Document:

September 29, 2004

VitroTech Corporation
5 Hutton Centre Drive
Suite 700
Santa Ana, CA 92707

ATTENTION: MR. GLENN EASTERBROOK,
           CHIEF EXECUTIVE OFFICER

Dear Mr. Easterbrook

The following  letter sets forth basic business terms and conditions under which
the Lender would make a Loan to the Borrower.  This letter of intent is intended
to be  binding,  provided  that  advance  of the Loan  shall be  subject  to the
conditions precedent contained herein.

BORROWER:         Vitrotech  Corporation  (the "Borrower" or the  "Company"),  a
                  publicly traded entity,

GUARANTOR:        VitroCo Inc. (the "Guarantor")

LENDER:           1568931 Ontario Ltd. (the "Lender")

LOAN AMOUNT:      Revolving  line of credit in the principal  amount  $3,000,000
                  (the "Loan") net of the Commitment Fee, legal,  consulting and
                  other  closing  costs.  The Loan will be disbursed in tranches
                  with  each  disbursement   obligation  being  subject  to  the
                  Borrower's meeting the terms and conditions applicable to each
                  separate tranch.

USE OF LOAN
PROCEEDS:         To provide  working  capital needs of the Company for up to 12
                  months  commencing  on the date of the first  distribution  of
                  Loan proceeds  subject to the conditions  precedent  contained
                  herein and the loan documentation.

TERM:             The term of the Loan will be for a period  of 12  months  from
                  the date any proceeds (the "Maturity Date") are first advanced
                  by the Lender.

INTEREST RATE:    10% per annum,  calculated and payable monthly in arrears.  An
                  interest reserve (the "Interest  Reserve")  representing up to
                  twelve months of interest  (depending  upon the remaining term
                  of the Loan)  will be held by the  Lender.  Interest  for each
                  disbursement  will only begin to accrue  immediately upon each
                  disbursement of Loan proceeds.

CONVERSION:       In lieu of  repayment,  at the sole  discretion of the Lender,
                  the Lender  may elect to convert  all or part of the Loan into
                  common  shares  of  the  Borrower  at a 30%  discount  to  the
                  weighted  average  price  at  which  the  common  shares  were
                  publicly  traded  over a ten market  day period  ending on the
                  last  trading  day  prior to the  first  disbursement  of Loan
                  proceeds. Such conversion right to expire at the Maturity Date
                  or repayment.

<PAGE>

                                      -2-

WARRANTS:         At closing,  the Company shall issue to the Lender  14,000,000
                  common  stock  purchase  warrants  at a 30%  discount  to  the
                  weighted  average  price  at  which  the  common  shares  were
                  publicly  traded  over a ten market  day period  ending on the
                  last  trading  day  prior to the  first  disbursement  of Loan
                  proceeds. The warrants shall be exercisable at any time over a
                  three year term  commencing  from the date of issuance of said
                  warrants.  The warrants shall be fully and freely transferable
                  and  assignable  by Lender  without  the prior  consent of the
                  Borrower.

COMMITMENT FEE:   Borrower  agrees  to pay to  Lender  the sum of 4% of the Loan
                  amount ($120,000)(the  "Commitment Fee") which will be payable
                  upon   funding  of  the  Loan  by  the  Lender.   Borrower  is
                  responsible and liable for all brokerage fees.

COSTS:            Borrower shall pay all costs and pay all expenses  incurred by
                  the  Lender  in  connection  with this  letter  of intent  and
                  carrying out or attempting  to carry out the Loan  transaction
                  contemplated hereby to completion,  including, but not limited
                  to, attorneys', consultants' and accountants' fees and charges
                  and other  expenses  incurred in  connection  the Lender's due
                  diligence  activities or the  documentation  or closing of the
                  Loan (the "Lender  Costs").  The Borrower shall be responsible
                  for its  own  legal  and  other  costs  associated  with  this
                  financing.  The  Borrower  also  agrees  to pay all  costs  of
                  monitoring the Loan, such costs to be invoiced as incurred.

REPORTING
REQUIREMENTS:     Reporting  requirements  set  forth  in  the  definitive  loan
                  documentation shall include the following:

                  (i)      Annualconsolidated  audited financial  statements for
                           the Company shall be provided within 120 days of each
                           fiscal year-end;

                  (ii)     Monthly   management   prepared,   interim  financial
                           statements  for the Company shall be provided  within
                           15 days of each month end;

                  (iii)    Aged   listing  of  accounts   receivable,   accounts
                           payable,  and  inventory  listing  shall be  provided
                           within 15 days of each month end;

                  (iv)     Annual  operating  budgets for the  Company  shall be
                           provided 60 days before the year-end; and

                  (v)      Any other  information that the Lender may reasonably
                           require.

