Document:

<PAGE>

                                                                    EXHIBIT 10.1

                       Confidential Treatment Requested

                     Carrefour and SourcingLink.net, Inc.

                               Letter Agreement

          SourcingLink.net, Inc. (SourcingLink) desires to enter into an
agreement with Carrefour relating to the adoption by Carrefour of SourcingLink's
Internet Merchandise Sourcing Solution and continued use of the SourcingLink
desktop quality inspection and shipping and tracking solution.  The significant
terms and conditions of the agreement are outlined below.

     1.  Overview

          Carrefour as a strategic partner to SourcingLink is interested in
enabling a more efficient supply chain connection and process between its
worldwide suppliers and Carrefour. To facilitate this goal, Carrefour has asked
SourcingLink to deliver an e-commerce solution allowing Carrefour to efficiently
and cost effectively communicate with and manage its suppliers worldwide.

          The Solution will allow Carrefour to establish the necessary
connectivity infrastructure to efficiently distribute business information to
its suppliers and have suppliers feed information into Carrefour's systems using
standard web browsers to access the Solution over the Internet. The SourcingLink
Solution will provide Carrefour with a variety of standardized electronic
communication capabilities to exchange information with its suppliers including
electronic supplier profiles, negotiations, sending and receiving requests for
quotation, product development, sharing product catalogs, publishing vendor
policies and procedures, sending purchase orders and invoices, receiving
shipment notices, placing inspection orders and receiving inspection reports.

          Carrefour understands that in order to implement this solution it must
mandate its suppliers to subscribe to the SourcingLink Solution.

          SourcingLink will provide Carrefour a leading edge, cost-efficient
supply chain management solution and will work closely with Carrefour to develop
and implement additional functionality across these connections over time.

          SourcingLink and Carrefour understand and agree that continued use of
the SourcingLink Solution is based on Carrefour's on-going satisfaction and use
of this Solution can be terminated by Carrefour for any reason with ninety (90)
days prior written notice.

     2.  Roll Out Scope

          Carrefour has indicated that providing its CMI offices with an e-
commerce solution to transmit sourcing information from the international
suppliers to the buyers in the operating countries is the first priority in the
implementation plan. Based on this desire, SourcingLink will structure its
implementation into distinct phases focusing immediately on connecting the CMI
offices in Hong Kong, Italy and Mexico, to their suppliers and to the buyers in
the operating countries.

          It is anticipated that after linking the international suppliers to
its CMI offices, Carrefour will extend usage of the SourcingLink Solution to
include mandating the domestic suppliers in each operating country to subscribe
to the SourcingLink Solution.
<PAGE>

     Phase One - January 1, 2000 - May 31, 2000

     Aggressively roll out the SourcingLink Solution to the international
suppliers, the CMI offices and the buyers in each of the operating countries:
          .    Work with Carrefour to document the current sourcing workflow.
          .    Connect the three (3) CMI offices, their suppliers and their main
               operating country customers (France, Spain, Argentina, Brazil,
               Taiwan...others) to the SourcingLink Solution through a fast
               Internet connection.
          .    Customize the forms with the SourcingLink Solution to support the
               product catalog document workflow from the suppliers through CMI
               and then to the operating countries.
          .    Publish purchasing policies and procedures provided by Carrefour
               for international suppliers.
          .    Develop and interface between SourcingLink and the Carrefour back
               office system(s) to enable the automatic transfer of information,
               where required.
          .    Install a supplier relations button on the Carrefour website with
               a hotlink to SourcingLink.

     Phase Two - June 2000 - June 2001

Extend the SourcingLink Solution to link the buyers in the operating countries
with their domestic suppliers:

          .    Connect the various operating country buyers with their domestic
               suppliers (order of operating country roll out to be agreed upon
               with Carrefour).
          .    Customize forms within the SourcingLink Solution to support the
               product catalog workflow from the domestic suppliers to the
               various operating country buyers.
          .    Publish purchasing policies and procedures provided by Carrefour
               for domestic suppliers.

