In March 2004, Lian Beng Energy Pte Ltd was incorporated with Manhattan Resources Limited to undertake a Overburden Removal contract for an open cast coal mine in Kalimantan, Indonesia. A subsidiary, PT Lian Beng Energy, was incorporated in Indonesia to perform the overburden removal and dumping contracts.
On 27 July 2007, the Group entered into a sale and purchase agreement relating to the proposed disposal of our entire 50% interests in the capital of Lian Beng Energy Pte. Ltd. to our joint venture partner. Upon the completion of the Proposed Disposal, Lian Beng Energy Pte. Ltd. and its subsidiary will ceased to be members of the Group.