EXHIBIT 99.2 May 5, 1997 Bre-X Minerals Ltd. VIA FAX NO. (403) 543-7060 119 14th Street N.W. Calgary, Alberta Canada T2N 1Z6 Attn: David G. Walsh Chairman, President and CEO PT Askatindo Karya Mineral VIA FAX NO. (62) (21) 829-4013 Complex Gudang Peluru Block D/118 Tebet, Jakarta Selatan Indonesia Attn: President Director PT Amsya Lyna VIA FAX NO. (62) (21) 829-4013 Complex Gudang Peluru Block D/118 Tebet, Jakarta Selatan Indonesia Attn: President Director Gentlemen: Reference is made to the agreement entered into effective as of February 26, 1997 among Freeport-McMoRan Copper & Gold Inc. ("FCX") and each of you regarding the proposed development of mineral resources in East Kalimantan, Indonesia, and to Amendment Number One thereto entered into effective as of April 30, 1997 (such agreement as so amended, the "Agreement"). FCX has performed the activities contemplated by Section 3 of the Agreement, but has been unable to confirm the existence of one or more commercially viable gold or other mineral resources in the areas covered by the Agreement. Accordingly, FCX hereby terminates its participation in the activities contemplated by the Agreement. Very truly yours, /s/Richard C. Adkerson ---------------------- Richard C. Adkerson President and Chief Operating Officer cc: Rolando C. Francisco - VIA FAX NO. (403) 543-7060 Executive Vice President and Chief Financial Officer Bre-X Minerals Ltd.