Phase Three - Starting date and priorities to be agreed upon with Carrefour

     In order to fully utilize the existing connectivity, Carrefour and
SourcingLink will work cooperatively to add and enhance features between
Carrefour and both its international and domestic suppliers

          .    Include web based Order Management related documents in the
               workflow with the suppliers.
          .    Broadcast information to vendors on a one-to-one basis, e.g.,
               inventory status, faulty deliveries.
          .    Develop the corresponding interface between SourcingLink and the
               Carrefour back office system(s) to enable the automatic transfer
               of the necessary information, where required.
          .    Provide agreed upon additional functionality to the SourcingLink
               Solution

     Carrefour will be responsible to put in place the infrastructure necessary
to implement the SourcingLink Solution to include fast Internet connection and
machines in each of the buying offices for the buyers/merchandisers to access
the Internet.  In addition, Carrefour will need to appoint a corporate project
manager and a project manager in each operating country to act as the interface
to the SourcingLink project management teams to support the implementation of
the Solution.

     3.  Implementation Process

          .    We will jointly document the current workflow.
<PAGE>

          .    We will jointly develop the project plan with tasks,
               responsibilities and milestones for each phase of the roll out.
          .    SourcingLink will provide the Buyer training in all CMI and
               Operating countries and Carrefour will make buyers available for
               all training.
          .    SourcingLink will provide forms customization for current
               international product catalog documents used by the CMI offices
               and the operating countries.

     4.  Responsibilities -- SourcingLink

          .    Training
          .    SourcingLink will assign a worldwide Project Manager to serve as
               the owner of the Carrefour implementation worldwide.
          .    SourcingLink will assign a project manager for each country
               implementing the SourcingLink Solution (a project manager may
               handle multiple countries).
          .    SourcingLink will develop with Carrefour a project plan and
               review its progress and the key deliverable items on a regular
               basis with Carrefour Corporate Project management as well as each
               of the countries in active implementation.
          .    SourcingLink will identify and raise project issues as necessary
               with Carrefour appointed project management
          .    SourcingLink will provide forms customization
          .    SourcingLink will provide worldwide support through its Solution
               center to buyers and suppliers
          .    SourcingLink will provide support for interface developments for
               connection to ERP and/or other back-office systems
          .    Supplier recruiting through telemarketing.

          Responsibilities Carrefour

          .    Carrefour will mandate that supplier subscribe to the
               SourcingLink Solution.
          .    Carrefour will provide connectivity to the Internet.
          .    Carrefour will make buyers available for training.
          .    Carrefour will assign a Corporate Project Manager who will be the
               focal point for communications and who has the authority to act
               for Carrefour in all aspects related to this proposal.
          .    Carrefour will appoint a project manager in each roll out country
               with access to necessary personnel and information at Carrefour
               related to the successful completion of the implementation.
          .    Carrefour will work to establish, develop and approve all forms
               customization.
          .    Carrefour will provide office space to SourcingLink at Carrefour.
          .    Carrefour will provide supplier listings and approve sending
               letters to the suppliers on Carrefour letterhead and provide
               buyer follow-up to recruit suppliers.
          .    Carrefour will develop the necessary interface between the
               SourcingLink Solution and its ERP and other back office systems.
          .    Carrefour will implement buying practices and procedures that
               reinforce utilization of the SourcingLink Solution.

5.  Initial Implementation - Phase One

     The project start date is estimated to be December 1 and is subject to
final agreements between Carrefour and SourcingLink that fully reflect the
detail terms related to this memorandum of understanding.

