VENTA DE CARBON, HARD COKING COAL

SOFT OFFER – Hard Coking Coal I ——————————————————— confirm that we are ready, willing and able to sell the Russian Hard Coking Coal as per the specification and for the price as specified in the terms and conditions as stated below. Commodity: Hard/Coking Coal Origin: Russia Hard Coal of „K“ type Lot Size 0-300 mm ISC code number 14001624270335 SPECIFICATION I. Quality Specifications according to ISC (International System of Codification) Vitrinite reflectance average index % Reflecto- Gram characteristic Maceral Composition characteristic % Crucible Swelling Index (SI) unit Volatile Matter (dry ash- free basis) % Ash (dry basis) % Total sulphur (dry basis) % Calorific value (dry ash-free basis) MG/kg inertinite liptinite 1.40 0 1 0 6 26.0 27.0 0.30 35.60 II. General Characteristics State Moisture % Ash % Volatile Matter % Total sulphur % Calorific Value kcal/kg Fixed Carbon % base average maximum average maximum average average average average received 5.0 8.0 25.6 – 18.0 0.28 5650 51.4 dry – – 27.0 31.0 19.7 0.30 6200 54.3 dry ash-ree – – – – 26.0 0.41 8500 maximum 74.0 air-dried basis 1.33 – 26.64 30.58 18.73 0.30 6120 53.30 III. Element Analysis of dry ash-free coal Carbon % Hydrogen % Nitrogen % Oxygen % 90.2 5.16 1.67 2.32 IV. Petrographic composition and metamorphism stage Vitrinite % Liptinite % Semi-Vitrinite % Inertinite % The sum of fustian % Vitrinite reflectance index % Reflectogram characteristic Stage of metamorphism 77 0 1 0 1 1.4 0 IV V. Granular composition mm 100-150 50-100 25-50 13-25 6-13 3-6 1-3 0.5-1 0-1 1.6 10.0 13.50 18.20 13.70 17.20 13.70 4.10 8.0 Hard Coal of „K“ type Lot Size 0-300 mm ISC code number 14001624270335 VI. Coking quality indices Characteristic of non-volatile residue Roga Index RI unit Free swelling Index FSI unit Thickness of plastic mass (y) (y) mm Gray-King coke type GK Maximum plasticity/fluidity according to Gieseler MF LG Dilatometric indices according to Audibert-Arnu a – % b- % swollen 75 6 20 G8 3648 / 3,56 – 20 179 VII. Chemical Composition of ash % SiO2 Al2O3 Fe2O3 CaO MgO Na2O K2O TiO2 MnO SO3 61.28 21.8 4.02 2.82 1.52 1.76 1.80 1.14 0.025 3.80 VIII. Ash fusing point – t °C Semi-reducing medium Deformation point 1310° Hemisphere 1360° Fluidity point 1430° IX. Actual Density Actual density of coal, g/cm3 1.33 of coal with mineral impurities, g/cm3 1.41 X. low content elements Cl chloride As arsenic S sulphur P phosphor 0.032 0.032 0.30 0.0009 Quantity: Total quantity available of more than 300,000 MT X 12 Months Minimum Order: 20,000 MT per month; One year contract; Rollover 5 years Port of Loading: Vladivostor sea port or any port comfortable for the buyer in Russia FOB Ventpils port USD 253 mt , Brest- Belarus USD 230 mt FOB Belarus DELIVERY AND SHIPMENT COMMENCE AS PER THE TERMS AND CONDITIONS OF THE CONTRACT. In response to the Buyer’s initial enquiry, we provide a Soft Offer for the Buyer’s consideration. The Buyer issues an Irrevocable Corporate Purchase Order (ICPO) or an Irrevocable Letter Of Intent (LOI). The Buyer issues a BRL detailing the contracted quantity, contract value and onthly evolving amount and confirming the Buyer’s ability to finance the deal. The Seller issues a Full Corporate Offer (FCO) to the Buyer. The Buyer signs and seals approval of the FCO and returns. The Seller issues a draft Contract to the Buyer. The Buyer will electronically sign and seal the revised draft Contract and return to the Seller via email, in Word Format. The Seller reviews and confirms any changes made in the draft contract by the Buyer. If the Seller agrees to the changes made by Buyer. 9.The seller issue to buyer the following certificates below: CERTIFICATE OF ORIGIN CERTIFICATE OF QUALITY CERTIFICATE OF ANALYSIS COMERCIAL INVOICE VIA EMAIL OPEN FOR BUYER VERIFICATION The Seller issues the final binding contract via email, in Word Format. The Buyer returns the final agreed contract duly initialed, signed and sealed via email, in Word Format. The Seller will then electronically seal or scan the fully signed, sealed and initialed Contract and email the “Soft Copies” to the Buyer. The Buyer immediately after the return of the final agreed Contract to the Seller, sends to the Seller by email the draft verbiage of the payment instrument (BG, Back to Back L/C) as provided by the Buyer’s Bank for the Seller’s approval. The Seller will issue to the Buyer four (4) original “Hard Copies” of the contract via Courier to Buyer’s address as stated in the contract. Immediately upon receiving the Seller’s signed and sealed “Hard Copies” of the contract via courier the Buyer will personally sign and seal the 4 Hard Copies and immediately return two (2) originals by courier to the Seller. Once the Seller approves the payment instrument verbiage, the Buyer’s Bank then sends a SWIFT Pre-advice to the Seller’s Bank, along with the approved verbiage of the payment instrument, advising that they are ready to proceed with the transaction. Having confirmed with the Seller that the verbiage is acceptable, the Seller’s Bank then advises the Buyer’s Bank through a SWIFT Letter of Readiness that it is ready to accept their non-operative payment instrument. Buyer and Seller exchange POP (Proof of Product) for non-operative L/C. The Seller will, within 5 working days of receipt of an acceptable operative payment instrument, issues Bank to Bank a Performance Bond two percent (2%) of the confirmed value of each shipment. The SGS inspection /port cost will be borne by Seller. Shipment comes in to FORCE. Pay master releases payment to all Brokers/Agents same time out-turn shipment delivered per slot via wire transfer within 23 banking days after discharge of cargo and receipt of all relevant shipping documents. We trust you would find this offer for Russian Thermal/Coking Coal in order and hope to receive the confirmation of the offer at the earliest. If you have any questions please do not hesitate to communicate with us. We look forward to long term cordial business relations for mutual benefits. Yours sincerely, Signed By: HABLAMOS CON EL MANDATARIO DIRECTAMENTE PARA CUALQUIER NEGOCIACION. PARA MAS INFORMACION: [email protected]