Document:

Converted by EDGARwiz

May 10, 2018

Re: Side Letter Agreement regarding the Promissory Notes by and between Two Hands 

Corporation (hereinafter the "Company") and Jordan Turk. 

Dear Sirs:

This Side Letter Agreement ("Agreement") entered into on the date of this letter,

by and between the Company and Jordan Turk will serve to amend and add certain 

terms to the Promissory Note issued by Two Hands Corporation (the "Note") for cash 

advanced to the Company of $35,000 by Jordan Turk on May 9, 2018. Totalling 

($35,000). 

Capitalized terms used herein which are not otherwise defined shall have the same 

meaning as those given to them in the Note. 

For good and valuable consideration, both parties agree that the Note will

be amended as follows:

CONVERTIBLE SECURED PROMISSORY NOTE

ISSUE AMOUNT                                                    U.S.  $35,000

FACE AMOUNT                                                     U.S.  $42,000

INTEREST RATE                                                   20% per year

ISSUANCE DATE                                                   May 10, 2018

FOR VALUE RECEIVED, Two Hands Corporation, a Delaware corporation (the "Company"), 

hereby promises to pay Jordan Turk (the "Holder"), the Face Amount, subject to 

further adjustment as described below, in such amounts, at such times and on such 

terms and conditions as are specified herein (this "Note").

Article 1.  Advancement and Fees

The Company agrees to pay The Holder the sum of Forty Two Thousand Dollars and 

Zero Cents ($42,000.00) upon the issuance of this Note for advancements made by 

the Holder.

Article 2.  Maturity

The Face Amount of this Note is payable December 31, 2018 (the "Maturity

Date"). The Maturity Date of any outstanding Face Amount due on January 1, 2019 

will be extended by one year. The Maturity Date of any outstanding Face Amount due 

on January 1, 2020 will be extended by another one year and again on each one year 

anniversary until the Note has been paid in full.

Notwithstanding any provision to the contrary in this Note, the Company may

pay in full to the Holder the Face Amount, or any balance remaining thereof,

in readily available funds at any time and from time to time without penalty

("Prepayment").

Article 3.  Interest

The outstanding Face Amount of the Note shall increase by 20% on

January 1, 2019. The outstanding Face Amount of the Note shall increase by

another 20% on January 1, 2020 and again on each one year anniversary of

until the Note has been paid in full.

Article 4.  Collateral

The Holder may elect to secure a portion of the Company's assets not to

exceed 200% of the Face Amount of the Note, including, but not limited to,

accounts receivable, cash, marketable securities, equipment, building, land

or inventory (the "Collateral").

Article 5.  Defaults and Remedies

Article 5.1.  Events of Default

An "Event of Default" or "Default" occurs if the Company does not pay the

Face Amount of this Note within five (5) business days after the Maturity

Date.

Upon the occurrence of an Event of Default, the Holder may:

* Transfer any or all of the Collateral into its name, or into the name of

its nominee or nominees;

* Exercise all corporate rights with respect to the Collateral, including,

without limitation, all rights of conversion, exchange, subscription or any

other rights, privileges or options pertaining to any shares of the Collateral as 

if it were the absolute owner thereof, including, but without limitation, the 

right to exchange, at its discretion, any or all of the Collateral upon the 

merger, consolidation, amalgamation, reorganization, recapitalization or other

readjustment of the Company thereof, or upon the exercise by the Company of any 

right, privilege or option pertaining to any of the Collateral, and, in connection 

therewith, to deposit and deliver any and all of the Collateral with any 

committee, depository, transfer agent, registrar or other designated agent upon 

such terms and conditions as it may determine, all without liability except to 

account for property actually received by it; and

* Subject to any requirement of applicable law including, for greater

certainty, the Personal Property Security Act (Ontario), sell, assign and

deliver the whole or, from time to time, any part of the Collateral at the

time held by the Holder, at any private sale or at public auction, with or

without demand, advertisement or notice of the time or place of sale or

adjournment thereof or otherwise (all of which are hereby waived, except such

notice as is required by applicable law and cannot be waived), for cash or

credit or for other property for immediate or future delivery, and for such

price or prices and on such terms as the Pledgee in its sole discretion may

determine, or as may be required by applicable law.

Article 5.2  Conversion Privilege

The company shall have the right to convert the Note into shares of the

Company's common stock (the "Common Stock") at any time prior to the

Maturity Date.  The number of shares of Common Stock issuable upon the

conversion of the Note shall be determined pursuant to Article 5.3.  Any

fractional shares that occur as a result of conversion shall be rounded  

up or down, as the case may be, to the nearest whole share.