<TABLE>
<CAPTION>
----------------------------------------------------------------------------------------------------
                         Task Description                                 Estimated Start Date
----------------------------------------------------------------------------------------------------
<S>                                                                 <C>
Receipt of memorandum of understanding - Carrefour                         November 12, 1999
----------------------------------------------------------------------------------------------------
Agreement signed by Carrefour Head Office                                  November 12, 1999
----------------------------------------------------------------------------------------------------
</TABLE>
<PAGE>

<TABLE>
------------------------------------------------------------------------------------------------------
<S>                                                                 <C>
Meet with CMI offices to:                                                  January 4, 2000-January 15,
     .  Develop project plan                                                         2000
     .  Document workflow
     .  Obtain supplier target lists
     .  Schedule buyer training
     .  Agree upon date to send letters to suppliers
     .  Check on Internet connectivity
     .  Establish working group for form customization
     .  Establish working group for policies and procedures
-----------------------------------------------------------------------------------------------------
Meet with operating countries to:                                          January 22, 2000
     .  Check on Internet connectivity
     .  Schedule buyer training
-----------------------------------------------------------------------------------------------------
Standard agreements signed                                                 January 31, 2000
-----------------------------------------------------------------------------------------------------
Carrefour starts sending letters to international suppliers                February 15, 2000
-----------------------------------------------------------------------------------------------------
</TABLE>

     6.  Internet Solution

     Charges

     .    $95 per month per buyer trained on the Solution and provided a user ID
          [*]. Payable monthly upon receipt of invoice.
     .    One time roll out fees estimated at US$450,000 (450 man days at an
          average of US$1,000). This includes 200 days of buyer training, 200
          days of project management and 50 days of sourcing forms
          customization.
     .    Total estimated one-time fees above: US$450,000. Payable as services
          are provided and billed.
     .    Estimates will be confirmed with final project plans.

     .    All billing will be payable by Carrefour corporate.

     Not Included
     ------------

     .    Man-days in excess of estimate

     .    Our travel expenses will be invoiced at cost.

     .    Additional functionality requiring development.

     .    Any projects to interface to Carrefour back office systems will be
          subject to a separate proposal.

     .    Additional forms customization for forms currently not in use by
          Carrefour will be subject to a separate proposal.

     .    Data migration.

Suppliers will pay a registration fee of $100 and $95 per month per seat or
$1,025 per year per seat. [*]

     7.   Warrants

          SourcingLink will grant to Carrefour 150,000 warrants for the purchase
of 150,000 shares of SourcingLink common stock at an exercise price equal to the
closing price of the SourcingLink stock as of the date this agreement is signed
by both parties.   [*]

          These warrants are granted in consideration of the commitment to this
alliance by Carrefour and contemplate that Carrefour will actively participate
in the implementation.

          * Portions omitted pursuant to a request for confidential treatment.
<PAGE>

     8.   Supplier Confidentiality

          SourcingLink agrees that any supplier that has an exclusive
relationship with Carrefour or provides private lable goods to Carrefour will
remain private in the SourcingLink database and will not be accessible to any
retailer other than Carrefour.

     9.   Other

          Carrefour will become a Charter member participating in the
development of the direction and content of the SourcingLink Solution. In
addition, Carrefour will be showcased on our public site as a Charter member
with a description of our alliance and your leadership role in e-commerce.

          Carrefour will agree to public disclosure of the business relationship
and the plans for implementation and to act as a reference site and showcase for
investors, non-competitive retailers, and suppliers.

          It is understood that Carrefour has acquired Promodes. Upon completion
of the integration phase of this acquisition, SourcingLink agrees to consolidate
agreements in affect at that date where the terms of the Carrefour agreement
will prevail.

CARREFOUR                                  SOURCINGLINK.NET, INC.

