Project: Logistic center project of Maoming

Project: Logistic center project ofMaoming

Overview: the project aims at building 16 warehouses with an area of 120,000
squaremetersandstockareaof 480,000squaremeters andwill beaddedwith110
transportationvehicles, 6shippingvesselsandabatchof newcomputers and networkfacilities. Theport ofMaomingis a Class 1national standardopenport tothe
worldwhichhas beenconstructedwith11container andproduct oil docks. It is 184
nauticalmiles away fromMacaoand202nautical miles away fromHong Kong and
isthenearly oceanchannel toWestGuangdong, theCentral Southand the South
West of China, HongKong, Macao, TaiwanandtheSoutheast Asia. Maoming
Petrochemical Corporation has the oil refinery capacity of 13.5 billion tons and the
capacityof producing1milliontons of ethyleneper year. Thefavorable conditions
have laid solid foundation for this company to develop the logistic and shipping
business in the future.

Mode of cooperation: joint ventureor cooperation

Period of cooperation: negotiable

Total investment: US$22million

Chinese side investment and composition: US$ 7.620,000, includingUS$ 1,
000,000 in capital and the others such as warehouses, storage tanks and transportationvehicles, etc. that arevaluedUS$6,260,000.

Foreign side investment and composition: contrition with capital or partial
capital investment and partial contribution with equipment and transportation vehicles.

Estimatedpaybackperiod:5years

Construction site:MaomingPort

Infrastructure available at the construction site: complete infrastructural facilities of supply of water, electricity, gas, roads andtelecommunication