Article 5.3 Conversion Procedure.

(a) The Residual Amount may be converted, in whole or in part, any time and

    from time to time, prior to the Maturity Date.  Such conversion shall be

    effectuated by the Company, issuing a signed notice of conversion (the  

    "Notice of Conversion").   The date on which the Notice of Conversion is   

    effective ("Conversion Date") shall be deemed to be the date on which the 

    Holder has received from the Company a facsimile or original of the 

    signed Notice of Conversion. Notwithstanding the above, any Notice of

    Conversion received on or after 4:00 P.M. EST shall be deemed to have 

    Been received the following business day (receipt being via a                

    confirmation of the time such facsimile to the Holder is received).

(b) Common Stock to be Issued - Upon any conversion of the Note, and upon

    receipt by the Holder or its attorney of a facsimile or original of the

    Company's signed Notice of Conversion, the Company shall instruct its

    transfer agent to issue stock certificates without restrictive legends

    or stop transfer instructions, if at that time the aforementioned

    registration statement described in Article 5.1 has been declared

    effective (or with proper restrictive legends if the registration

    statement has not as yet been declared effective), in such denominations

    to be specified at conversion representing the number of shares of Common

    Stock issuable upon such conversion, as applicable.  In the event that

    the Note is aged and deemed sellable under Rule 144, the Company

    shall, upon a Notice of Conversion, instruct the transfer agent to issue

    free trading certificates without restrictive legends, subject to other

    applicable securities laws.  The Company is responsible for all costs

    associated with the issuance of the shares, excluding, but not limited

    to, fees associated with the opinion letter, FedEx of the certificates

    and any other costs that arise.  The Company shall act as registrar and

    shall maintain an appropriate ledger containing the necessary information

    with respect to the Note.  The Company warrants that no instructions,

    other than these instructions, have been given or will be given to the

    transfer agent and that the Common Stock shall otherwise be freely 

    resold, except as may be set forth herein or subject to applicable law.

(c) Conversion Rate - The Conversion Price for the Note shall be set at

                      $0.0001

(d) Nothing contained in the Note shall be deemed to establish or require the

    payment of interest to the Holder at a rate in excess of the maximum rate

    permitted by governing law.  In the event that the rate of interest

    required to be paid exceeds the maximum rate permitted by governing law,

    the rate of interest required to be paid thereunder shall be 

    automatically reduced to the maximum rate permitted under the governing 

    law and such excess shall be returned with reasonable promptness by the 

    Holder to the Company.

(e) It shall be the Company's responsibility to take all necessary actions

    and to bear all such costs to issue the Common Stock as provided herein,

    including the responsibility for the delivery of an opinion letter to

    the transfer agent, if so required.  The Holder shall be treated as a

    shareholder of record on the date Common Stock is issued to the Holder.  

    If the Holder shall designate another person as the entity in the name of

    which the stock certificates issuable upon conversion of the Note are to

    be issued prior to the issuance of such certificates, the Holder shall

    provide to the Company evidence that either no tax shall be due and  

    payable as a result of such transfer or that the applicable tax has been 

    paid by the Holder or such person. Upon surrender of any Notes that are  

    to be converted in part, the Company shall issue to the Holder a new Note 

    equal to the unconverted amount, if so requested in writing by the 

    Holder.

 (f) Within five (5) business days after receipt of the documentation referred

    to above in Article 5.2, the Company shall deliver a certificate for the

    number of shares of Common Stock issuable upon the conversion.  In the

    event the Company does not make delivery of the Common Stock as 

    instructed by the Holder within five (5) business days after the 

    Conversion Date, then in such event the Company shall pay to the Holder 

    one percent (1%) in cash of the dollar value of the amount remaining on 

    the Note after said conversion, compounded daily, per each day after the 

    fifth (5th) business day following the Conversion Date that the Common  

    Stock is not delivered to the Holder.

    The Company acknowledges that its failure to deliver the Common Stock

    within five (5) business days after the Conversion Date will cause the

    Holder to suffer damages in an amount that will be difficult to 

    ascertain. Accordingly, the parties agree that it is appropriate to 

    include in this Note a provision for liquidated damages.  The parties 

    acknowledge and agree that the liquidated damages provision set forth in 

    this section represents the parties' good faith effort to quantify such 

    damages, and, as such, agree that the form and amount of such liquidated 

    damages are reasonable and will not constitute a penalty.  The payment of 

    liquidated damages shall not relieve the Company from its obligations to 

    deliver the Common Stock pursuant to the terms of this Note.

