19 January 2014 THE STRAITS TIMES 1000 Toa Payoh North Singapore 318994 Attention: Mr Goh Eng Yeow

(engyeow@sph.com.sg) By Mail and Email Dear Mr Goh, ARTICLE TITLED CAUTION NEEDED ON JES INTERNATIONAL PRICE We refer to the above article published in The Straits Times on 18 January 2014. We are writing to make the following clarifications and to state for the record that: 1. SRK Consulting (SRK) is an independent, international practice of mining and geotechnical consultants servicing mainly mineral exploration and mining industry clients. Formed in 1974, SRK employs 1,500 professionals, including geologists, in over 50 offices in the world. SRK is recognised by the relevant authorities governing the issuance of JORC (Joint Ore Reserves Committee) report. Technical reports (including JORC reports) issued by SRK have been accepted and recognised by many established stock exchanges as a means to verify the level of resources or reserves that mining companies claimed to have in their initial public offerings on such established stock exchanges. A review of the technical reports issued by SRK which were included in IPO prospectus for purposes of mining companies seeking to list on established stock exchanges will reveal that SRK is a recognised name in the mining industry. We would add that many established listed mining companies have been relying on technical reports issued by SRK for many years. 2. It is for the abovementioned reasons that we, MineRiver Pte Ltd (MineRiver) engaged SRK, acting through its Beijing Office, SRK Consulting China Ltd to prepare the JORC report on the Akekerishi serpentinite deposit located in Tuoli County, Xinjiang Uygur Autonomous Region, P.R. China (the Xinjiang Mine). We would add that whilst a JORC report can be prepared based on either fresh drilling or mining data and rock sample, etc. provided by the mining company, you would note from SRKs JORC report (a copy of which is attached hereto) that we have exercised utmost prudency to verify the resource level in the Xinjiang Mine by conducting 100% fresh drilling exercise (such drilling exercise are wholly supervised by SRK professionals on site). In particular, we wish to highlight, inter alia, the following: o o o o All drilling exercises are conducted under 100% supervision by SRK Consulting professionals on site The drilling exercise covered an area of 5km , out of our total concession area of 21.51km , or roughly 25% of the Xinjiang Mine A total of 149 holes were drilled with an aggregate length of approximately 29,400 meters A total of 9,612 samples representing 28,793.3 meters of drilling core were collected for the purpose of issuing the JORC Report.
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All the rock samples for testing were divided into 2 batches and are tested by 2 independent JORC compliant laboratories (SGS and No 121 Laboratory). We understand that these rock samples are labelled with index numbers which only SRK staff can identify. In addition, rock samples from other places have been ordered and blended randomly into these rock samples to verify the reliability of the said laboratory.

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We stressed that the JORC report is produced under stringent requirement, conforming to all the standards listed by the relevant authorities in the preparation of the JORC report. The JORC report is available to the public. We would add that the Xinjiang Mine is a surface mine and we need not drill through thick overburden (common for underground mines) which explains why we could complete the drilling exercise in about 3 months. 6. We also refer to the said article where we were associated with the likes of Bre-X. For your information, Bre-X used a method known as "salting" to increase the grading of their gold ore in an attempt to misguide investors into thinking that the grading of their ore is very high with huge mining potentials (this is because grading of ore is very crucial for gold mining). "Salting" does not make sense for industrial minerals like serpentine, which is not highly priced (USD 2,800 per tons), as compared to gold (USD 43 million per ton). There is no good reason to utilise "salting" for purposes of improving the grading of serpentine as serpentine, in its natural state, already contain high level of magnesium (this is different from gold, in the case of Bre-X which you have utilised). In any event, you would note from the JORC Report issued by SRK that they have actually set a 30% cut off grading for the Xinjiang Mine; serpentine with grading of less than 30% of magnesium is not counted in the grading of the resources.

We hope the above clarifies. SRK is considered a household name in the mining industry and technical reports (including JORC reports) which have been issued by SRK have been accepted and recognised by many established stock exchanges as a means to verify the level of resources or reserves that mining companies claimed to have in their initial public offerings on such established stock exchanges. We are confident that SRK will be very eager to uphold their reputation in the mining industry after seeing the said article and we are in the process of inviting them to clarify on the comments in your article. If you so wishes, we will be able to arrange for a video conference between, inter alia, yourself and SRK sometime early next week. On a separate note, it appears to us that there has been an increased interests in the mining industry by public investor due to the many mining transactions which have been undertaken by listed companies in Singapore, we would like to take this opportunity to visit your office to give a presentation and to discuss how equity markets in the world review and value mining companies. We believe that this would be beneficial to providing your readers with more insights on mining companies.

For and on behalf of MINERIVER PTE LTD

Ho Sing Ming Chief Executive Officer

Cc. JES International Holdings Limited