Farm-in agreement

A farm-in agreement is a contract between two parties:

• the farmor, who owns a piece of land or an interest in said land
• the farmee, who wants access to the land in question for mining purposes.

The farmee agrees to fund exploration and development of the land, and in exchange the farmor agrees to sell the farmee a percentage of their stake in the land. The two parties then share in any proceeds from the mining works.