(g) The Company shall at all times reserve (or make alternative written

    arrangements for reservation or contribution of shares) and have 

    available all Common Stock necessary to meet conversion of the entire 

    amount of the Note then outstanding.  If, at any time the Company does 

    not have sufficient authorized but unissued shares of Common Stock (or 

    alternative shares of Common Stock as may be contributed by stockholders 

    of the Company) available to effect, in full, a conversion of the Note

    (a "Conversion Default," the date of such default being referred to

    herein as the "Conversion Default Date"), the Company shall issue to

    the Holder all of the shares of Common Stock which are available, and

    the Notice of Conversion as to any Note requested to be converted but

    not converted (the "Unconverted Note") may be deemed null and void upon

    written notice sent by the Company.  The Company shall

    provide notice of such Conversion Default ("Notice of Conversion

    Default") to the Holder, by facsimile within three (3) business days

    of such default (with the original delivered by overnight mail or two

    day courier), and the Holder shall give notice to the Company by

    facsimile within five (5) business days of receipt of the original

    Notice of Conversion Default (with the original delivered by overnight

    mail or two day courier) of its election to either nullify or confirm

    the Notice of Conversion.

    The Company acknowledges that its failure to maintain a sufficient

    number of authorized but unissued shares of Common Stock to effect, in

    full, a conversion of the Note will cause the Holder to suffer damages

    in an amount that will be difficult to ascertain.  Accordingly, the

    parties agree that it is appropriate to include in this Note a provision

    for liquidated damages.

(h) If, by the fifth (5th) business day after the Conversion Date of any

    portion of the Note to be converted (the "Delivery Date"), the transfer

    agent fails for any reason to deliver the Common Stock upon conversion by

    the Company and after such Delivery Date, the Holder purchases, in an  

    open market transaction or otherwise, shares of Common Stock (the 

    "Covering Shares") solely in order to make delivery in satisfaction of a 

    sale of Common Stock by the Holder (the "Sold Shares"), which delivery 

    such Holder anticipated to make using the Common Stock issuable upon  

    conversion (a "Buy-In"), the Company shall pay to the Holder, in addition 

    to any other amounts due to the Holder pursuant to this Note, and not in 

    lieu thereof, the Buy-In Adjustment Amount (as defined below).  The "Buy 

    In  Adjustment Amount" is the amount equal to the excess, if any, of (x) 

    The Holder's total purchase price (including brokerage commissions, if 

    any) for the Covering Shares over (y) the net proceeds (after brokerage

    commissions, if any) received by the Holder from the sale of the Sold

    Shares.  The Company shall pay the Buy-In Adjustment Amount to the Holder

    in immediately available funds within five (5) business days of written

    demand by the Holder.  By way of illustration and not in limitation of

    the foregoing, if the Holder purchases shares of Common Stock having a

    total purchase price (including brokerage commissions) of $11,000 to

    cover a Buy-In with respect to shares of Common Stock it sold for net

    proceeds of $10,000, the Buy-In Adjustment Amount which the Company

    will be required to pay to the Holder will be $1,000.

(i) The Company shall defend, protect, indemnify and hold harmless the

    Holder and all of its shareholders, officers, directors, employees,

    counsel, and direct or indirect investors and any of the foregoing

    person's agents or other representatives (including, without limitation,

    those retained in connection with the transactions contemplated by this

    Agreement, collectively, the "Article 5.3(i) Indemnitees") from and

    against any and all actions, causes of action, suits, claims, losses,

    costs, penalties, fees, liabilities and damages, and expenses in

    connection therewith (irrespective of whether any such Article 5.3(i)

