Press Release

Padaeng obtains zinc mining license

Padaeng Industry Public Co., Ltd., has been granted approval for a new mining license from the Department of Mineral Resources, Ministry of Industry, on 246 rai (39 hectares) of land bordering the existing mining lease to the northwest, located at Phra Tat Padaeng in Mae Sot district of Tak province. It is an important step for ensuring the viability of the company’s mining operations in the future.

The granting of this mining lease application will enable Padaeng to access a larger amount of ore in its current mining leases as well as known ore resources within the newly licensed area. The company plans to shortly initiate exploration in the area to determine the additional amount of ore resources available.

As of December 31, 2001 total resources at the Mae Sot mine stood at 5,136,000 dmt, with an average of 12% zinc content, providing for sustained mining operations of over 380,000 dmt of ore per year for at least another ten years.

Padaeng Industry Public Co., Ltd. established in Thailand on April 10, 1981, is the sole zinc mining and smelting company in Southeast Asia with an annual production capacity of 100,000 metric tons.