<Negonium​ ​Mining​ ​Project>
1.​ ​Upon​ ​this​ ​Negotiation​​Negonium​​has​​high​​potential​​in​​the​​perspectives​​of​s​ pectrum​​of​​use​,​​high-performance
productions​,​​and​​the​​market​​impact​.​​Blue​​expects​​Negonium​​to​​become​​a​​core​​business​​inthe​​Metals​​&​​Energies​​sector.

(1)​ ​Present​ ​Issue
Metals & Energies sector has recorded a large deficit due to the depression of the resource
price from 2015. Blue has high expectations that Negonium could break through from thissituation. However, this mining project has downside risk on the circumstances of ​oceanmining​,​​and​​the​​possibility​​of​​a​​negative​​outcome​​of​​the​​feasibility​​studies(“FS”)​.

(2)​ ​Business​ ​Outlook

Negonium has the potential to be applicated to various industries. This versatility ​broadensbusiness and investment opportunities​. We would consider the faces throughout thenegotiation,​​and​​try​​to​​achieve​​a​​better​​conditions​​on​​each​​step​​in​​our​​business.

2.​ ​Goal​ ​of​ ​this​ ​Negotiation​​Agree​​on​​a​​project​​in​​perspective​​of​​both​​parties​​risks​​and​​interests,and​​gain​​more​​business​​opportunities.
<Interests​ ​and​ ​Concerns​ ​of​ ​Red​ ​and​ ​Blue>
Interests​​for​​Blue:➢ Establish​​a​​new​​core​​of​​in​​the​​resource​​business➢ Business​​development​​by​​added​​value​​to​​mineral​​resources➢ Market​​expansion​​of​​use​​of​​Blue’s​​technology
Expected​​interests​​for​​Red:➢ The​​possibilities​​of​​Blue’s​​technology(Environment​​preservation,​​mining​​efficiency,​​cut
running​​cost​​by​​adopting➢ Establish​​a​​national​​business​​formed​​by​​Negonium​​in​​order​​to​​contribute​​its​​economy
Concerns​​for​​both​​parties:➢ High​​risk​​of​​sea​​resource​​compared​​to​​ordinary​​resource➢ The​​possibility​​of​​failure​​of​​FS<Win-Win​ ​Solution​ ​led​ ​from​ ​above>
It is needed to concluded on a ​solution that prefers both expected shares with the balanceof reasonable ​burden in the failure of this project ​in order to balance the risks and theinterests​​of​​both​​parties.
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3.​ ​Negotiation​ ​Strategies​​​Information​​gathering​​alongside​​the​​meeting​​would​​be​​crucial​​to​​understand​​their​​concerns​​
andcome​​together​​on​​a​​middle​​ground.
​​​​<​ Blue’s​ ​negotiation​ ​stance>​​In​​order​​to​​achieve​​our​​key​​mission​​which​​is​​tomaximize​​returns​​while​​minimizing​​risks:★ Save cash expenses as possible andprovision our technology to be evaluatedhigher​​to​​achieve​​higher​​quota​​of​​Negonium★ Reach an agreement that leads to future
benefits​​for​​this​​project★ Settle on the condition to stop the FS andgive up the project in case the additionalcost​​exceeds​​$20​​million​​on​​Blue’s​​behalf​ (​ 1)​ ​Amount​ ​to​ ​Be​ ​Invested
The quota of Negonium is determined by each party's share of whole investment at the stage ofFS. $20 million(20% of $100 million for the first two years) is the amount to be invested thatBlue is required to achieve in minimum, if Red denies the valuation of technology as aninvestment. We would present $20 million as our first proposal. Alongside the negotiation, wewill try to gain more than 30% share of whole investment (including valuation of technology)
considering our interests expected in this project. We will increase this amount in the event that
our share is under 30%, or if Red does not accept our investment in kind. Therefore, this topic
would​​be​​relative​​and​​be​​presented​​with​​the​​topic​​of​​the​​(2)​​Valuation​​of​​Blue’s​​technology.

(2)​ ​Valuation​ ​of​ ​Blue's​ ​Technology
It is an important topic for Blue to push up our ratio in the Joint Venture. For Red to confirm
such propose, it will be essential to emphasise the value of this technology in the market andexpect exclusive use of this mining technology. But we would not agree on the exclusive use
unless of a $20 million valuation for the investment. We also have a room to compromise thesale of the products as a bargaining tip(The “​limited cases”​). However, in the event that Red will
evaluate our technology under $10 million, we would offer Red to pay a licence fee more than$2​​million.

(3)​ ​Sale​ ​of​ ​the​ ​Products​We would strongly stand on a decision not to sell Negonium to Red because shall directly not
only cut our quota but also lead to restrict to sell them to our future customers, which affects ourbusiness. The ​“limited cases” to compromise this topic, we could sell negonium to Red from ourquota​​with​​the​​condition​​of​​sale​​by​​the​​price​​higher​​than​​the​​market​​price.