    Indemnitee is a party to the action for which indemnification hereunder

    is sought), and including reasonable attorneys' fees and disbursements

    (the "Article 5.3(i) Indemnified Liabilities"), incurred by any

    Article 5.3(i) Indemnitee as a result of, or arising out of, or

    relating to (i) any misrepresentation or breach of any representation

    or warranty made by the Company in this Note or any other certificate,

    instrument or document contemplated hereby or thereby, (ii) any breach

    of any covenant, agreement or obligation of the Company contained in

    this Note or any other certificate, instrument, or document contemplated

    hereby or thereby, (iii) any cause of action, suit, or claim brought or

    made against such Article 5.3(i) Indemnitee by a third party and arising

    out of or resulting from the execution, delivery, performance, or

    enforcement of the Note or any other certificate, instrument, or document

    contemplated hereby or thereby, (iv) any transaction financed or to be

    financed in whole or in part, directly or indirectly, with the proceeds

    of the issuance of the Common Stock underlying the Note, or (v) the

    status of the Holder or holder of the Note as an investor in the Company,

    except insofar as any such misrepresentation, breach or any untrue

    statement, alleged untrue statement, omission, or alleged omission is

    made in reliance upon and in conformity with written information

    furnished to the Company by the Holder which is specifically intended

    by the Holder to be relied upon by the Company, including for use in

    the preparation of any such registration statement, preliminary

    prospectus, or prospectus, or is based on illegal trading of the Common

    Stock by the Holder. To the extent that the foregoing undertaking by the

    Company may be unenforceable for any reason, the Company shall make the

    maximum contribution to the payment and satisfaction of each of the

    Indemnified Liabilities that is permissible under applicable law.  The

    indemnity provisions contained herein shall be in addition to any cause

    of action or similar rights the Holder may have, and any liabilities the

    Holder may be subject to.

(j) Furthermore if the Company elects to convert any portion of the  

    outstanding balance of the Note(s) into shares of the Company's common 

    stock it may do so at any time at its sole option.  The number of Common 

    Stock issued may not have the Holder's common stock Holdings exceed 9.9%  

    of the Company at any time.

Article 6.  Mergers

    The Company shall not consolidate or merge into, or transfer all or

    substantially all of its assets to, any person, unless such person

    assumes in writing the obligations of the Company under this Note and

    immediately after such transaction no Event of Default exists.  Any

    reference herein to the Company shall refer to such surviving or

    transferee corporation and the obligations of the Company shall terminate

    upon such written assumption.  Failure to do so will constitute an Event

    of Default under this Note and the Holder may immediately seek to take

    actions as described under Article 5 of this Note.

Article 7.  Notices

    Any notices, consents, waivers or other communications required or

    permitted to be given under the terms of this Note must be in writing

    and will be deemed to have been delivered (i) upon receipt, when

    delivered personally, (ii) upon receipt, when sent by facsimile (provided

    a confirmation of transmission is mechanically or electronically 

    generated and kept on file by the sending party), or (iii) one (1) day 

    after deposit with a nationally recognized overnight delivery service, in 

    each case properly addressed to the party to receive the same.

Article 8.  Time

    Where this Note authorizes or requires the payment of money or the

    performance of a condition or obligation on a Saturday or Sunday or a

    holiday in which the United States Stock Markets ("US Markets") are

    closed ("Holiday"), or authorizes or requires the payment of money or the

    performance of a condition or obligation within, before or after a period

    of time computed from a certain date, and such period of time ends on a

    Saturday or a Sunday or a Holiday, such payment may be made or condition

    or obligation performed on the next succeeding business day, and if the

    period ends at a specified hour, such payment may be made or condition

    performed, at or before the same hour of such next succeeding business

    day, with the same force and effect as if made or performed in accordance

    with the terms of this Note.  A "business day" shall mean a day on which

    the US Markets are open for a full day or half day of trading.

Article 9.  No Assignment

    This Note shall not be assigned.

Article 10.  Rules of Construction

    In this Note, unless the context otherwise requires, words in the 

    Singular number include the plural, and in the plural include the 

    singular, and words of the masculine gender include the feminine and the 

    neuter, and when the tense so indicates, words of the neuter gender may 

    refer to any gender.  The numbers and titles of sections contained in  

    this Note are inserted for convenience of reference only, and they 

    neither form a part of this Note nor are they to be used in the 

    construction or interpretation hereof.  Wherever, in this Note, a 

    determination of the Company is required or allowed, such determination 

    shall be made by a majority of the Board of Directors of the Company and, 

    if it is made in good faith, it shall be conclusive and binding upon the  

    Company and the Holder.

Article 11.  Governing Law

    The validity, terms, performance and enforcement of this Note shall be

    governed and construed by the provisions hereof and in accordance with 

    the laws of the State of Delaware applicable to agreements that are 

    negotiated, executed, delivered and performed solely in the State of 

    Delaware.

