On April 4, 2008 the two major shareholders of the Company, Umicore and Nyrstar, have sold their shares of 22% and 24.9% respectively in the Company to the consortium of shareholders as follows:

1. Bali Ventures Limited, a fund based in the Middle East and focus on resources and minerals investment, holds 49,087,200 shares or 21.72%

2. Rak Minerals & Metals Investments FZ-LLC, an Indian mining and metal company with its Head Offcie in the UAE and operates mining of titanium, sand and ceramic in Armania, Congo and Indonesia, etc., holds 16,362,400 shares or 7.24%

3. Far East Minerals Limited, an Affiliate of Rak Minerals&Metals Investments FZ-LLC, holds 11,800,000 shares or 5.221%. On April 23, 2008 this portion has been sold to Rak Minerals & Metals Investments FZ-LLC, who totally holds 12.461% of total shares.

The rest of 12.72% were sold to Thai and foreign institutional and individual investors, each holds less than 5%. This change does not have any impact on the Company’s operation. The Company Board of Directors has appointed Mr. Andre van der Heyden as new director effective from 4 April 2008 onwards.

The Company still maintain its zinc business and focus more on exploration and mining both domestic and in the neighbouring countries such as Laos, Myanmar and Vietnam and also targeting to be the Regional zinc smelter.

A: Padaeng Industry has not issued any Preferred Shares.

According to Clauses 14 (1) and 34 of our Articles of Association, “each shareholder shall have one vote for each share”.

A: Padaeng does not own any of its own shares.

A: According to Clause 11 of the Articles of Association of the Company, the foreign shareholding limit is 49% of total issued shares of the Company.

This restriction originates in the Company having mining operations listed in Annex 2 of the Foreign Business Act.

Thai NVDR is responsible for issuing and selling Non-Voting Depository Receipts (NVDRs) to investors.

Thai NVDR is responsible for executing the purchase or sale of those listed company shares whose investors wish to trade through NVDRs. This service is offered to all, irrespective of the number of securities held or the holder’s nationality. NVDR holders receive the same full financial benefits as they would receive had they invested directly in shares (i.e. dividends, rights, and warrants) but there are no voting rights for NVDR holders.

All foreign investors together can only have a maximum of 49% in the capital and voting rights of the Company. Above that limit, it is recommended to foreign investors to purchase shares in Padaeng through the NVDR vehicle since no dividend could be paid abroad if the shares were not purchased or registered adequately through NVDR. Please check with your broker and on SET website for more information at http://www.set.or.th/nvdr/.

A: Under normal circumstances an amount of at least 5% of profits after corporate taxes must be put in legal reserve, until the total amount in legal reserve equals at least 10% of the company’s authorized share capital, the company will then pay dividends up to 50% of profits after corporate taxes. An exception can be made if the Board deems necessary for the company to reserve part of the profit to cover the cash needs in the near future.

There are 2 main sensitivities having impact to the Company performance which are the zinc price and the exchange rate of USD currency.

A: The Zinc price impacts the result through

• The production of the mine (free zinc)
• The treatment charges for imported concentrates
• All zinc bonuses on purchased raw materials
• The royalties which are payable as a percentage of the zinc price

B: currency risk

Since the zinc price is quoted in US dollars and the operation costs are in Baht, changes in the zinc price also translate into a dollar/baht sensitivity.

A: As the Company is exposed to metal price and foreign currency fluctuations, the Company aims to fix, where possible, a guaranteed level of cash flow that will be used for recurrent investments and projects. In order to smooth the cash flow fluctuations, the Company has elected where possible to sell forward part of its exposure to the zinc price at a level that would guarantee a satisfactory return. In some instances it is possible that this might prevent Padaeng from reaping the full benefits of rising metals prices but it also reduces the risk of losses or cash shortages in the case of falling metals prices.

This hedging is done in a non-speculative way through forward sale of metal on the London Metal Exchange.

Since the metal is sold in US dollar, the Company hedges the underlying currency risk through forward sales of US dollars for the corresponding period. To date, the Company does not have any hedge running into 2008.

After the Company submitted the application for new Mining License in 2003, in replacement of its principal mining lease that expired on 17 October 2007, where the Company has followed the government procedures and received approval in each step according to the rules and regulations. On April 18, 2008, the Company has received a new mining license from DPIM, which approved the Company to do mining for 15 years effective from April 8, 2008 to April 7, 2023. The Company expect the minig activities should be started in the near future after the DPIM, Chiengmai Office, has done the mine inspection to approve the Company start its mining again.

A: As of Dec 2007, the ores reserves were 4.22 million ton at 8.7% zinc content with about 8 years mine life plan, about 10% increased compared to last year ores reserves at 3.67 million ton at 9.1% zinc content, with the same period of mine life plan. It means the Company’s mine life plan has been extended for 1 year longer.