SECURITY:         The Loan will be secured by a first lien,  charge and security
                  interest on all of the Borrower's and the Guarantor's  assets,
                  including  without  limitation  all real  estate,  contractual
                  rights  including  but not limited to the purchase  agreements
                  with the Mining  Companies,  personal  property,  intellectual
                  property  (subject  to the  contractual  rights  of  the  Mine
                  Companies and further  subject to paragraph (i)  subsection C.
                  under the heading Conditions),  licenses,  leases,  contracts,
                  inventory (including,  for clarity, a pledge of the all of the
                  Vitrolite  mineral that is  currently  mined and stored at the
                  respective  mine site or processed and stored in any warehouse
                  which in the aggregate shall be no less than 30 million pounds

<PAGE>

                                      -3-

                  owned by Borrower, Guarantor or the Mine Companies (as defined
                  further herein)),  accounts receivable,  goodwill,  processes,
                  business   plans,   software,   customer   lists,   equipment,
                  trademarks,  logos,  marketing  materials,  websites,  and all
                  other chattels. The Loan will be evidenced by a loan agreement
                  and  promissory  note and  secured by other loan and  security
                  documentation  in  form  acceptable  to  Lender  in  its  sole
                  discretion,  including but not limited to, a General  Security
                  Agreement,  UCC filing statements and an  assignment/pledge of
                  the shares in the Guarantor held by Borrower.

NEGATIVE
COVENANTS:        Usual  and  customary,  including  but  not  limited  to,  the
                  Borrower  or  Guarantor  shall not allow any of the  following
                  without the prior written  consent of the Lender which consent
                  may be arbitrarily withheld:

                  (i)      Prohibition on incurring indebtedness excluding trade
                           payable in normal course of business;

                  (ii)     Enter  into  any  related  party   transactions  with
                           Hi-Tech or the Mine Companies other than for material
                           purchases;

                  (iii)    Sell or dispose of any assets subject to the Lender's
                           security except in the normal course of business;

                  (iv)     Limitation on distributions and salaries;

                  (v)      Restrictions on material change in business;

                  (vi)     Restrictions  on  mergers,  amalgamations  and  asset
                           sales, and

                  (vii)    Restrictions   on  hedges  not  to  be   unreasonably
                           withheld.

AFFIRMATIVE
COVENANTS:        Usual  and  customary  including,   without  limitation,   the
                  following:

                  (i)      Carry on business and  operations in accordance  with
                           good practices and applicable law;

                  (ii)     Corporate existence;

                  (iii)    Compliance with applicable law;

                  (iv)     Payment of taxes;

                  (v)      Inspection rights;

                  (vi)     Maintenance of insurance;

                  (vii)    Notice  of  material  adverse  effect  and  event  of
                           default and default; and

                  (viii)   Maintenance of books and records.

                  (ix)     Financial  covenants  appropriate  to a loan  of this
                           type
<PAGE>

                                      -4-

CONDITIONS:       The conditions  precedent of the Lender to advance any portion
                  of the Loan include without limitation:

                  (i)      Amendment and  modification of any and all agreements
                           between Borrower and/or Guarantor on the one hand and
                           Hi-Tech  Environmental  Products LLC  ("Hi-Tech") and
                           Enviro  Investment Group LLC, Red Rock LLC and Valley
                           Springs LLC  (collectively,  the Mine  Companies") on
                           the   other   hand  as  the  case  may  be,  in  form
                           satisfactory  in the sole  discretion  of the  Lender
                           which shall provide as follows:

                           A.       The royalty and mineral  payments to Hi-Tech
                                    and the Mine Companies  shall be modified to
                                    provide for payments,  in the aggregate,  of
                                    not more than 15% of Borrower sales; and

                           B.       The annual mineral purchase requirement, for
                                    calendar years  commencing in 2006,  will be
                                    limited to the greatest  total  purchases of
                                    raw material by the  Borrower/Guarantor  for
                                    any prior calendar year.

                           C.       Without  modifying  any  of  the  foregoing,
                                    acknowledgement  by  Hi-Tech  and  the  Mine
                                    Companies   that  they  waive  any  and  all
                                    defaults presently  existing,  if any, under
                                    any  of  the   relevant   agreements   until
                                    December 31, 2006.