Article 12.  Waiver

    The Holder's delay or failure at any time or times hereafter to require

    strict performance by Company of any undertakings, agreements or  

    covenants shall not waiver, affect, or diminish any right of the Holder 

    under this Note to demand strict compliance and performance herewith. Any 

    waiver by the Holder of any Event of Default shall not waive or affect 

    any other Event of Default, whether such Event of Default is prior or 

    subsequent thereto and whether of the same or a different type.  None of 

    the undertakings, agreements and covenants of the Company contained in 

    this Note, and no Event of Default, shall be deemed to have been waived 

    by the Holder, nor may this Note be amended, changed or modified, unless 

    such waiver, amendment, change or modification is evidenced by an 

    instrument in writing specifying such waiver, amendment, change or 

    modification and signed by the Holder.

Article 13.  Senior Obligation

    The Company shall cause this Note and all other existing Notes with the

    Holder ("Holder's Debt") to be senior in right of payment to all other

    indebtedness of the Company.

Article 14.  Miscellaneous

(a) All pronouns and any variations thereof used herein shall be deemed to

    refer to the masculine, feminine, impersonal, singular or plural, as the

    identity of the person or persons may require.

(b) Neither this Note nor any provision hereof shall be waived, modified,

    changed, discharged, terminated, revoked or canceled, except by an

    instrument in writing signed by the party effecting the same against whom

    any change, discharge or termination is sought.

(c) This Note may be executed in two or more counterparts, all of which taken

    together shall constitute one instrument.  Execution and delivery of this

    Note by exchange of facsimile copies bearing the facsimile signature of a

    party shall constitute a valid and binding execution and delivery of this

    Note by such party.  Such facsimile copies shall constitute enforceable

    original documents.

(d) This Note represents the FINAL AGREEMENT between the Company and the

    Holder and may not be contradicted by evidence of prior, contemporaneous,

    or subsequent oral agreements of the parties, there are no unwritten oral

    agreements among the parties.

(e) The execution, delivery and performance of this Note by the Company and

    the consummation by the Company of the transactions contemplated hereby 

    and thereby will not (i) result in a violation of the Certificate of

    Incorporation, any Certificate of Designations, Preferences and Rights of

    any outstanding series of preferred stock of the Company or the By-laws,

    or (ii) conflict with, or constitute a material default (or an event 

    which with notice or lapse of time or both would become a material  

    default) under, or give to others any rights of termination, amendment, 

    acceleration or cancellation of, any material agreement, contract, 

    indenture mortgage, indebtedness or instrument to which the Company or 

    any of its Subsidiaries is a party, or result in a violation of any law, 

    rule, regulation, order, judgment or decree, including United States  

    federal and state securities laws and regulations and the rules and 

    regulations of the principal securities exchange or trading market on 

    which the Common Stock is traded or listed (the "Principal Market"), 

    applicable to the Company or any of its Subsidiaries or by which any 

    property or asset of the Company or any of its Subsidiaries is bound or  

    affected.

    Any misrepresentations shall be considered a breach of contract and

    Default under this Note and the Holder may seek to take actions as

    described under Article 5 of this Note.

IN WITNESS WHEREOF, the Company has duly executed this Note as of the Issuance

Date first written above.

Two Hands Corporation        

  

Jordan Turk

 

________________________________

_____________________________  

Name: Nadav Elituv                     

Name:  Jordan Turk

Title: CEO,Two Hands CorporationExhibit
10.5

 

	18
    January 2018	Our
    Ref.: R26417B 

 

The
Directors

Tang
Dynasty Investment Group Limited

Room
503 Fourseas Building

208-212
Nathan Road

Kowloon

Hong
Kong

 

Dear
Sirs,

 

	RE:	Various
    properties at Yangshou County, Guilin City, Guangxi Zhuang Autonomous Region, the People’s Republic of China (the “Properties”)

 

In
accordance with your instructions for us to value the property interest held by Tang Dynasty Investment Group Limited (hereinafter
referred to as the “Company”) and its subsidiaries (hereinafter referred to as the “Group”) in the People’s
Republic of China (hereinafter referred to as “the PRC”), we confirm that we have made relevant enquiries and obtained
such further information as we consider necessary of providing you with our opinion of the market value of such property interest
as at 30 September 2017 (“the Valuation Date”) for accounting purposes.

 

Our
valuation is our opinion of the market value of the property interest which we would define as intended to mean “the estimated
amount for which an asset or liability should exchange on the valuation date between a willing buyer and a willing seller in an
arm’s-length transaction after proper marketing wherein the parties had each acted knowledgeably, prudently and without
compulsion”.

 

Market
Value is understood as the value of a property estimated without regard to costs of sale or purchase (or transaction) and without
offset for any associated taxes or potential taxes.

 

In
valuing the property interests, we have adopted the market approach. The market approach provides an indication of value by comparing
the asset with identical or comparable (that is similar) assets for which price information is available.