4.​ ​BATNA​ ​/​ ​WATNA

There​​is​​no​​alternative​​negotiation.​​In​​the​​event​​of​​a​​non-agreement,​​Blue​​would​​focus​​on​​theGeopark​​project.

3<The​ ​National​ ​Park​ ​Enhancement​ ​Project>
１.Upon​ ​this​ ​negotiation

Business relating tourism is a key sector to develop our business. This park is geographicallynear the Abu-Nea district, and expected to deliver a synergy with a $500 million net profit.
Contributing​​and​​supporting​​the​​national​​park​​is​​also​​expected​​profit​​within​​a​​few​​years.

(1)​ ​Present​ ​Issue
The Negoland National Park project is a considering new investment. Red wants us to support
this project by constructing facilities, but is not specify how this would result in our profit. Also
even in the event of supporting or cooperating to the park, one of the risk we shall consider isthat​​the​​profit​​will​​depend​​on​​the​​amount​​of​​tourists​​is​​one​​of​​the​​risks​​that​​we​​shall​​consider.

(2)​ ​Business​ ​outlook​ ​though​ ​this​ ​Negotiation

We see this project as a new achievement that would lead to expand our business andinvestment. We would consider these faces throughout the negotiation, and try to achieve abetter​​condition​​on​​every​​step​​of​​our​​business.

２.Goal​ ​of​ ​this​ ​Negotiation​​Agree​​on​​a​​solution​​that​​concludes​​both​​preferable​​facilities​​and​​would​​attract​​tourists.
<Interests​ ​and​ ​Concerns​ ​of​ ​Red​ ​and​ ​Blue>
Interests​​for​​Blue:➢ Profitable​​new​​investment​​to​​develop​​our​​business➢ Synergy​​effect​​to​​Abu-Nea​​district➢ Business​​expansion​​to​​oversea​​national​​projects
Expected​​interests​​for​​Red:➢ Arrangement​​of​​tourist-oriented​​facilities​​for​​tourism​​development​​by​​adopting​​Blue’s
constructing​​know-how➢ Attract​​tourists​​from​​in​​and​​out​​of​​the​​nation➢ Establishment​​of​​a​​new​​tourism​​resource
Concerns​​for​​both​​parties➢ Construct​​facilities​​to​​attract​​tourists​​and​​obtain​​Geopark​​status​​within​​limited​​costs<Win-win​ ​solution​ ​led​ ​from​ ​above>
To balance the interests of the parties, it is needed to agree on a project that will ​conclude
preferable facility in both perspectives​. However, ​the unification and consistency shall be
important​​to​​attract​​tourist​.
43.​ ​Negotiation​ ​Strategy

To corporate Geopark Project with Red, we will ask Red what they have in mind for Geopark
project, and establish them. Therefore, information gathering alongside the meeting would be
crucial​​to​​understand​​their​​ideas,​​interests,​​and​​concerns​​to​​come​​together​​on​​a​​middle​​ground.
In this topic, we will combine each topic to discuss the way Blue corporates for park
enhancement​​and​​the​​ideas​​for​​attracting​​tourists,​​assist​​red​​to​​reach​​satisfaction.
​ ​Offers
While​​remaining​​flexible,​​Blue​​will​​make​​following​​offers:

Connection(from​​Park)

Development
Area

Abu-Nea

Abu-Nea,
National​​Park

Offer1
Offer2

Abu-Nea

National​​Park

Offer3

Negolia

National​​Park

Investment

Donation$4​​million$10,000(dependingon​​thepurpose​
)

Ideas

Proposeflexibly​​​​$2​​million★ Through the proposal, we will provide adequate ideas for the national park by following
Red’s requirement. As for idea, the plan to connect National Park and Lake Arbitria shallbe​​the​​first​​suggestion​​by​​showing​​and​​explaining​​the​​benefits.

★ The amount of investment will range in the construction plans Red decided. We set $200
million as the first proposal. In case of Red insists on limiting area in Negoland to beconstructed or developed,we will push up the amount of investment step by step.
Furthermore, If Red require an investment more than $400 million, we shall quit andconcentrate​​on​​the​​Negonium​​mining​​project​.
★ Donation shall be provided for certain purpose in which benefits both parties. Therefore,
we​​shall​​clarify​​the​​usage​​of​​donation​​before​​providing​​it.

Ideas​ ​for​ ​luring​ ​tourists
For​​Geopark​​Promotion​​​of​​Integral​​Area①​​​Introduce​​Hands-on-learning​​​experience①​​​Introduce​​package​​tour​​​around​​the​​area②​​​Activities​​with​​use​​of​​new​​​IT​​technologies②​​​Hold​​events​​​(marche,​​collecting​​series​​
ofstamps​​at​​tourists​​spots,​​sports​​meetings​​etc)

4.​ ​BATNA​ ​/​ ​WATNA

There is no alternative negotiation. In the event of non-agreement, Blue would focus on theJoint​​Venture​​of​​Negonium.

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