By:   /s/ William N. Anderson              By:   /s/ Sean M. Maloy
      ----------------------------------         -------------------------------
      William N. Anderson                        Sean M. Maloy
      Chief Merchandise and Marketing            President and Chief Executive
      Officer                                    Officer

Date: December 8, 1999                     Date: December 8, 1999
      ----------------------------------         -------------------------------ESCROW AGREEMENT

         ESCROW AGREEMENT ("ESCROW AGREEMENT") dated as of September 16, 1999 by
and among PACIFIC SANDS, INC., a Nevada corporation ("PSI"), and BVH HOLDINGS,
L.L.C., a Colorado limited liability company ("PURCHASER"), and EDWARD H.
BURNBAUM, ESQ., having a principal place of business at 300 East 42nd Street,
New York, New York 10017 ("ESCROW AGENT").

         WHEREAS:

         A. The Purchaser and PSI entered into a Securities Subscription
Agreement dated as of September 16, 1999 ("AGREEMENTS"), in which, INTER ALIA,
the Purchaser agreed to purchase PSI's 8% Series A Senior Subordinated
Convertible Redeemable Debentures ("DEBENTURES");

         B. Pursuant to the Agreement, the Debentures are to be delivered to the
Escrow Agent to hold and administer in accordance with the terms and conditions
of this Escrow Agreement.

         NOW THEREFORE, in consideration of the respective premises, mutual
covenants and agreements of the parties hereto, and other good and valuable
consideration, the receipt and sufficiency of which we hereby acknowledged, the
parties hereto agree as follows:

         1. APPOINTMENT OF ESCROW AGENT. Escrow Agent is hereby appointed as
escrow agent and the Escrow Agent hereby accepts such appointment. The Escrow
Agent shall act in accordance with the instructions set forth in this Escrow
Agreement and any further instructions given to it by written instrument signed
by PSI and Purchaser.

         2. INITIAL FUNDING. On the date hereof, the Purchaser shall transfer to
PSI the aggregate sum of USD$l00,000, less any fees which PSI has agreed to pay
by virtue of a separate agreement.

         3. Issuance and Delivery of the Debentures
            and Resolution to the Escrow Agent.
            -----------------------------------

         (a) On the date hereof, PSI shall issue in the name of the Purchasers
and deposit with the Escrow Agent the Debentures in the face amount of $300,000,
as provided in the Agreements. If PSI is not paid the full Purchase Price for
the Debentures, as provided in this Escrow Agreement, then the Debenture, or any
portion of the Debentures which is not paid for at the time when payment is due
to be made, shall be canceled by PSI, and the Escrow Agent, upon written notice
of such cancellation from PSI, shall promptly return the Debentures to PSI. Upon
such cancellation and return of the Debentures, the parties shall have no
further obligations or liabilities each to the other under this Escrow
Agreement, the Agreements or the Debentures.

         (b) On the date hereof, PSI shall deliver to the Escrow Agent a
resolution in the form annexed hereto as EXHIBIT A ("RESOLUTION"), instructing
PSI's transfer agent, Corporate Stock

<PAGE>

Transfer, 370 17th Street, #2350, Denver, Colorado 80202 ("TRANSFER AGENT") to
issue to Purchaser shares of PSI's common stock registered in the name of
Purchaser, without restrictive legend as provided in Section 5(b) of the
Agreement, in an amount equal up to $300,000, or at some lesser amount as the
Escrow Agent, in his sole discretion may direct the Transfer Agent, at a price
per share which is 75% of the closing bid price of PSI's common stock as
reported on the National Association of Securities Dealers Electronic Bulletin
Board for the trading day immediately preceding the date of receipt of the
Resolution by Transfer Agent, and providing that PSI shall not change its
transfer agent from the Transfer Agent, without the express written consent and
directive of the Escrow Agent. The Resolution may be invoked by the Escrow Agent
on as many occasions as necessary to effectuate the provisions of this Escrow
Agreement. The Resolution may be delivered by the Escrow Agent to the Transfer
Agent in the event that, for any reason whatsoever, PSI fails to honor any
Notice of Conversion as provided in the Debentures and this Escrow Agreement, or
PSI commits a material breach of the Agreements, the Debentures, or this Escrow
Agreement, or in the event that PSI changes or attempts to change its transfer
agent from the Transfer Agent without the express written consent of the
Purchaser. Upon written demand from the Purchaser, Escrow Agent shall deliver
the resolution to the Transfer Agent as provided in this Section 3(b). Delivery
of the Resolution to the Transfer Agent and the issuance of shares by the
Transfer Agent in accordance with the Resolution shall not preclude the
Purchaser from exercising any and all other remedies available to the Purchaser
against PSI for a breach of the Agreements, the Debentures, or this Escrow
Agreement. Escrow Agent shall be entitled to honor any such written demand from
the Purchaser and shall ignore any demand or instructions to the contrary from
PSI.