 

The
valuations have been made on the assumption that the owner sells the property interest on the market in their existing state without
the benefit of a deferred terms contract, leaseback, joint venture, management agreement or any similar arrangement which would
serve to affect its value.

 

No
allowance has been made in our valuation for any charge, mortgage or amount owing on the Properties nor for any expenses or taxation
which may be incurred in effecting a sale. It is assumed that the Properties is free from encumbrances, restrictions and outgoings
of an onerous nature which could affect its value.

 

We
have not caused searches to be made regarding the title to the Properties. We have been provided with copies of certain extracts
on title documents relating to the Properties by the Group. However, we have not searched the original documents to verify ownership
or to verify the existence of any amendments which do not appear on the copies handed to us.

 

Our
valuation has been made on the assumption that the owner sell the property interest on the open market in their existing states
without the benefit of deferred terms contract, leaseback, joint venture, management agreements or any similar arrangement which
would serve to increase the values of the property interest.

 

    	 

     

    

 

Our
Ref.: R26417B

 

We
have inspected the exteriors, and wherever possible, the interior of the Properties. However, no structural survey has been made
and we are therefore unable to report as to whether the Properties are or not free of rot, infestation or any other structural
defects. No tests have been carried out on any of the services.

 

We
have relied on a considerable extent on information provided by you and have accepted advise given to us on such matters as planning
approvals, statutory notices, easements, tenure, occupancy, lettings, site and floor areas, room and facilities schedule and in
the identification of the Properties. No on-site measurement has been taken. All dimensions, measurements and areas are approximations
only.

 

No
allowance has been made in our valuation report for any charges, mortgages or amounts owing on the Properties nor for any expenses
or taxation which may be incurred in effecting a sale. Unless otherwise stated, it is assumed that the Properties is free from
encumbrances, restrictions and outgoings of any onerous nature which could affect its value.

 

The
valuation report is prepared for the sole use of the addressee and for the stated particular purpose only. The valuation report
is regarded as confidential information which shall be disclosed to and used by the client and his professional advisers only.
We accept no responsibility if this valuation report is used or relied upon by any person other than the client himself.

 

Neither
the whole nor any part of this valuation report or any reference thereto may be included in any published document, circular or
statement nor published in any way without our written approval of the form and context in which it may appear.

 

Our
valuation is prepared in accordance with the HKIS Valuation Standards 2017 published by the Hong Kong Institute of Surveyors (HKIS).

 

Unless
otherwise stated, all monetary amounts stated are in RENMINBI (RMB).

 

    	2

     

    

 

Our Ref.: R26417B

 

We
enclose herewith the summary of valuation and the valuation report.

 

	Yours
                                         faithfully,

        For
        and on behalf of

        GRANT
        SHERMAN APPRAISAL LIMITED
	 
	 	 
	 	 
	Lawrence
                                         Chan Ka Wah

        MRICS
        MHKIS RPS(GP) MCIREA MHIREA

        Director

        Real
        Estate Group
	 

 

    	3

     

    

 

Our Ref.: R26417B

 

SUMMARY
OF VALUATION

 

	 	Property	 	

        Market
        Value

        in
        existing state as at

        30
        September 2017

        

	 	 	 	 
	1.	No.28
                                         Shenshan Road, Yangshou Town,

        Yangshou
        County, Guilin City,

        Guangxi
        Zhuang Autonomous Region,

        the
        PRC
	 	No
    commercial value
	 	 	 	 
	2.	A
                                         land parcel at Dongling Road, Yangshou Town,

        Yangshou
        County, Guilin City,

        Guangxi
        Zhuang Autonomous Region,

        the
        PRC
	 	RMB
    2,300,000
	 	 	 	 
	3.	No.20
                                         Chengzhong Road, Yangshou Town,

        Yangshou
        County, Guilin City,

        Guangxi
        Zhuang Autonomous Region,

        the
        PRC
	 	RMB
    9,800,000
	 	Total	 	RMB
    12,100,000

 

    	4

     

    

 

Our Ref.: R26417B

 

VALUATION
REPORT

 

	 	Property	 	Description
    and Tenure	 	Particulars
    of occupancy	 	Market
                                         Value

        in
        existing state

        as
        at

        30
        September 2017

        (Subject
        to

        assumptions

        made
        on Note 3)

	 	 	 	 	 	 	 	 
	1.	No.28
                                         Shenshan Road,

        Yangshou
        Town,

        Yangshou
        County,

        Guilin
        City,

        Guangxi
        Zhuang Autonomous Region,

        the
        PRC
	 	The
                                         Property comprises a parcel of land with a site area of approximately 734.4 sq.m..

