SOFT OFFER BRAZILIAN IRON ORE 64.

5%

August 2008
COMMODITY: Iron-ore (64.5%) - Standard Sinter Feed (origin - Brazil)
PRICE: Currently $155.00 USD per MT CIF CHINA
Quality: GUARANTEED SPECIFICATIONS:
Fe - 64.5% min. 65.5 %- typical - (Rejection -63.5% ) Size:
SiO2 - 4.50% max. 3.60 %- typical 0 - 3 mm 30% min.
Al2O3 - 3.50% max. 2.23 %- typical 3 - 5 mm 60% min.
Mn - 0.15% max. 0.08 %- typical 5 - 10 mm 10% max.
LOI - 0.80% max. 0.70 %- typical moisture: 05% max.
P - 0,027% max. 0,015 %- typical
S - 0,007% max. 0.005 % - typical
NA2O - 0,015% max. 0.007 %- typical Sn < 0.01 %
K2O - 0,008% max. 0.03 %- typical Cr < 0.004 %
TIO2 - 0, 08 % max. 0.03 %- typical Zn < 0.01 %
CaO - 0.002% max. Pb < 0.005 %
MgO - 0.03% max.
QUANTITY: Minimum of 150.000 MT / month, per a contract with a length of Twelve (12)
Months.
SHIPMENT: Shipments of 150,000MT minimum (+ / - 5%, seller's option) AND in the
multiple of 150,000MT
DELIVERY: First shipment within 35-45 days after the date of LC being activated.
60 days every subsequent shipment; this will be worked with the buyer &
seller
LOADING PORT: Any Safe Port in Brazil -
LOGISTICS: Our supplier has full capability of displacing the product (Iron-Ore /
Sinter Feed) from the extraction site to the loading port
- SGS or equivalent valid document;
- Certificate with mine name and respective ownership title;
Brasil Consultoria e Investimentos ltda, Av Prudente de Morais-3166,Sala 103,Lagoa Seca,Natal,RN,Brasil. Company No (CNPJ)09.273.980/0001-70 1
Brazil+55 11 3711 8180 Tel International+ 44(0)20 8123 0680 Email: enquiries@Brazil-Consult.com Website: www.Brazil-Consult.com
VALIDITY: This soft offer is valid for seven (7) international working days. In case the buyer, or his legal representative (s), does not
follow the procedures listed above and / or does not provide the Requested documentation, the present soft offer shall be
considered null & void & without legal effect
- Written authorization contracts; contracts verifying docking space and port's
loading certificate ;
PAYMENT TERMS:
Irrevocable - Confirmed - Revolving - Transferable or Non Transferable -
Divisible - Fully Funded - 100% at sight. (1st 9 months)
FFRTDLC (Documentary Letter of Credit) + Last 3 Months BG
valid for 13.5 months - issued and confirmed by a
top 50 European OR USA banks of the world ( 50 banks list )
or HSBC Hong Kong. SBLC is unconditional and
transferable. The BG / SBLC is to be issued from the 1st
month.(http://www.bankersalmanac.com/addcon/infobank/wldran
k.aspx ). 1
2
BANK - The bank to be used should be listed in the top 50 World Western Bank to
exclude mainland China bank. HSBC, Hong kong would be a good
bank to use.
GUARANTEE: Buyer must guarantee last 3 shipments of 12 shipments by unconditional
& transferable SBLC.
PACKAGING: In bulk condition
PERFORMANCE BOND: Seller issues 2% PB against each shipment value.
PROCEDURES:
1 - After the acceptance of the present SOFT OFFER, NCND (Non -Circumvention& Non –
Disclosure Working Agreement) shall be signed between the parties (buyer & Seller, or
their legal representatives)
2 - Buyer submits LOI (Letter of Intent) & BCL (Bank Comfort Letter stating buyer's
capacity of issuing a SBLC funding 3-month shipment) or buyer submits ICPO
(Irrevocable Corporate Purchase Order)
3 - Seller issues FCO (Full Corporate Offer)
4 - Buyer accepts and sign FCO and forwards it to seller, including buyer's bank coordinates;
seller countersigns documents and forwards them to buyer including seller's bank
coordinates and copies; thereof, documents are forwarded to seller's and buyer's banks (if
required at this stage by one and both parties)
5 - FPA (Fee Protection Agreement) is signed between the "interested" parties (paymaster
and beneficiaries), granting payment of due commissions
6 Seller issues contract for buyer's signature and buyer returns signed contract to seller by
Facsimile; seller contract and returns copy to buyer by facsimile; buyer forwards signed
Originals by DHL, or other internationally recognized courier, to seller; seller countersigns
and returns copies of signed originals to buyer by DHL, or other internationally

Brasil Consultoria e Investimentos ltda, Av Prudente de Morais-3166,Sala 103,Lagoa Seca,Natal,RN,Brasil. Company No (CNPJ)09.273.980/0001-70 2
Brazil+55 11 3711 8180 Tel International+ 44(0)20 8123 0680 Email: enquiries@Brazil-Consult.com Website: www.Brazil-Consult.com
VALIDITY: This soft offer is valid for seven (7) international working days. In case the buyer, or his legal representative (s), does not
follow the procedures listed above and / or does not provide the Requested documentation, the present soft offer shall be
considered null & void & without legal effect
recognized courier
7 - Buyer's bank confirms POF (Proof of Funds) MT799 and the availability of FFRDLC
(Letter of Credit), as well as their readiness to issue the referred LC to seller's bank
8 - Proof of Funds (POF MT799) against Proof of Products (POP), bank to bank, within seven
(7) International banking days after receipt of non-operative LC
9 - Seller's bank confirms POF and the availability of PB (Performance Bond), as well as their
Readiness to issue PB to buyer's bank
10 - Buyer's bank and seller's bank approve the format / text / verbiage of buyer's LC and
Seller’s PB
11 - Buyer's bank issues non-operative LC and, in return, seller's bank issues operative PB
12 - The operative PB activates the LC.
13 - Shipment commences, as per contract
3
Remarks:
1. LOI and BCL can be submitted in Buyer’s templates, under the condition the terms of this
Offer is exactly in payment description, procedure and approved bank.
This procedure cannot be change, modified or bargained and must be followed step by step.
2. Commission included in the price is 3usd/MT for the buyer’s groups. More can be added as
Overprice.
3. Documents with different terms and payment method will not be accepted.
4. Past performance will not be showed, nor are samples neither photographs offered.
5. The name to address the LOI and BCL will be sent to you, once we get your signed NCND.
Please refer to item number 1 of the procedure.
6. LOI and BCL must be submitted thru brokers/agents in order to substantiate buyers'
Procurement (ending here for the offer)

Thank you for considering Brazil Consult as your supplier we await your LOI to move to
a hard offer.

Warm regards
Mr. A S Young
Sales and Marketing Director

Brasil Consultoria e Investimentos ltda, Av Prudente de Morais-3166,Sala 103,Lagoa Seca,Natal,RN,Brasil. Company No (CNPJ)09.273.980/0001-70 3
Brazil+55 11 3711 8180 Tel International+ 44(0)20 8123 0680 Email: enquiries@Brazil-Consult.com Website: www.Brazil-Consult.com
VALIDITY: This soft offer is valid for seven (7) international working days. In case the buyer, or his legal representative (s), does not
follow the procedures listed above and / or does not provide the Requested documentation, the present soft offer shall be
considered null & void & without legal effect