Exhibit 10.3

TECHNOLOGY LICENSE AGREEMENT FOR KOREA



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|BY AND BETWEEN:
|AND:           
|AND:           
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WHEREAS Licensor is now and has been in the business of bringing technological solutions to a wide variety of environmental problems and more particularly, the areas of materials reduction, waste reduction and global recycling;

WHEREAS Licensor has developed and is the owner of material reduction and dewatering technology and know-how named the "
 KDS Micronex (tm)" referred to herein as the "Licensor's Technology" which is patented in a number of countries as specified in Annex A (collectively referred to herein as "the Patents");

WHEREAS Licensee is desirous of profiting by using Licensor's Technology which is the subject matter of the Patents and of securing an exclusive license from the Licensor to use the Licensor's Technology for the manufacture, sale and use of the KDS Micronizing Machine in Korea to be used in any industry.

WHEREAS Licensee has a permanent business in Korea and has represented that they have the technical capability and market knowledge to actively pursue the successful introduction and marketing of the KDS Micronizing Machine into Korea ,

NOW THEREFORE, in consideration of the premises and of the mutual covenants of the parties hereto to be faithfully performed as hereinafter specified, the parties hereto hereby covenant and agree as follows:



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|1 | PREAMBLE/RECITALS/DEFINITIONS
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|  | 1.1                          
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|2 | GRANT OF LICENSE             



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| | 2.1 | Licensor hereby grants to the Licensee the exclusive, non-transferable right to use the Licensor'
s Technology in the Territory for the Applications and more particularly with regard to the Patents and Know-How for the sale, operation and use of KDS Micronizing Machines for a period of fifteen years from the date of signing this Agreement subject to the terms and conditions set out herein.                                                                                                                                                                                                                                                      
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| |     | As  consideration for this grant of license, the Licensee shall pay a Marketing License Fee as agreed USD payable as follows ;                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
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| |     | a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
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| |     | b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            
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| |     | As additional consideration for the grant of this license, the Licensee will purchase a complete demonstration KDS machine from Licensor for the wholesale as agreed  Vancouver ( includes all electrical components) and set it up as a demonstration machine at a suitable location in  Korea within one year from the date of signing this agreement.. A deposit as agreed is to be paid upon the signing of this License Agreement.                                                                                                                                                                                                                       
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| |     | There will be a minimum annual sales quota to maintain the license in good standing as follows:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
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| |     | Year  1  -   zero                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
| |     | Year  2  -   five                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
| |     | Year 3   -   five                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
| |     | Year 4   -   five                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
| |     | Year 5   -   five                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
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| |     | There will be no minimum sales quota once 20 machines have been sold and the total license fee and all royalty payments due thereon have been paid.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
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| |     | Both parties acknowledge that one KDS machine has been previously sold to Daeyun Enterprises by the Licensor, but has not yet been delivered, that this sale will continue to be under the control of the Licensor, and that there will be no infringements on the exclusivity provisions herein by so doing. However, once the machine is delivered, the Licensee agrees to monitor and safeguard the Licensor'
s  intellectual property rights visa vis the Daeyun machine, and to provide service to  Daeyun, if required, on a fee for service basis as if Daeyun were its own customer. Any future purchase(s) by Daeyun will be handled by the Licensee.
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| |     | Upon completion of the full payment of the Marketing License Fee and the completion of the sale of the first 20 KDS machines by the Licensee, the Licensee will be further granted the right to  manufacture the KDS machine in Korea for the Korean market for the balance of the term of this License.                                                                                                                                                                                                                                                                                                                                                      



