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Concluding a Sales Confirmation

To: Ma Jun

Marketing Manager

From: Eric H. Williams

Purchasing Manager

Date: December 29,2001

Re: Contract for Dead-Burned Magnesite 9110

Dear Mr. Ma Jun,

Please go ahead to make a contract for the first 35,000 MT captioned goods for January shipment 2002 according to the following terms and conditions:

1.Specifications

MgO:91% min.

SiO2:4.15% max.

CaO:2.00% max.

Al2O3:1.89% max.

Fe2O3:0.60% max..

L.O.I.:0.45% max.

B.D.:3.15g/cm²

2.Size: 0-10 mm 90%.

3.FOBST: Bayuquan US$89.00/MT

4.Packing: in bulk.

5.Quantity: 35,000 MT.

6.More or less: 10%.

7.Shipment: Jan. 2

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