                  (ii)     Provision   and    registration   of   the   security
                           documentation contemplated hereby;

                  (iii)    No default or event of default shall have occurred;

                  (iv)     Legal  opinion  from counsel for the Borrower in form
                           satisfactory  in the sole  discretion  of the  Lender
                           shall have been delivered to the Lender;

                  (v)      The Lender, the Borrower and the Guarantor shall have
                           entered into definitive loan  documentation in a form
                           satisfactory to the Lender in its sole discretion and
                           its legal counsel;

                  (vi)     No  material  change  in  the  business,  operations,
                           property,   assets  or  financial   position  of  the
                           Borrower or the Guarantor or their subsidiaries shall
                           have occurred from the date hereof;

                  (vii)    Inter-creditor  Arrangement  with existing Lenders of
                           Borrower and in form  satisfactory in sole discretion
                           of Lender, if applicable;

                  (viii)   Approval of the Borrower's and  Guarantor's  Board of
                           Directors.

                  (ix)     Governmental  and  regulatory   approvals   including
                           relevant stock exchange  approval of the transactions
                           contemplated herein and the acquisition of the Assets
                           shall have been obtained in form  satisfactory to the
                           Lender in its sole discretion; and

<PAGE>

                                      -5-

                  (x)      The Lender shall have  completed its due diligence of
                           the Borrower,  the Guarantor,  in its sole discretion
                           and to its sole satisfaction.

                  (xi)     Commitment  to register all shares  receivable by the
                           Lender on a timely basis.

                  The conditions  precedent of the Lender to advance any portion
                  of the Loan  proceeds  subsequent  to the  First  Tranch  (the
                  Second Tranch) shall include without limitation:

                  (i)      Borrower shall have received  subsequent to the First
                           Tranch  distribution  (as is  hereinafter  defined) a
                           cash equity  contribution  (including but not limited
                           to securities  convertible into equity securities) in
                           the minimum amount of $3.0 million.

                  (ii)     Borrower's total amount outstanding on the Loan shall
                           never  exceed  eighty  (80%) per cent of the eligible
                           accounts receivable of the Borrower.  Lender shall be
                           under no obligation to fund any portion of the Second
                           Tranch  to the  extent  that such  distribution  will
                           cause  the  Loan  Amount  to  exceed  80% of the then
                           existing  outstanding  eligible accounts  receivable.
                           Borrower  shall  provide  Lender  with notice no less
                           than  thirty  (30) days prior to  requesting  funding
                           under the Second Tranch.

                  Such conditions precedent form a part of this letter and shall
                  be incorporated in the definitive loan documentation.

REPRESENTATIONS
AND WARRANTIES:   Usual including without limitation:

                  (i)      Due incorporation and registration;

                  (ii)     Execution, delivery and enforceability;

                  (iii)    No breach of organizational documents, applicable law
                           or agreements;

                  (iv)     Good standing under agreements;

                  (v)      No material litigation or proceedings;

                  (vi)     Neither  the Company or any of its  subsidiaries  are
                           involved in any dispute or legal  proceedings  likely
                           to materially  affect its  financial  position or its
                           capacity to operate its business; and

                  (vii)    Payment of taxes;

<PAGE>

                                      -6-

                  (viii)   Compliance with law;

                  (ix)     No encumbrances except permitted encumbrances;

                  (x)      Regulatory approvals; and

                  (xi)     Ownership of properties.

DEFAULT
CONDITIONS:       Usual including the following:

                  (i)      Default  in payment of  principal,  interest  or fees
                           (subject  to a ten  (10) day  cure  period;  provided
                           further that Hi-Tech and the Mine Companies will have
                           the  right to cure any such  default  for a period of
                           thirty (30) days from the default date);

                  (ii)     Failure to comply  with any  Affirmative  or Negative
                           Covenant and such default  remains  unremedied  for a
                           period of ten (10) business days;

                  (iii)    If  any  representation  or  warranty  proves  to  be
                           untrue;

                  (iv)     Voluntary or involuntary  bankruptcy or winding up of
                           borrower or Guarantor or any of its subsidiaries;

                  (v)      Proceedings  enforcing any  encumbrance  on assets of
                           the Borrower or Guarantor or any of its  subsidiaries
                           having   aggregate   value  greater  than  $1,000,000
                           excepting  proceedings  contested  in good  faith and
                           provided alternative security  satisfactory to Lender
                           has been provided within 20 days of such proceedings;

                  (vi)     Cessation of business;

                  (vii)    Change of Control; and

                  (viii)   Cross default on other indebtedness covenants.