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|3 | OBLIGATIONS OF LICENSOR
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|  | 3.1                    
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|   |                         | Both parties will freely exchange all current and updated KDS technical data and 	information between themselves without cost                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                
|-- | ----------------------- | ---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
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|   |                         | For any commercial project, on a case-by-case basis, the additional assistance will be provided on agreed daily rate plus expenses.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
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|   |                         | In the event Licensor receives any inquiry from any third party in respect of the KDS Micronizing Machine from within the Territory, Licensor shall refer such to Licensee.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
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|4. | OBLIGATIONS OF LICENSEE
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|   |                         | As a material condition of this grant, the Licensee will, within one year of the signing of this agreement, establish a demonstration facility in Korea.  For this purpose the Licensee will purchase one KDS machine as described above and establish a permanent demonstrations site to display the equipment as part of its sales and marketing program.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
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|   |                         | Licensee agrees to use every reasonable commercial effort to fully exploit Licensor'
s Technology to the greatest extent possible throughout the Territory, including providing its marketing, technical and business expertise to adapt the technology to local conditions and local customers needs, and to seek out new uses and applications that will enhance the value of the Technology and the business opportunity for both parties.                                                                                                                                                                                                                                                                                                                                                                                                
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|   |                         | Licensee agrees that it will not do or permit any act or thing whereby any of the rights granted herein or the proprietary rights to use any trademark, trade name, or design of the Licensor may be endangered and that it will not claim any proprietary interest in the rights granted herein or the trademark "
KDS Micronex" except as a licensee and then only during the life of this agreement. Licensee, if at any time required, shall execute any and all proper papers necessary to the protection of these rights and the KDS trademark the cost of which shall be borne by the Licensor.                                                                                                                                                                                                                                       
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|   |                         | In the event that any improvements to KDS Micronizing Machine are made or 	discovered as a result of the Licensee'
s work,  the Licensee shall inform such improvements in writing to the Licensor, then said improvements will become the property of the Licensor, and form  part of the Licensor'
s Technology  which is licensed herein.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                 
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|   |                         | Licensee agrees to keep all technical information, drawings, specifications, manufacturing instruction, and other information relating to Licensor'
s Technology, as strictly confidential according Article 9 hereof and will provide copies to the Licensor of all information, documents, drawings, programs, instructions and specifications regarding improvements, design changes and advancements made to the KDS Micronizing Machine by the Licensee upon request. Licensee will not communicate, without the written consent of Licensor first obtained, the same to anyone except to its officers, employees, authorized agents or representatives, and to the extent necessary for the proper exploitation of Licensor'
s Technology (includes disclosure to sub-contractors) in accordance with the provisions of this agreement.



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|   |           | As exclusive Licensee,  the Licensee will take full responsibility for managing and protecting FASC's patents and intellectual property in Korea, The Licensee will provide the Licensor with in-house technical / legal support regarding patent issues related to intellectual property and patent protection in Korea at no charge for time.  Any outside legal fees incurred in this regard will be paid for by the Licensor.                                                                                                  
|-- | --------- | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
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|   |           | All products manufactured by the Licensee will meet or exceed all quality standards as established from time to time by the parties, and at all times be in compliance with local regulations.                                                                                                                                                                                                                                                                                                                                     
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|   |           | In the event Licensee receives any inquiry from any third party in respect of the KDS Micronizing Machine from outside the Territory, Licensee shall refer such to Licensor.                                                                                                                                                                                                                                                                                                                                                       
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|   |           | Licensee agrees that it will at all times during the existence of this agreement keep accurate books of account and other record in which will be entered all details relating to the sale of KDS Micronizing Machines in the Territory, including the names and addresses of each purchaser.  Licensee agrees that these books of account and other records will be kept in accordance with generally accepted accounting principles in Korea and carefully preserved for at least ten (10) years.                                
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|   |           | Licensee agrees that it will furnish to Licensor a written statement within thirty (30) days following the close of each quarter showing the amount of periodic royalties due for the corresponding period.  The statement will be broken down to show sales of KDS Micronizing Machines by the Licensee and names and addresses of customers to whom sold.  Licensee further agrees to pay to Licensor within thirty (30) days the royalty fees described above computed from the date of delivery of the KDS Micronizing Machine.
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|   |           | Licensee hereby grants to Licensor or its duly accredited representative the right to inspect and make copies of Licensee'
s books of account, for the purpose of ascertaining or confirming the accuracy of statements rendered hereunder.  The cost of such inspection will be borne by Licensor.                                                                                                                                                                                                                                
|   |           | All amounts due herein to the Licensor will be paid absolutely net to the Licensor without any deduction or holdback whatsoever.                                                                                                                                                                                                                                                                                                                                                                                                   
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|   |           | Licensee shall be responsible to any Korean authority for the payment of any taxes,  duties, or any governmental charges  of any nature whatsoever that may become due as a result of any present or future transaction anticipated herein.                                                                                                                                                                                                                                                                                        
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|5. | ROYALTIES
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|   |           | The Licensee hereby agrees to pay to Licensor a royalty fee as agreed e for each completed sale of a KDS machine sold by the Licensee pursuant to this agreement.                                                                                                                                                                                                                                                                                                                                                                  



