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LETTER OF INTENT
IRREVOCABLE CORPORATE PURCHASE ORDER

I, the undersigned (Buyers Name), hereby declare and confirm that we are ready, willing and able to purchase the commodity as per specifications and in the quantity and for the price as specified in the terms and conditions as hereinafter set forth. This representation is made with full corporate authority and responsibility of the above.

Product: Iron Ore fines with Fe 64.5%, rejection below Fe 63.0%

Quantity: 80,000 Metric Tons / Month (two shipments of 40,000MT in a month)

Contract period: March/2005 shipments (or the buyer can buy April¡¯s shipment too, it is up to him)

Price: USD $ 44.30 / MT

INCOTERMS: FOB

Destination(s):

SPECIFICATION:

¡¤ Fe 64,5% , rejection below 63,0%

¡¤ SiO2 < 4,0 %

¡¤ Al2O3 < 1,25%

¡¤ P < 0,04%

¡¤ S < 0,025%

¡¤ Na2O < 0,30%

¡¤ MgO < 1,50%

¡¤ CaO < 0,04%

¡¤ K2O < 0,006%

¡¤ Mn < 0,05%

Origin: Brazil Bresil Brasil Brazilian Bresilian Brasilian

Payment: Fully Funded Documentary Letter of Credit (FFDL/C), Transferable,

First Line Bank 100% at sight.

Inspection: SGS at Seller¡¯s Expense

Shipping: first shipment on 6th of March, second on 25th of March.

Performance Bond: 2% by seller¡¯s bank in favour of the buyer. (Internationally accepted)

Packing Required: BULK

Documents: At both side¡¯s choice

Loading: FOB terms

Discharge: All costs at the port of discharge for the account of the buyer.

Special Conditions: This letter of Intent / R.W.A. is subject to final approval and agreement by both seller and Buyer and all the terms and conditions herein as well as the subsequent Contract of Sale including any amendments or variations thereof, all of which has to be reduced in writing and signed by both parties hereto.

Buyer¡¯s Information:

Name of the Company: ________________________________

Contact Person: ______________________________________

Address: ____________________________________________

Tel. Office: __________________________________________

Fax Office: __________________________________________

E-mail address: __________________@___________________

Postcode: _____

Website: http://________________________

Buyer¡¯s Bank Information:

Name: ________________________________________________

Branch Code: ________________________________________________

Full Address: _________________________________________________

Account Number: _________________________________________________

Account Name (Holder): _________________________________________________

Bank Officer: ________________________________________________

Tel. Number: _________________________________________________

Fax Number: _________________________________________________

Email: ________________________________________________

SWIFT No.: ______________________________________________

Country: ________________________________________________

We authorize the holder of this document to perform a soft probe on the above mentioned bank account.

Seal:

___________________________________
Buyer¡¯s Authorised Signature (Date)

(Signatory¡¯s Full Name)
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www.chensihong.org/
chensihong@chensihong.org/
chensihong@cableplus.com.cn/