GIVES FINANCIAL SUPPORT TO FUEL PIPELINE TRANSPORT CO.

Bangchak Petroleum Plc (BCP) reported a signing of a memorandum of understanding on June 14, 1996 with Fuel Pipeline Transport Co., Ltd (FPT) , which is its related company. The mission is to provide financial support to FPT as the company is facing a shortage of working capital. The support will be in the form of a tariff prepayment for a total of Bt208,150,000 that will be offset with the monthly transportation cost paid to FPT. The outstanding balance of debt after the offset is to be given the same priority as all the other subordinated debts of FPT. FPT also agrees to pay the interest on the outstanding debt after the offset.