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|  |                                | No royalty will be payable on the first demo machine purchased by the Licensee, unless re-sold by the Licensee to a third party.                                                                                                                                                                                                                                                                                                                                 
|- | ------------------------------ | -----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
|  |                               
|  |                                | If the Licensee meets the conditions set out herein, and is therefore granted manufacturing rights pursuant to this agreement, the Licensee agrees to pay an additional manufacturing royalty of 4 % of  the selling retail price to the Licensor for each machine manufactured by the Licensee. For clarification, the total royalty on all machines manufactured and sold by the Licensee in Korea will be 12 % of the retail selling price of the KDS machine.
|  |                               
|6 | WARRANTIES AND REPRESENTATIONS
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|  | 6.1                            | Licensor hereby represents and warrants that it has the full and sole right to enter into this Agreement with the Licensee and it is the sole, exclusive and unencumbered owner of the Licensor'
s Technology and all the rights, title and interest in the Patents, and has the right to license the Licensor'
s Technology and Know-How.                                                                                                                       
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|  | 6.2                            | Licensor warrants that as of the date of execution of this agreement, there is in effect no license granted by it to any other person or entity in the Territory, covering the Licensor'
s Technology and Know-How and has not entered into any agreement, arrangement or understanding, whether verbal or written, which could in any manner be inconsistent with the rights provided in this agreement.                                                        
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|  | 6.3                            | Licensor hereby represents and warrants that there are no current and subsisting liens, hypothecations, charges, security interests or other encumbrances on or affecting the Licensor'
s Technology and Know-How.                                                                                                                                                                                                                                               
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|  | 6.4                            | Licensor hereby represents and warrants that there are no threatened or current claims by third parties or any unsatisfied judgments, orders or writs of execution relating to the Licensor'
s Technology and Know-How and the Licensor is not aware of any violations, infringements or misappropriations of any third party'
s rights by the Licensor'
s Technology and Know-How.                                                                              
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|  | 6.5                            | Licensor hereby represents and warrants that:                                                                                                                                                                                                                                                                                                                                                                                                                    
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|  |                                | (i)                                                                                                                                                                                                                                                                                                                                                                                                                                                              
| 
|  |                                | (ii)                                                                                                                                                                                                                                                                                                                                                                                                                                                             



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|  |                 | (iii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | Licensor'
s Technology and Know-How do not and will not infringe the intellectual property rights of any person and its exploitation does not and will not require any consent from, nor the making of any payment to, any person;
|- | --------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | ----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
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|  | 6.6             | Licensor hereby undertakes not to abandon the Patents or allow the Patents to lapse.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             
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|7 | INFRINGEMENT   
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|  | 7.1             | Licensor and Licensee shall take all reasonable steps to defend the Licensee from and against all claims, actions, legal proceedings, judgments, awards, and any other expenses that may arise from or in connection with infringement or alleged infringement of any patents, know-how or other proprietary rights of any third party because of the use or practice of the Licensor'
s Technology or Patents through the manufacture, sale, operation or maintenance of KDS Micronizing Machine.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                               
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|  | 7.2             | The Licensee hereby undertakes to promptly notify the Licensor of any notice or claim of infringement or of any action for infringement of patents brought against it by a third party based upon the use of the Licensor'
s Technology by the Licensee as permitted hereunder.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  
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|  | 7.3             | In the event of any person asserting claims for infringement of intellectual property rights brought against Licensee by a third party that the use of Licensor'
s Technology results in infringing a third party patent right, Licensor shall provide Licensee with all reasonable measures such as making such actions as deemed necessary to avoid such infringement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                         
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|  | 7.4             | Each party shall advise the other in writing immediately upon becoming aware of any acts of infringement of the Patents by a third party in the Territory.  Licensee may institute and prosecute any proceedings to restrain infringement or defend declaratory judgment actions relating to any rights of the parties in respect of the Licensor'
s Technology.  Licensor may participate in such proceedings or actions, upon notice to Licensee to that effect.  In addition, if requested by Licensee and necessary to prosecute the proceedings or action, Licensor agrees to be made party to any such proceedings or action. It is understood and agreed that any financial settlement resulting from such a lawsuit shall be paid to the party who bore the costs and expenses of such proceedings and shall be shared according to the ratio of the costs and expenses born if both parties participated in such proceedings. If the Licensee elects to not take any legal action against an infringing third party, then the Licensor has the right but not the obligation to take such legal action and, in such a case, the Licensor would pay all legal costs and would retain the entire amount of any settlement obtained from such a third party.
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|8 | INDEMNIFICATION
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|  | 8.1             | The Licensee agrees to hold harmless and indemnify the Licensor and its directors, officers, employees and agents from and against and all loss suffered or incurred by any one or more of them as a direct result of a material breach by the Licensee of any of its obligations under this Agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          