         4. CUSTODY AND DISPOSITION OF THE DEBENTURES. The Escrow Agent shall
hold and dispose of the Debentures only in accordance with the terms of this
Escrow Agreement.

         5. CONVERSION OF DEBENTURES.

         (a) As provided in paragraph 4 of the Debentures, Purchaser may give
Notice of Conversion of the Debentures to PSI by facsimile to the number set
forth in Section 10 below. Conversion of Debentures may take place at any time
until the Maturity Date of the Debentures, as defined in the Debentures. As
provided in paragraph 4 of the Debentures, within 10 business days of receipt of
a Notice of Conversion, PSI shall deliver to the Purchaser giving such notice,
or to an account designated by such Purchaser in the Notice of Conversion,
certificates representing the shares of common stock to which the Purchaser
shall be entitled by reason of the conversion ("CERTIFICATES"). Notwithstanding
anything to the contrary contained in paragraph 4 of the Debentures, PSI may
demand, in writing, that the Purchaser pay outstanding principal amounts of the
Debentures ("DEMAND") even though Purchasers have not convened all or any amount
of the Debentures into shares of common stock, as provided in subsections (A)
and (B) below. The Demand is a provision for payment of the Debenture only.
Conversions of the Debentures into shares of common stock shall be done in
accordance with paragraph 4 of the Debentures, and may be in an amount which is
no less than $10,000 but not necessarily as much as the Demand: However, a
Demand may only be made in aggregate increments of $100,000, commencing 20
business days from the Closing Date of the purchase of the Debentures, as set
forth in the

                                       2
<PAGE>

Agreement, each Demand being no less than 20 business days from the last Demand,
and provided that the closing bid price of PSI's common stock for the previous 5
consecutive trading days has nor fallen below $.05 per share. On any single
trading day, Purchaser may sell in the aggregate common stock equal to the
greater of (i) 10% of the total trading volume of PSI's common stock at any time
during a day when PSI's common stock trades or (ii) 6,000 shares of common stock
(either (i) or (ii) being "MAXIMUM SALES"). However, in the event that Purchaser
does not accomplish Maximum Sales on any trading day, the difference between the
Maximum Sales and the dollar amount of sales actually done shall cumulate
("CUMULATIVE SALES") and Purchaser may accomplish the Cumulative Sales on any
other trading day even if the Maximum Sales have been done on such day.

         (b) if PSI fails to timely deliver Certificates, as provided in Section
5(a) above, then PSI shall pay Purchaser $150 per day for each day late in
delivering Certificates up to and including the 10th late day, and $500 per day
for each day late in delivering the Certificates after the 10th late day
("LIQUIDATED DAMAGES"). Any Liquidated Damages incurred by PSI shall be payable
immediately and in cash upon demand in writing by Purchaser, or its agent, to
PSI. However, such Liquidated Damages may be deducted from any amounts owed to
PSI by Purchaser pursuant to this Section 5. Notwithstanding anything contained
in the Agreement to the contrary, including but not limited to the provisions of
Section 6 regarding the registration of restricted Conversion Shares, Purchaser
shall be required to pay the Liquidated Damages set forth in this Section 5(b).