                  (ix)     Quarterly EBITDA is less than 70% of budgeted EBITDA,
                           such budget provided to the Lender prior to Closing.

BREAK-UP FEE:     A break-up fee (the  "break-up  fee") of $500,000 in cash plus
                  1million shares of the Company shall be payable to the Lender,
                  if  a  material   misrepresentation   (including   a  material
                  omission)  in any  material or  information  that  Borrower or
                  Guarantor  has provided to the Lender  constituting  a default
                  under the Loan  occurs;  The break-up fee shall be in addition
                  to all  remedies and amounts due Lender and shall be a genuine
                  pre-estimate of liquidated damages including  consideration of
                  executive time spent.

GOVERNING LAW:    State of California

<PAGE>

                                      -7-

TIMING:           The  parties   agree  that  the   intention   is  to  finalize
                  documentation  and to advance $850,000 net (after deduction of
                  the Commitment Fee, Lender Costs and the Interest  Reserve) to
                  Borrower  of Loan  proceeds  (the First  Tranch) by October 1,
                  2004.

CONFIDENTIALITY:  The Borrower shall keep this Letter of Intent confidential and
                  shall not provide it to parties  other than its  employees and
                  professional advisors,  Hi-Tech and the Mine Companies without
                  the prior written consent of the Lender.

ASSIGNABILITY:    Lender shall have the right to assign the Loan,  including the
                  obligation  to  fund  the  Second  Tranch  to  a  third  party
                  institutional Lender.

PREPAYMENT:       The Loan will not be  prepayable  without the  Lender's  prior
                  written consent.

NO WAIVER:        Lender's  funding of the First  Tranch by  September  30, 2004
                  shall be deemed an  accommodation  by Lender at the request of
                  Borrower and nothing  shall be construed as a waiver by Lender
                  of any of the terms and conditions of this Term Sheet and Loan
                  Documents.

EXECUTION
OF DOCUMENTS:     Borrower  shall  execute  and  deliver  any and all  documents
                  necessary in order to carry out the intent of the agreement.

Please confirm that the above is consistent  with your intentions by signing and
returning  the  enclosed  copy of this letter on or before  close of business on
September 30, 2004.

                                                    Yours Truly,

                                                    1568931 Ontario Ltd.

                                                    By:_________________________
                                                       Howard Fialkov

The Undersigned hereby agree to and accept the Letter of Intent on the terms and
conditions set out herein, dated effective this 29th day of September, 2004.

VITROTECH CORPORATION

By:______________________
   Glenn Easterbrook, CEO

VITROCO INC.

By:______________________
   Glenn Easterbrook, CEO

The parties hereto agree that this Term Sheet may be executed in counterparts by
facsimile.

Balance of page left intentionally blank

<PAGE>

                                      -8-

Each of the  Undersigned,  as an  inducement  to, and in  consideration  of, the
Lender's  making of the Loan to the  Borrower  hereby  agree and  consent to the
terms and  conditions  contained  in this  Letter of  Intent  including  without
limitation,  the Undersigned's  commitment and obligation to pledge its mineral,
contractual  and  intellectual  property rights (as the case may be) as security
for the Lender's loan. The Undersigned  further agree to execute and deliver any
and all  documents  necessary  to carry out the  intention  and  purpose  of the
agreement.

 Hi-Tech Environmental Products, LLC

By:_________________________________

THE MINES:

Red Rock, LLC

By:_________________________________

Valley Springs, LLC

By:_________________________________

Enviro Investment Group, LLC

By:_________________________________November 1, 2004

VitroTech Corporation
5 Hutton Centre Drive, Suite 700
Santa Ana, CA 92707

ATTENTION: MR. GLENN EASTERBROOK,
           CHIEF EXECUTIVE OFFICER

Dear Mr. Easterbrook:

      The following  letter sets forth basic business terms and conditions under
which 1568931  Ontario Ltd.,  ("Lender")  would be willing to temporarily  waive
certain  conditions  contained in the letter  agreement dated September 29, 2004
pursuant to which  Lender  agreed to  establish  a  $3,000,000  credit  facility
(hereinafter,  said letter of intent along with the definitive  agreements to be
executed, collectively referred to as the "Credit Facility") (the terms of which
are incorporated  herein by this reference)  between  VitroTech  Corporation and
VitroCo.,  Inc.  in their  respective  capacities  (collectively  referred to as
"VROT") and Lender. This letter of intent is intended to be binding and shall be
subject to the conditions  precedent contained herein and further subject to the
parties  entering  into final  agreements  in form and content  satisfactory  to
Lender in its sole and exclusive discretion.