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|   | 8.2                         | In no case shall either of the parties, its officers, directors, representatives, employees, agents and affiliates be liable to the other party for indirect or consequential damages of any kind, including any economic loss or damage to property and loss of profits in any circumstances, except for amounts awarded to third parties for which the other party is obligated to indemnify hereunder.                                                                                                                                                                                                                                                                                                                                                                                        
|-- | --------------------------- | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
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|   | 8.3                         | Licensor and Licensee agree that the provisions of this Clause 8 shall survive termination of this agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    
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|9  | CONFIDENTIALITY OBLIGATIONS
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|   | 9.1                         | During the term of this agreement, Licensor and Licensee shall keep confidential any of the other party'
s documents, technical knowledge and know-how confirmed and marked as confidential by writing pertaining to Licensor'
s Technology and any improvements thereof by Licensee, unless otherwise agreed in writing.  Licensor and Licensee shall oblige their employees within the scope of legal possibilities to maintain such confidentiality.                                                                                                                                                                                                                                                                                                                                          
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|   | 9.2                         | Licensor and Licensee agree that the confidentiality provisions shall survive termination of this agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
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|   | 9.3                         | Licensor and Licensee agree that the confidentiality requirements shall not apply to any information which (a) has become or becomes available to the public through no fault of the recipient, or (b) is of record in the files of the recipient at the time of disclosure, or (c) was or is received by recipient from any third party which has the legal right to disclose it.                                                                                                                                                                                                                                                                                                                                                                                                               
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|   | 9.4                         | Subject to clause 9.5 below, the foregoing confidentiality obligation on any information shall cease upon expiry of the full term the Licensor'
s patents granted hereunder.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                     
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|   | 9.5                         | The parties acknowledge and represent that the confidentiality clause provided for in this agreement is entirely reasonable and is necessary to protect their respective legitimate interests.  Should a tribunal rule that the foregoing confidentiality undertaking is unreasonable as to its duration, the parties hereby expressly agree to grant the tribunal the necessary powers to reduce such duration to a level it shall deem reasonable rather than declare null such confidentiality clause.  In such an eventuality, the provisions of this confidentiality clause shall be deemed to have been amended by the parties retroactively to the date of signature of this agreement and the confidentiality undertaking so amended shall be ipso facto enforceable against the parties.
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|10 | TERM AND TERMINATION       
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|   | 10.1                        | Either party may terminate this agreement if:                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                    



