project, including 102 unpatented lode
mining claims (known as IER 1 through 102) covering about 2040 contiguous acres
of BLM land in La Paz County, Arizona (Rex Project). As consideration for such
timely financial accommodation to SDGR, SDGR has agreed to and does hereby grant
Payee a 1.0% (one percent) Net Smelter Return Royalty (NSR) payable quarterly
from SDGR’s share of production from the Rex Project.
“Net
Smelter Return” means the value for marketable minerals produced from the Rex
Project and received by or on behalf of the holder of SDGR’s interest in the Rex
Project from a purchaser thereof less the following deductions: (a) all charges
made by a smelter, mill or other purchaser including, without limiting the
generality of the foregoing, treatment, sampling and other charges, penalties
and all other deductions; (b) all costs of transportation and insurance of
material from Rex Project to the purchaser or otherwise, as directed; (c) all
excise severance, sales and/or production taxes applicable for royalty payment;
and (d) any other customary out-of-pocket costs of forward sales of Rex Project
mineral production. Unless and until SDGR sells the majority of its interest in
the Rex Project, the Payee’s NSR shall not be deemed to exceed 1.0% of the
actual cash flow earned by SDGR from the Rex Project. Upon written request from
Payee, SDGR will promptly execute and record in Arizona a customary Net Smelter
Royalty Agreement that publicly records and memorializes Payee’s real property
interest as a lien on the Rex Project property.
In
witness whereof, this document is duly authorized and executed effective
September 7, 2010 by:
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Standard
Gold Inc (SDGR)
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By
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/s/ Stephen E. Flechner
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Accepted
in reliance on above:
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By
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/s/ Stephen D. King
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Stephen
D. King, Payee
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