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                                                                    Exhibit 10.7

                              TREND MINING COMPANY
                                401 Front Avenue
                                     Suite 1
                           Coeur d'Alene, Idaho 83814

11 April, 2001


Electrum LLC
Caledonian House
Grand Cayman
Cayman Islands
British West Indies


Dear Sirs:

     From time to time, Trend Mining Company ("Trend") may request Electrum LLC
("Electrum") to advance it funds under the terms of the previously existing loan
agreement between the two parties dated December 6, 2000. Trend acknowledges
that $50,000 in funds has been requested and received as of 9 April, 2001. To
the extent Electrum has advanced these funds and may advance additional funds to
Trend pursuant to such request, which decision is in Electrum's sole and
absolute discretion, the terms of such advances shall be as follows:

     1.   Trend agrees to use any funds so advanced for the sole and exclusive
purpose of satisfying its operating costs. Trend agrees to provide Electrum with
advance notice of all uses to which such funds will be put, and to use such
funds only for such uses.

     2.   Trend agrees to repay to Electrum in U.S. dollars and immediately
available funds all funds so advanced on or before the earlier of (a) June 30,
2001, or (b) completion of any private placement of any shares of Trend, from
the first monies received by Trend therefrom.

     3.   Trend agrees to pay interest on all funds so advanced at a rate equal
to 8% per annum, payable semi-annually in arrears and upon repayment of such
funds. All computations of interest shall be based on a 365-day year and actual
days lapsed.

     4.   Notwithstanding Trend's unconditional obligation to pay all funds so
advanced when due, instead of receiving payment of such funds, Electrum may
elect in a notice sent to Trend on or before the date such payment is due to
require Trend to issue to Electrum one "unit" of Trend securities as repayment
for each $1.25 of principal and interest due on such date. Each "unit" will
consist of one share of Trend Common Stock and one warrant to acquire Trend
Common Stock at a purchase price of $1.50 per share exercisable by Electrum
(and/or its assignee(s)) at any time on or before September 30, 2006. Electrum
may make the election described in this paragraph 4 with respect to all or any
part of the funds so advanced and the interest thereon.

     5.   Trend hereby agrees that Electrum at any time on or before December
31, 2003 may request that Trend use its best efforts to cause the shares, the
warrants and the shares of
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Common Stock receivable upon exercise of the warrants described in paragraph 4
to be registered under the Securities Act of 1933 and the "blue sky" laws of
such jurisdictions as are requested by Electrum.

     6.   The provisions of this letter agreement, and the rights and
obligations of the parties hereunder shall be governed by, and construed and
interpreted in accordance with the laws of the State of New York without
reference to conflicts or choice of law provisions thereof, and may not be
amended or waived without the express written consent of Electrum.

     7.   Trend hereby agrees that all costs for obtaining this loan facility,
including for the preparation of this letter agreement and the legal costs
thereof, shall be borne entirely by Trend.

     8.   This letter agreement may be signed in counterparts, each of which
shall be deemed an original but all of which together shall constitute one and
the same instrument.


Sincerely,

TREND MINING COMPANY

By /s/ Kurt J. Hoffman
   ---------------------------
   Kurt J. Hoffman
   President


AGREED TO:

ELECTRUM LLC

By /s/ Thomas Kaplan
   ---------------------------
   Thomas Kaplan
   Director