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|   |        | (a)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | the other party goes into liquidation (except for the purposes of amalgamation or reconstruction) or becomes a subject to winding-up proceedings or a winding-up order or makes any voluntary composition or arrangement with its creditors or otherwise acknowledges insolvency;                                                                                                                                   
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|   |        | (b)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | an encumbrancer takes possession, or a receiver is appointed, of any of the property or assets of the other party;                                                                                                                                                                                                                                                                                                  
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|   |        | (c)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | anything analogous to Clause 10.1(a) and (b) above occurs under any applicable laws;                                                                                                                                                                                                                                                                                                                                
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|   |        | (d)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | the other party commits a material breach of this agreement, including without limiting the foregoing, and such breach is not cured within ninety (90) days after being given notice by the other party.  For purposes of clarification, "
material breach"
 shall include without limitation any failure to pay royalties or other payments when due under this agreement, or failure to meet minimum sales quotas.
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|   |        | (e)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | the other party ceases, to carry on business.                                                                                                                                                                                                                                                                                                                                                                       
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|   | 10.2   | Termination of this agreement for any cause shall not release a party from any liability which at the time of such termination has already accrued in favour of the other party, or which thereafter may accrue in respect of any act or omission prior to such termination.                                                                                                                                                                                                                                                   
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|11 | NOTICE
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|   | 11.1   | Any notices, demands or other communications required or permitted to be given or made hereunder shall be in writing and delivered personally or sent by courier with recorded delivery, by post or by legible facsimile addressed to the intended recipient at its address stated in Clause 11.2 below or to such other address or facsimile number as a party may from time to time duly notify the other. Any such notice, demand or communication shall, unless the contrary is proved, be deemed to have been duly served:
|  
|   |        | (i)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | if sent by international courier, upon notification by the courier'
s tracking system that the package has been delivered,                                                                                                                                                                                                                                                                                          
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|   |        | (ii)                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            | if sent by facsimile, at the time of transmission, provided that, following the transmission, the sender'
s facsimile machine produces a transmission confirmation report, confirming successful transmission of the facsimile.                                                                                                                                                                                     
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|   | 11.2   | The notices shall be sent to the following contacts:                                                                                                                                                                                                                                                                                                                                                                                                                                                                           
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|LICENSOR                                                                                                                                                                                                             | 
|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------- | 
|Mr. C Kantonen
FIRST AMERICAN SCIENTIFIC CORP.
811-100 Park Royal South
West Vancouver, B.C
V7T 1A2
Tel: (604) 913-9035
Fax: (604) 925-1118                                                                          | 
|LICENSEE

___________________________
___________________________
___________________________
___________________________


GUARANTOR

President 
JNK Heaters Co., Ltd.
17-8, Yoido-Dong
Youngdungpo-Ku
Seoul, Korea | 

|12 | ADVICE OF COUNSEL, GOOD FAITH AND FAIR CONSIDERATION
|-- | ----------------------------------------------------
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|   | 12.1                                                
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|   | 12.2                                                
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|13 | GOVERNING LAW                                       
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|   | 13.1                                                
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|14 | NON-AGENCY RELATIONSHIP                             



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|   | 14.1                       | The parties are independent of one another, and this agreement does not give either party the right to bind the other to any obligation, or to assume or to incur any obligation on behalf of or in the name of the other party. This agreement shall not be interpreted to make one party a partner, employee, agent or other representative of the other for any purpose. Each party shall use its own name when soliciting, negotiating and completing contracts, so that the transaction indicates that it is acting on its own behalf and not for the other party.                                                                                                                                                                                                                                                                                                                                                         
|-- | -------------------------- | --------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
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|15 | WAIVER                    
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|   | 15.1                       | No party shall be deemed to have waived its right to enforce any obligation of the other party under this agreement unless the waiver is in writing signed by the waiving party.  If a party does not exercise a right under this agreement, or does not require full performance by the other party, or accepts payment by the other party, that shall not be construed as a waiver by either the party of any right under this agreement.  To be effective, a waiver by a party of a right under this agreement must be in writing, but no such waiver shall constitute a waiver of rights regarding any other breach or any subsequent similar breach of this agreement.                                                                                                                                                                                                                                                     
|  
|16 | ESCALATION OF DISPUTES    
|  
|   | 16.1                       | Should any dispute or difference arise between Licensee and Licensor either during this agreement or after termination of this agreement as to any matter arising out of or as a result of this agreement, except to the extent that an equitable remedy is sought or circumstances clearly indicate that the time required for the process set forth in this Clause would cause irreparable harm to a party, either party shall first give to the other party notice in writing of such dispute or difference and at the expiration of fifteen (15) days unless it shall have been settled, such dispute or difference shall be referred to the Licensee'
s and the Licensor'
s respective contact persons stipulated in Clause 11.2 above for resolution.  If within an additional fifteen (15) days such dispute shall not have been settled, then the parties shall have the right to pursue arbitration as set forth below.
|  
|17 | ARBITRATION               
|  
|   | 17.1                       | All disputes, controversies or differences which may arise between the parties hereto, out of or in relation to or in connection with this Agreement shall be finally settled by arbitration in Korea, pursuant to the existing Commercial Arbitration Rules if Licensor requests the arbitration, or in Vancouver, British Columbia, pursuant to the International Commercial Arbitration Rules of British Columbia International Arbitration Centre if Licensee requests the arbitration.                                                                                                                                                                                                                                                                                                                                                                                                                                     
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|18 | SUCCESSORS AND ASSIGNMENTS
|  
|   | 18.1                       | Without the prior written consent of each party, neither party shall transfer, assign, sell, pledge or encumber any of the rights granted under this agreement in any manner whatsoever, or license or sub-licence to any third party any of the Licensor'
s Technology.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        



