Dear Pak Ong,

Good Evening and I hope all is well with you. This email serves as an update for information
in regards to KIP Arsari 2’ Operation, as well as a kind reminder to upcoming costs
associated with the Operation.

Mr. Yongky and I visited PT RAISINDO JASATAMA MANDIRI office in Bangka 13 June 2017. At
present, the office has 8 employees, with jobs as: Operator, Administrator, Accounting
Head, Bookkeeper, General Manager, Purchasing, Director and an Office girl.
I have found that for two months of activities in the office such as:
1. Constant Lobbying to PT Timah Tbk. and the legal departments in Bangka have
granted us Mining permit and contract with PT Timah Tbk. itself.
2. Filing and reporting the reparation activities of KIP ARSARI 2; totaling USD 150,000. I
collected the reports and will run an audit before presenting it to you and Mr. Rod.
The result of my observation is SATISFACTORY.

As for the next day, 14 June 2017, we went to observe the operation in KIP ARSARI 2 in Laut
Bangka.
Listed below is my findings and concrete numbers of our production:
The production started on 11 June 2017

1. 11 June 2017.
Shift 2 : 18:00-02:00
Depth : 28 meter
Water : 23 meter
Production : 2 bags (55kg/bag)
Total : 2 bags = 110 kg; 0.11 ton
Revolving Filter : Sand and Gravel
Status : Conducive

2. 12 June 2017
Shift 1 : 02:00-10:00
Depth : 29 meter
Water : 23 meter
Production : 3 bags (55kg/bag)
Total : 5 bags = 275 kg; 0.275 ton
Revolving Filter : Sand and Gravel

3. 12 June 2017
Shift 2 : 10:00-18:00
Depth : 37 meter
Water : 28 meter
Production : 4 bags (55kg/bag)
Total : 9 bags = 495kg; 0.495 ton
Revolving Filter : Sand and Gravel
Status : Conducive
 4. 12 June 2017
Shift 3 : 18:00-02:00
Depth : 33 meter
Water : 28 meter
Production : 4 bags (55kg/bag)
Total : 13 bags =715kg; 0.715 ton
Revolving Filter : Sand and Gravel
Status : Conducive

5. 13 June 2017
Shift 3 : 02:00-10:00
Depth : 20 meter
Water : 17.8 meter
Production : 2 bags (55kg/bags)
Total : 15 bags = 825kg; 0.825 ton
Revolving Filter : Sand and Gravel
Status : Conducive

For operation from 11-13 June 2017, 5 shifts lasting for 8 hours each, we acquire: 15 bags
(0.825 ton). The rest of data from 13 June-15 June is still being revised and will be sent to
you as soon as we receive it.

There are two main reasons to why the production level isn’t as what we expected:
1. KIP ARSARI 2 has been inactive for the past 2 years prior to the reparation; thus, it
needs time to run optimally as it used to.
2. Location Matters
Some locations contain more stones and less minerals regardless of the depths. In
addition, other elements that are being extracted along has deteriorating impact on
our machine that runs for 24 hours. This has caused constant damage to certain
parts of our engines; thus the delay of work time in exchange for reparation.
Solution: Due to our good relationship with representatives of PT Timah Tbk, we
were able to acquire a more promising geological map, with less damaging impacts
to the ship’ engine; hence we shift to Laut Penganak dated 16 June 2017.
All in all, we do expect that production will increase overtime.

Last and the most important, as the Production Operation has been running for nearly a
week, we would like to remind you to acquire USD 200,000 from Mr. Rod to fund
operational cost. Please have this transferred as soon at your convenience to avoid further
delay that will cause losses.

That would be all for now, I hope that this email is well received.

Best Regards,
Elizabeth