Dumb this down and make it simple.
The quote proves the type of conflict used in the story is internal conflict. Internal conflict occurs within a character's mind and involves the struggle between their own thoughts, emotions, and desires. In the quote, Jeremy is being offered a tempting proposition - to stay in Nethergrave where no one will ever abandon him. This offer presents a conflict within Jeremy's mind as he must weigh the desire for eternal companionship against the knowledge that Nethergrave is a virtual world and not the real world. The internal conflict is evident through the promises made to Jeremy, creating a struggle within himself to make a decision.