         

        The
        land use rights of the Property are allocated for residential use.
	 	As
                                         advised by the Company, the Property was vacant as at the Valuation Date.

         
	 	No
                                         commercial

        value

         

         

 

Notes:

 

	1.	Pursuant
    to a State-owned Land Use Certificate (Document No.: 朔国用(2015)第500号) dated 10 July 2015,
    the land use rights of the Property are allocated to 阳朔县兴源铅锌矿有限责任公司for
    residential use.
	 	 
	2.	In
    the course of our valuation, we have ascribed no commercial value to the Property due to the land use rights are allocated
    in nature, hence they are not entitled to be transferred, leased and mortgaged.
	 	 
	 	However,
    for indicative purpose, the market value of the Property as at the Valuation Date is RMB 1,900,000 by assuming that the Property
    is legal transferrable in the market, with a tenure term of 70 years from 10 July 2015(the issuance date of the State-owned
    Land Use Certificate stated in Note 1) and a maximum plot ratio of 1.8.
	 	 
	3.	In
    the course of our valuation, we have made the following assumptions:
	 	 
	 	(a)	the
    Property has obtained the relevant title documents and, whether as a whole or on a strata-title basis, is freely transferable
    to any third party (both overseas and domestic) in the open market without payment of any land premiums or any incidental
    costs;
	 	 	 
	 	(b)	all
    land premiums and other costs of ancillary utility services have been settled in full;
	 	 	 
	 	(c)	the
    Property is free from any mortgages, orders and other legal encumbrances which may cause adverse effect to the title of the
    Property;
	 	 	 
	 	(d)	the
    tenure of the land use rights of the Property was allocated on 10 July 2015 for a term of 70 years; and
	 	 	 
	 	(e)	We
    inspected the Property on 11 January 2018 (the “Inspection Date”) whereas we are instructed to appraise the market
    value of the Property as at 30 September 2017. We assumed that the condition, occupancy status and other information of the
    Property between the Inspection Date and Valuation Date are the same. If there are any differences on the Property between
    Inspection Date and Valuation Date, we reserved our rights to amend our valuation opinions.

 

    	5

     

    

 

Our Ref.: R26417B

 

VALUATION
REPORT

 

 

	 	Property	 	Description
    and Tenure	 	Particulars
    of occupancy	 	Market
                                         Value

        in
        existing state

        as
        at

        30
        September 2017

        (Subject
        to

        assumptions

        made
        on Note 4)

	 	 	 	 	 	 	 	 
	2.	A
                                         land parcel at Dongling Road,

        Yangshou
        Town,

        Yangshou
        County,

        Guilin
        City,

        Guangxi
        Zhuang Autonomous Region,

        the
        PRC

         
	 	The
                                         Property comprises a parcel of land together with a single-storey warehouse completed
                                         over 20 years erected thereon.

         

        The
        Property has a site area and a total gross floor area of approximately 4,093.8 sq.m. and 277.2 sq.m. respectively.

         

        The
        land use rights of the Property are granted for a term expiring on 30 October 2053 for industrial use.
	 	As
                                         advised by the Company, the Property was vacant as at the Valuation Date.

         
	 	RMB
                                         2,300,000

         

         

 

Notes:

 

	1.	Pursuant
    to a State-owned Land Use Certificate (Document No.: 朔国用 (2000) 字第 293 号 ) dated
    18 December 2003, the land use rights of the Property are allocated to 阳朔 县兴源铅锌矿有限责任公司
    a term expiring on 30 October 2053 for industrial use.
	 	 
	2.	Pursuant
    to a Building Ownership Certificate (Document No.: 朔房 权证阳朔镇字第
    00003940 号 ) dated 17 October 2002, the ownership of the building of the Property with a gross floor area of approximately
    277.2 sq.m. is vested in 阳朔 县兴源铅锌矿有限责任公司
    .
	 	 
