[Translation] Ref. PDI.B.02.81/2000 21 August 2000 To: President The Stock Exchange of Thailand Re: Participation Agreement between Padaeng Industry Public Company Limited and Pan Australian Resources N. L. On August 21, 2000 Padaeng Industry Public Company Limited has signed a participation agreement with Pan Australian Resources N.L. or PNA (a listed company in Australia with activity on exploration) on behalf of Puthep Company Limited, a wholly-owned subsidiary of Padaeng, to explore and develop a copper deposit in Loei Province, in northeast Thailand. Puthep is licensed by the Department of Mineral Resources to prospect for copper ore in this area. After the signing PNA will pursue a feasibility study with approximately 162 million Baht to be spent to complete the study within the next three years or within 2003. Once completed, PNA is entitled to take up a 51 % stake in Puthep. Please be notified accordingly. Yours truly, - Signature - (Surin Tanticharoenkiat) Acting Board Secretary Board Secretary Division Tel. 661 9900 Ext. 1501, 1402 Translated by Surin Tanticharoenkiat: Acting Board Secretary