​FCAA’S​ ORES CONCENTRATION 

SERVICES 
​Purok 8 MaliaVille Subdivision, Brgy. Ising, Carmen, Davao del Norte
Contact Numbers: 0948-320-6148 (smartline)
: 0977-249-1837 (globeline)
Email Add : ​felixgeraldcahiles@gmail.com

To : MS. BEBETH MASCARINAS

Manager
4K DEVELOPMENT CORPORATION
Iligan City
Thru : MR DEMAR CABURNAY
DJM PARTS SUPPLY AND SERVICES
Subject: INTENT TO BUY NICKEL (Ni) LATERITE ORE, TO PROVIDE ORE EXTRACTION,
LOADING, HAULING and BARGING SERVICES
Date : October 30, 2019
Dear Sir:
We, ​FCAA’S ORES CONCENTRATION SERVICES,​ a duly registered business entity, based in the
province of Davao, Del Norte, Municipality of Carmen, existing under and by virtue of the laws of the Republic of the
Philippines together with our foreign business counterparts, would like to express our intention to buy Nickel Ore
under the terms and conditions, as follows:

Commodity : Nickel Laterite Ore

Place of Origin : _______________
Contract of Length : 2020 mining season (Long Term Contract)
Contract Quantity : 55,000 MT +/- per month until end of 2020 Mining Season
Grade : Nickel (Ni): 1.65% - Iron (Fe): 25-30% (below 1.60 is rejected)
Payment : Irrevocable Local LC by any Philippine Commercial Prime Bank
50% upon arrival of Foreign Vessel
50% upon departure of Foreign Vessel after turning over of shipment travel
Document
Destination Port : RIZHAO, CHINA
Price : CONCURRENT FOB US $ RATE
LC Date : to be determined

We look forward for your response for FCO (Full Corporate Offer) so we can explore possible areas of
Cooperation together with our foreign partner or end-user buyer.

Furthermore​, FCAA’S ORES​ hereby confirm that we are also ready, willing and able to enter into a Contract
Extraction, Loading, Hauling and Barging Services as one of your General Contractors to cater the required volume of
nickel ore materials for the project and whatever is considered for our buying concessions with your company.

FCAA’S ORES​ will provide the following equipment and vessels for extraction, loading, hauling and barging
of nickel ore materials to foreign vessel with supplemental support of maintenance equipment:

a. A One Hundred Twenty (120) units DUMPTRUCK, ten-wheeler, 14.0 cubic meter min. capacity
b. Twenty (20) units HYDRAULIC EXCAVATORS, minimum bucket capacity of 1.0 cubic meter
 c. Two (2) units LONG ARM HYDRAULIC EXCAVATORS
d. Other Equipment for Road Maintenance and Operational Needs:

Two (2) units Bulldozers

One (1) unit Wheel Loader
One (1) unit Road Grader
One (1) unit Compactor
One (1) unit Water Lorry
One (1) unit Fuel Truck
One (1) unit Breaker

e. LCT FEEDER VESSELS for BARGING SERVICES:

Four (4) vessels (3,000 DWT)

OUR TOTAL PROPOSED PACKAGE RATE:

Extraction and Development of Mine Pit to Waste Dump/ Stripping (Top Soil, Boulders, Over Burdens, etc./
Waste Materials) - ​$4.00 (Four US Dollars)

Extraction, Loading, Hauling and Barging of Shippable Materials to Foreign Vessel re: ​Medium Grade
(1.4% Ni to 1.79% Ni Regardless of Iron) - ​$9.00 (Nine US Dollars).

​ igh Grade​ ​(1.8% Ni

Extraction, Loading, Hauling and Barging of Shippable Materials to Foreign Vessel re: H
to 1.79% Ni Regardless of Iron) - $​ 10.00 (Ten US Dollars).

FCAA TARGET:

1 Million WMT (20 Boatloads) – Medium Grade and 250,000 WMT (5 Boatloads) – High Grade​ ​for the entire 2020
Mining Season starting from the month of April 2020 up to November 2020 (Grade Availability of Ore Materials,
Clamp Shell/ Crane of Foreign Vessel Condition and Weather Situation Considerations).

Attached herewith is our company profile with the lists and specifications of some of our Equipment and LCT
Feeder Vessels. We anticipate your favorable response on this letter and looking forward for a long term business
relationship with your reputable company.

Respectfully yours,

FELIX GERALD R. CAHILES

Proprietor

“We deal partnership with integrity, honesty and professionalism as an avenue for progress”