         6. BANKRUPTCY. In the event any proceeding under the Bankruptcy Laws of
the United States or any proceedings under any state laws for the protection of
debtors or creditors, are filed, voluntarily or involuntarily, by or on behalf
of PSI, then the Purchasers shall not be required to make any payment under the
Debenture or to honor any Demand and PSI shall be required nonetheless to honor
all notices of conversion.

         7. INDEMNIFICATION Purchaser and PSI agree ,jointly and severally to
indemnify, defend and hold harmless the Escrow Agent from and against any and
all costs (including, without limitation, legal fees and expenses), liabilities,
claims and losses arising out of or in connection with this Escrow Agreement or
any action or failure to act by the Escrow Agent under this Escrow Agreement,
except as provided in paragraph 8 below.

         8. CONCERNING THE ESCROW AGENT. To induce the Escrow Agent to act
hereunder, it is further agreed by the undersigned that:

         (a) This Escrow Agreement expressly sets forth all the duties of the
Escrow Agent with respect to any and all matters pertinent hereto. No implied
duties or obligations on the part of the Escrow Agent shall be read into this
Escrow Agreement. The Escrow Agent shall not be bound by the provisions of any
agreement among the other parties hereto except this Escrow Agreement.

         (b) The Escrow Agent shall not be liable for any action or failure to
act in its capacity as Escrow Agent hereunder unless such action or failure to
act shall constitute willful misconduct on the part of the Escrow Agent, in
which case there shall be no indemnification

                                       3
<PAGE>

obligations.

         (c) The Escrow Agent shall be entitled to rely upon any order,
judgment, certification, demand, notice, instrument or other writing delivered
to it hereunder without being required to determine the authenticity or the
correctness or any fact stated therein or the propriety or validity of' the
service thereof. The Escrow Agent may act in reliance upon any instrument or
signature believed by it to be genuine and may assume, unless he has actual
knowledge to the contrary, that any person purporting to give notice or receipt
or advice or make any statement or execute any document in Connection with the
provisions hereof has been duly authorized to do so.

         (d) The Escrow Agent may act pursuant to the advice of counsel with
respect to any matter relating to this Escrow Agreement and shall not be liable
for any action taken or omitted in accordance with such advice, except as
provided in paragraph 8(b) above.

         (e) The Escrow Agent does not have any interest in the Debentures or
Conversion Shares or any other property deposited hereunder but is serving as
escrow holder only and having only possession thereof, and is not charged with
any duty or responsibility to determine the validity or enforceability of any
such documents.

         (f) The Escrow Agent (and any successor Escrow Agent) may at any time
resign as such by delivering the Debentures to any successor Escrow Agent,
jointly designated by the other parties hereto in writing, or to any court of
competent jurisdiction, whereupon the Escrow Agent shall be discharged of and
from any and all further obligations arising in connection with this Escrow
Agreement thereafter. The resignation of the Escrow Agent will take effect on
the earlier of (a) the appointment of a successor (including a court of
competent jurisdiction) or (b) the day which is 30 days after the date of
delivery of its written notice of resignation to the other parties hereto. If at
that time the Escrow Agent has not received a designation of a successor Escrow
Agent, the Escrow Agent's sole responsibility after that time shall be to
safekeep the Debentures and not make delivery or disposition thereof until
receipt of' a designation of successor Escrow Agent or a joint written
disposition instruction by the other parties hereto or a final order of a court
of competent jurisdiction.

         (g) In the event of any disagreement among the parties hereto resulting
in adverse claims or demands being made in connection with the Debentures, or in
the event that the Escrow Agent otherwise determines that the Debentures should
be retained, then the Escrow Agent shall retain the Debentures until the Escrow
Agent shall have received (i) a final nonappealable order of a court of
competent jurisdiction directing delivery of the Debentures, or (ii) a written
agreement executed by the other parties hereto directing delivery of the
Debentures, in which case the Escrow Agent shall promptly deliver the Debentures
in accordance with such order or agreement. Any court order referred to in (i)
above shall be accompanied by a legal opinion by counsel for the presenting
party reasonably satisfactory to the Escrow Agent to the effect that said court
order is final and nonappealable. The Escrow Agent shall act on such court order
and legal opinion without further question.

