Exhibit 10.12

 

ITRONICS, INC.
6490 SOUTH McCARRAN BLVD., BLDG C, SUITE 23
RENO, NEVADA 89509

July 31, 2008

AJW Partners, LLC

New Millennium Capital Partners II, LLC

AJW Offshore, Ltd.

AJW Qualified Partners, LLC

AJW Master Fund, Ltd.

1044 Northern Boulevard

Suite 302

Roslyn, New York 11576

> > Re: Itronics, Inc. (the "Company") –
> > Amendment of Notes

Ladies and Gentlemen:

This letter sets forth the agreement of the parties hereto to amend all of the
Notes, which are convertible into shares of the Company’s common stock, par
value $.001 per share, ever issued by the Company to the investors listed in the
signature pages hereto (collectively, the "Investors")( the "Notes").

By execution hereof, for good and valuable consideration the receipt and
sufficiency of which is hereby acknowledged, the parties hereto agree that:

> > > > 1.     The Interest Rate (as defined in the Notes), effective as of
> > > > January          1, 2008, shall be 12%.
> > > > 
> > > > 2.    The Applicable Percentage (as defined in the Notes) shall be 30%.

The parties shall do and perform, or cause to be done and performed, all such
further acts and things, and shall execute and deliver all such other
agreements, certificates, instruments and documents, as the other parties hereto
may reasonably request in order to carry out the intent an accomplish the
purposes of this letter agreement, including without limitation the issuance of
amended Notes.

Please signify your agreement with the foregoing by signing a copy of this
letter where indicated and returning it to the undersigned.

Sincerely,

                                                                                       
ITRONICS, INC.

 

                                                                                       
_______________________________

                                                                                       
Dr. John W. Whitney

                                                                                       
President

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ACCEPTED AND AGREED:

AJW PARTNERS, LLC.

By: SMS GROUP, LLC

____________________________
Corey S. Ribotsky, Manager

NEW MILLENNIUM CAPITAL PARTNERS II, LLC

By: FIRST STREET MANAGER II, LLC,

 

_____________________________

Corey S. Ribotsky, Manager

 

AJW OFFSHORE, LTD.

By: FIRST STREET MANAGER II, LLC

 

______________________________

Corey S. Ribotsky, Manager

 

AJW QUALIFIED PARTNERS, LLC

By: AJW MANAGER, LLC

 

______________________________

Corey S. Ribotsky, Manager

AJW MASTER FUND, LTD.

By: FIRST STREET MANAGER II, LLC

 

______________________________

Corey S. Ribotsky, Manager

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