	3.	According
    to the information provided by the Company, the building erected thereon is built over 20 years.
	 	 
	4.	In
    the course of our valuation, we have made the following assumptions:
	 	 
	 	(a)	the
    Property has obtained the relevant title documents and, whether as a whole or on a strata-title basis, is freely transferable
    to any third party (both overseas and domestic) in the open market without payment of any land premiums or any incidental
    costs;
	 	 	 
	 	(b)	all
    land premiums and other costs of ancillary utility services have been settled in full;
	 	 	 
	 	(c)	the
    Property is free from any mortgages, orders and other legal encumbrances which may cause adverse effect to the title of the
    Property; and
	 	 	 
	 	(d)	We
    inspected the Property on 11 January 2018 (the “Inspection Date”) whereas we are instructed to appraise the market
    value of the Property as at 30 September 2017. We assumed that the condition, occupancy status and other information of the
    Property between the Inspection Date and Valuation Date are the same. If there are any differences on the Property between
    Inspection Date and Valuation Date, we reserved our rights to amend our valuation opinions.

 

    	6

     

    

 

Our Ref.: R26417B

 

VALUATION
REPORT

 

	 	Property	 	Description
    and Tenure	 	Particulars
    of occupancy	 	Market
                                         Value

        in
        existing state

        as
        at

        30
        September 2017

        (Subject
        to

        assumptions

        made
        on Note 4)

	 	 	 	 	 	 	 	 
	3.	No.20
                                         Chengzhong Road,

        Yangshou
        Town,

        Yangshou
        County,

        Guilin
        City,

        Guangxi
        Zhuang Autonomous Region,

        the
        PRC

         
	 	The
                                         Property comprises a parcel of land together with a 3-storey commercial building completed
                                         in over 20 years erected thereon.

         

        The
        Property has a site area and a total gross floor area of approximately 1,119.5 sq.m. and 471.52 sq.m. respectively.

         

        The
        land use rights of the Property are granted for a term expiring on 28 March 2049 for industrial use.
	 	As
                                         advised by the Company, the Property was vacant as at the Valuation Date.

         
	 	RMB
                                         9,800,000

         

         

 

Notes:

 

	1.	Pursuant
    to a State-owned Land Use Certificate (Document No.: 朔国用(2004)字第001号), the land
    use rights of the Property are allocated to 阳朔县兴源铅锌矿有限责任公司a
    term expiring on 30 October 2053 for industrial use.
	 	 
	2.	Pursuant
    to a Building Ownership Certificate (Document No.: 朔房权证阳朔字第0003941号),
    the ownership of the building of the Property with a gross floor area of approximately 471.52 sq.m. is vested in阳朔县兴源铅锌矿有限责任公司.
	 	 
	3.	According
    to the information provided by the Company, the building erected thereon is built over 20 years.
	 	 
	4.	In
    the course of our valuation, we have made the following assumptions:
	 	 
	 	(a)	the
    Property has obtained the relevant title documents and, whether as a whole or on a strata-title basis, is freely transferable
    to any third party (both overseas and domestic) in the open market without payment of any land premiums or any incidental
    costs;
	 	 	 
	 	(b)	all
    land premiums and other costs of ancillary utility services have been settled in full;
	 	 	 
	 	(c)	the
    Property is free from any mortgages, orders and other legal encumbrances which may cause adverse effect to the title of the
    Property; and
	 	 	 
	 	(d)	We
    inspected the Property on 11 January 2018 (the “Inspection Date”) whereas we are instructed to appraise the market
    value of the Property as at 30 September 2017. We assumed that the condition, occupancy status and other information of the
    Property between the Inspection Date and Valuation Date are the same. If there are any differences on the Property between
    Inspection Date and Valuation Date, we reserved our rights to amend our valuation opinions.

 

    	7

     

    

 

NORMAL
SERVICE CONDITIONS

 

The
services provided by Grant Sherman Appraisal Limited will be performed in accordance with professional standards. We assume, without
independent verification, the accuracy of all data provided to us. Our valuation report is to be used for the specific purposes
stated herein and any other use is invalid. No one should rely on our valuation report as a substitute for their own due diligence.
No reference to our name or our valuation report, in whole or in part, in any document you prepare or distribute to third parties
may be made without our written consent. All files, workpapers or documents developed by us during the course of the engagement
will be our property. We will retain this data for at least five years.

 

You
agree to indemnify and hold us harmless against and from any and all losses, claims, actions, damages, expenses, or liabilities,
including reasonable attorneys’ fees, to which we may become subject in connection with this engagement. You will not be
liable for our negligence. In the event we are subject to any liability in connection with this engagement, such liability will
be limited to the amount of fees we received for this engagement.

 

We
reserve the right to include your company name in our client list, but we will maintain the confidentiality of all conversations,
documents provided to us, and the contents of our valuation report, subject to legal or administrative process or proceedings.

 

    	 

     

    

 

-
END OF VALUATION REPORT -

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