      This Letter of Intent is being  entered  into  relative  to the  following
facts:

      A.    Pursuant to the terms of the Credit  Facility,  VROT's right to draw
            against the Credit Facility and Lender's obligation to fund any such
            draw is subject to VROT's meeting  conditions  contained  within the
            Credit Facility.

      B.    On September 29, 2004,  VROT requested  Lender to advance the sum of
            $850,000.00 plus loan fees and costs  notwithstanding  the fact that
            VROT  did not  meet  said  conditions  at the  time of its  request.
            Without  waiving its rights under the terms of the Credit  Facility,
            Lender advanced the amount requested by VROT.

<PAGE>

November 1, 2004
VitroTech Corporation
Glenn Easterbrook
Page two

      C.    VROT has advised Lender of its desire to make an additional  draw in
            the  amount of  $250,000.00  against  the  Credit  Facility  and has
            requested  Lender to advance said sum  notwithstanding  the fact the
            VROT has not met the terms and conditions  entitling it to request a
            draw against the Credit  Facility and Lender is under no obligation,
            pursuant to the terms of the Credit Facility to fund such a draw.

      D.    Subject to the terms and  conditions  contained  herein and  without
            waiving  or  modifying  the  terms  and  conditions  of  the  Credit
            Facility,  Lender has agreed to  advance an  additional  $250,000.00
            under said Credit Facility.

      Accordingly,  in  consideration  of the  foregoing and as an inducement to
Lender to advance said additional funds, it is agreed as follows:

      1.    Within seven (7) days of  execution  of this Letter of Intent,  VROT
shall enter into a services agreement with an IR/PR firm acceptable to Lender as
contained in the Phil Baker Term Sheet.

      2.    Relative to any warrants,  stock  purchase  agreements,  convertible
debt,  options or similar rights issued by VROT to Lender,  Howie Fialkov and/or
any Fialkov  related  entities  (collectively  the "Fialkov  Related  Entities")
arising in relation to funds advanced by such parties to VROT since September 1,
2004,  VROT agrees to "ratchet down" all purchase,  conversion  and/or any other
rights  contained  within said warrants,  purchase  agreements etc. so that said
purchase,  conversation  and/or  other  rights  shall at all times be as good or
better than any similar  rights  issued or granted by VROT to any third party at
any time throughout the term of the Credit Facility.  By way of example,  in the
event that VROT  issues  warrants  and/or  shares to a third  party with a stock
purchase  price of $0.15 per share,  the stock  purchase  price in any  warrants
and/or  shares  issued to the Fialkov  Related  Entities  (or any of them) which
provide for a purchase  price in excess of $0.15 per share  shall be  "ratcheted
down" to $0.15 per share.

      3.    In further  consideration  of  Lender's  agreement  to  advance  the
additional  $250,000.00,  VROT  agrees  to  issue  to  the  Lender  two  million
(2,000,000) shares of common stock at no cost to the Lender. Said shares will be
subject to a Registration  Agreement  providing  Lender with first priority with
regard to registration of any and all shares being registered by VROT.

      4.    VROT will not enter into any agreements  outside the ordinary course
of its business (as defined in the Credit Facility),  including, but not limited
to any settlement agreements, without the prior written consent of the Lender.

<PAGE>

November 1, 2004
VitroTech Corporation
Glenn Easterbrook
Page three

      5.    Glenn  Easterbrook  will  remain  in  the  position  of  sole  Chief
Executive  Officer of VitroTech  for a minimum  additional  period of six months
following the expiration of his current 90 day commitment.

      6.    VROT agrees to execute any and all additional  documents required by
Lender  necessary to carry out the terms,  intent and  conditions of this Letter
Agreement.

      Notwithstanding  anything  to  the  contrary,   nothing  herein  shall  be
construed  as a  modification  to the Credit  Facility or a waiver of any rights
which Lender may have or a release or modification of any obligation  which VROT
may have.  Lender  reserves  the right to  restructure  the terms of this Letter
Agreement  provided that such  restructuring  does no  negatively  affect VROT's
financial condition.

      Please  signify your  agreement with the foregoing by signing in the space
below.

FOREGOING CONSENTED AND AGREED TO:

VitroTech Corporation

By:_______________________________
   Name:  Glenn Easterbrook
   Title: Chief Executive Officer

VitroCo., Inc.

By:_______________________________
   Name:
   Title:

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