auditors' report as of dec 31,1997

TRANSLATION AUDITORS+ REPORT TO THE SHAREHOLDERS OF THE BANGCHAK PETROLEUM PUBLIC COMPANY LIMITED We have examined the balance sheets as of December 31, 1997 and 1996 and the related statements of income, retained earnings and cash flows for the years then ended of The Bangchak Petroleum Public Company Limited. Our examinations were made in accordance with generally accepted auditing standards, and accordingly included such tests of the accounting records and such other auditing procedures as we considered necessary in the circumstances. In our opinion, the aforementioned financial statements present fairly the financial position of The Bangchak Petroleum Public Company Limited at December 31,1997 and 1996 and the results of its operations and cash flows for the years then ended in conformity with generally accepted accounting principles applied on a consistent basis,except for the change in recording deferred income tax as mentioned in note 1.12 and 9 to financial statements with which we concur. (Sign) Nontaphon Nimsomboon ( Mr. Nontaphon Nimsomboon ) Auditor General (Sign) Duangta Jantong ( Ms.Duangta Jantong ) Auditor-in-charge February 19, 1998