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|    | 18.2                                                                           | This agreement shall inure to the benefit of and bind the parties and their respective successors and permitted assigns.                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
|--- | ------------------------------------------------------------------------------ | -------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------
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|19. | HEADINGS, GENDER, ETC.                                                        
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|    | 19.1                                                                           | The use of all headings and the division of this agreement into clauses are only for the convenience of the reader, and shall not affect the legal interpretation of this agreement. As used in this agreement, the singular number includes the plural and vice versa, use of a particular gender includes all other genders and the word  "person" includes an individual, a partnership, a trust, a personal representative, a body corporate and politic, the Crown and any Crown representative, an association and any other incorporated or unincorporated organization or entity.  
|   
|20. | ENTIRE AGREEMENT.                                                             
|   
|    | 20.1                                                                           | This agreement supercedes all prior agreements and is the entire agreement and understanding between the parties regarding its subject matter, and supersedes all previous agreements and understandings between the parties regarding its subject matter. No party is relying on any representation, warranty, condition, inducement, promise or other assurance (express or implied, oral or written, statutory or otherwise), which may have been made previously by another party concerning this agreement and its subject matter, unless it is specifically stated in this agreement.
|   
|    | This agreement may only be amended by a written agreement between the parties.
|   
|21. | SEVERABILITY                                                                  
|   
|    | 21.1                                                                           | Each provision of this agreement is separate and distinct from the others, such that any decision of a court or tribunal to the effect that any provisions of this agreement is null or unenforceable shall in no way affect the validity of the other provisions of this agreement or the enforceability thereof. Notwithstanding the above, such invalid provision shall be interpreted, to the extent possible, so as best to reasonably effect the original intent of the parties.                                                                                                     
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|22. | LANGUAGE                                                                      
|   
|    |                                                                                | The parties have specifically agreed that this agreement as well as all other documents relating to this agreement, including notices, be written in English only.                                                                                                                                                                                                                                                                                                                                                                                                                         
|   
|23. | OBLIGATIONS AND COVENANTS OF THE GUARANTOR                                    
|   
|    | 23.1.                                                                          | The Guarantor acknowledges and represents that this License has been granted to the Licensee based on representation made by and for the benefit of the Guarantor and its principals.                                                                                                                                                                                                                                                                                                                                                                                                      



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|                                      | 23.2.                                                                  | The Guarantor acknowledges that the Licensor is relying on the Guarantor'
s representations and guarantees as a material condition to the granting of this License.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                      
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|                                      | 23.3                                                                   | Therefore, in consideration of the granting of this Licenseto the Licensee, the Guarantor agrees to be bound by all the terms and conditions of this agreement and does hereby guarantee payment of all debts and obligations incurred herein by the Licensee to the Licensor.. The Guarantor does further assure and guarantee in its capacity as a substantial shareholder of the licensee, that it will at all times advise the Licensee to abide by the terms and spirit of this agreement, and, in the event that the Licensee fails to meet any of its obligations and covenants as set out herein, the guarantor acknowledges and guarantees that it will meet the Licensee'
s obligations and commitments herein, whether financial and otherwise, to the same extent as if it were the Licensee.
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|24.                                   | COSTS                                                                 
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|                                      | 24.1                                                                   | Each party shall bear its costs and expenses incurred in and on account of the negotiation, drafting and conclusion of this agreement.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                   
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|                                      | The parties hereto have executed this agreement on the date hereunder.
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|SIGNED BY                             |                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|for and on behalf of                  |                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|FIRST AMERICAN SCIENTIFIC CORPORATION | )                                                                     
|in the presence of:-                  |                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
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|KWON, TAE KYU                        
|Witness                              
|Name:                                 | Kwon, Tae Kyu   12/16/05                                              
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|SIGNED BY                             |                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|for and on behalf of                  |                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|JNK  Heater Co., Ltd.                 |                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
|in the presence of:-                  |                                                                        |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          
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|Y. D. KIM                            
|Witness                              
|Name:                                 | Young Do, Kim                                                         



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