         (h) This Escrow Agreement shall be binding upon and inure solely to the
benefit

                                       4
<PAGE>

of the parties hereto and their respective successors (including successors by
way of merger) and assigns, heirs, administrators and representatives and shall
not be enforceable by or inure to the benefit of any third party except as
provided in paragraph (g) with respect to a resignation by the Escrow Agent.

         (i) This Escrow Agreement may be modified by a writing signed by all
the parties hereto, and no waiver hereunder shall be effective unless in a
writing signed by the party to be charged.

         (j) PSI acknowledges and agrees that in any dispute involving the
Agreement, Debentures or this Escrow Agreement, that Escrow Agent may represent
Purchaser's interests and shall not have a conflict of interest due to the fact
that Escrow Agent is also acting as an escrow agent pursuant to this Escrow
Agreement and PSI hereby waives any right which it may have had to assert a
conflict of interest in the absence of this Section 8(j).

         9. GOVERNING LAW. This Escrow Agreement shall be governed in all
respects by the internal laws of the State of Colorado. The parties agree to
submit to the jurisdiction and venue of any state or federal court in Denver
having subject matter jurisdiction over the matter. Service may be made by
certified mail, return receipt requested, to the parties at the addresses set
forth in paragraph 10 below, but the parties shall not be precluded from making
service in any other manner permitted by law.

         10. NOTICES. All notices, requests, consents and other communications
hereunder shall be in writing, shall be delivered by hand or sent by U.S.
Express Mail, Fedex or some other reliable overnight courier service for next
day delivery. Each such notice or other communication shall for all purposes of
this Escrow Agreement be treated as effective or having been given when
delivered if delivered personally, or, if sent by overnight express mail
service, 1 day after the same has been deposited with the U.S. Postal Service,
Fedex or the overnight courier. All such notices must also be sent by facsimile
on the same day to the parties as fo1lows:

<PAGE>

                       if to PSI:

                       Pacific Sands, Inc.
                       601 W. Shaw Avenue, Suite D
                       Clovis, California 93612
                       Attn:   Wade Hanson
                       Fax: 559-228-8127

                       if to Purchaser:

                       BVH Holdings. L.L.C.
                       1550 Larimer Street
                       Denver, Colorado 80202
                       Fax: 888-774-7275

                       If to Escrow Agent:

                       Edward H. Burnbaum, Esq.
                       Lynch Rowin Novack Burnbaum & Crystal, P.C.
                       300 East 42nd Street
                       New York, New York 10017
                       Fax:  212-986-2907

         11. COUNTERPARTS. This Escrow Agreement may be executed in one or more
counterparts, each of which shall be deemed to be an original, but all of which
together shall constitute one and the same instrument.

         12. ESCROW AGENT FEES. PSI shall pay the fees and expenses of the
Escrow Agent in performing its obligations and in connection with the
preparation of the transaction documents which shall be $6,000 ("FEE"). The Fee
may be deducted from the Debenture purchase proceeds in equal increments, $2,000
upon the execution of this Escrow Agreement, and $2,000 as each Demand is funded
by the Purchaser.

                                       6

<PAGE>

         IN WITNESS WHEREOF, the parties hereto have caused this Escrow
Agreement to be duly executed and delivered, as of the day and year first above
written.

                                      PACIFIC SANDS, INC.

                                      By: /s/ Wade Hanson    9/16/99
                                         -----------------------------
                                           Wade Hanson
                                           Chief Executive Officer

                                      BVH HOLDINGS, L.L.C.

                                      By:
                                          ----------------------------

As to Escrow Only:

ESCROW AGENT:
-------------
EDWARD H. BURNBAUM, ESQ.

By:
    -----------------------------

                                       7

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00001-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00001-of-00352.parquet"}]]