Document:

MAIN CONTRACT

           in respect of the building, financing and operating of the
                 "Coal-Waste Moscow" waste incineration Complex
                           according to the BOOT model

                                     between

            the Government of the City of Moscow, Russian Federation
                     represented by the First Deputy Premier
                    of the Government of the City of Moscow,
              Mr. Boris Vassilyevich Nikolsky, acting on the basis
                       of the Constitution of the City of
                 Moscow and the powers of attorney in accordance
                    with Resolution No. 860 of the Government
                 of the City of Moscow dated 10th November 1998,
                  "On the realisation of the project to build a
                 waste incineration plant in accordance with the
                offer submitted by the company "THG Ost-West mbH"

                         hereinafter called the "Client"

                                       and

                                THG Ost-West mbH
                               Beisenstr. 39 - 41
                                 45964 Gladbeck
                                     Germany
              represented by the Director, Prof. Dr. Heinz Holter,
                   acting on the basis of the company charter

                     - hereinafter called the "Contractor" -

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                                Table of Contents

       Article 1      Definitions and terms

       Article 2      Subject-matter and general conditions of the Contract
       2.1            Subject-matter of the Contract
       2.2            Project Company (Project Sponsor)
       2.3            Investment Contract
       2.4            Property rights
       2.5            Operation of the Complex
       2.6            Contracts and documents required to implement the Project

       Article 3      General Project implementation terms
       3.1            Technical performance decisions
       3.2            Involvement of third parties
       3.3            Mutual obligation to exchange information

       Article 4      Obligations of the Project Company
       4.1            Securing the Project finance
       4.2            Building permits and operating licences
       4.3            Construction of the Complex
       4.4            Transfer of the Complex to the Client

       Article 5      Operation of the Complex
       5.1            Contract for the Disposal of Municipal Solid Waste
       5.2            Acceptance and processing of the municipal solid waste
       5 3            Supply and disposal of the waste
       5.4            Furnishing of information on the operation of the Complex
       5.5            Commencement  of work on the disposal of  municipal  solid
                      waste
       5.6            Fee for the disposal of municipal solid waste

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        Article 6      Elements and level of the investment costs
        6.1            Basic price
        6.2            Additional costs
        6.3            Annual interest
        6.4            Customs duties and taxes
        6.5            Investment costs
        6.6            Validity of the basic price
        6.7            Payment plan and due dates
        6.6            Currency
        6.9            Documentation

        Article 7      Obligations of the Client
        7.1            Support for the Project Company by the Client
        7.2            Lease agreement for the Moscow site
        7.3            Transfer and preparation of the Moscow site
        7.4            Payback of investment costs
        7.5            Guarantee  of  payment  of the fee for  the  disposal  of
                       municipal solid waste
        7.6            Guarantee  of  acceptance  of  residual  and   recyclable
                       materials

        Article 8      Customs duties and taxes

        Article 9      Changes in the general performance conditions
        9.1            Changes in the costs
        9.2            Changes  in  conjunction  with the  results of  financial
                       engineering

        Article 10     Liability

        Article 11     Regulatory Commission

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        Article 12     Force majeure

        Article 13     Amendments
        13.1           Trustful cooperation

        Article 14     Term and termination of the Contract
        14.1           Term
        14.2           Termination of the Contract for important reasons
        14.3           Consequences of a termination of the Investment Contract

        Article 15     Arbitration

        Article 16     Concluding provisions and Appendices
        16.1           Assignment of claims
        16.2           European Monetary Union
        16.3           Severability clause
        16.4           Appendices
        16.5           Written form
        16.6           Language and number of copies

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                                    Article 1
                              Definitions and terms

The  contracting  parties  have  agreed on the  following  definitions  for this
Contract:

1.1 Municipal solid waste                  solid    waste    from    residences,
                                           commercial       enterprises      and
                                           organisations,   wastes   similar  in
                                           content to domestic waste.

1.2 Coal-waste  systems  technology (CWS)  the  principle of the  combustion  of
                                           waste-derived   fuel  in  a  separate
                                           grate    incinerator   (a   so-called
                                           satellite furnace) and utilization of
                                           the energy inherent in the flue gases
                                           in a conventional power station steam
                                           generator.    This   technology   was
                                           developed  by  the  Holter  group  of
                                           companies  and  enjoys  international
                                           patent protection

1.3 Project                                the  construction  of the "Coal-Waste
                                           Moscow"  Complex for the  disposal of
                                           municipal   solid   waste  using  the
                                           coal-waste     systems     technology
                                           developed  by  Prof.   Dr.   Heinrich
                                           Holter.

1.4 Ryasan power station                   the thermal power station  located at
                                           Ryasan    and    operated    by   OAO
                                           "Ryasanskaya GRES".

1.5 Power station operator                 OAO "Ryasanskaya GRES".

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1.6 Complex                                the entire buildings,  facilities and
                                           equipment located on the territory of
                                           the  City of  Moscow  on the  site of
                                           Ryasan power station for the sorting,
                                           processing,      transporting     and
                                           combusting  of waste  in a  satellite
                                           incinerator  with subsequent  thermal
                                           utilisation  of  the  flue  gas  in a
                                           steam   generator   at  Ryasan  power
                                           station.

1.7 Creation of the Complex                the  construction  of  buildings  and
                                           facilities,  the supply and  assembly
                                           of equipment,  and the  commissioning
                                           of the Complex

1.8 Operating phase                        period from the  commissioning to the
                                           transfer of  ownership of the Complex
                                           to the Client.

1.9 Project Company                        the   Project   Company   "Kohle-Mull
                                           Systemtechnik    Moskau   GmbH"   (in
                                           accordance with Resolution No. 860 of
                                           the  Government of the City of Moscow
                                           dated 10th November 1998).

1.10 Project Sponsor                       the   Project   Company   "Kohle-Mull
                                           Systemtechnik      Moskau      GmbH",
                                           responsible  for   implementing   the
                                           Project.

1.11 Ecotechprom                           the state-owned,  unitary  enterprise
                                           "Ecotech prom",  formed as a juristic
                                           person and  transacting  business  in
                                           accordance     with     the     legal
                                           requirements     of    the    Russian
                                           Federation.  The Client has nominated
                                           Ecotechprom   as   the   organisation
                                           authorised to control the process for
                                           the  treatment  of  municipal   solid
                                           waste on the territory of the City of
                                           Moscow.

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1.12 Operator                              joint  venture in the form of a close
                                           company  to  be  established  by  the
                                           Project  Company and  Ecotechprom for
                                           the   purposes   of   operating   the
                                           Complex.  The Project  Company  shall
                                           hold a  majority  of at least  70% of
                                           the Operator's shares.

1.13 BOOT model                            the financing, planning, building and
                                           operating    of   the   Complex   and
                                           subsequent    transferring   of   the
                                           property  rights in the Complex  from
                                           the Project Company to the Client.

1.14 Moscow site                           part of the site in  Moscow  formerly
                                           belonging  to  Ecotechprom   that  is
                                           required for the  construction of the
                                           Complex.

1.15 Management Contract                   contract  to  be   concluded  by  the
                                           Project Company and the Operator that
                                           governs the  principles of management
                                           of the Complex by the Operator.

1.16 Contract for the Disposal of
     Municipal Solid Waste                 contract   to  be  entered   into  by
                                           Ecotechprom   and  the   Operator  in
                                           respect   of   the   acceptance   and
                                           disposal of municipal solid waste.

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1.17 Investment Contract                   contract  to  be   concluded  by  the
                                           Project Company and, on behalf of the
                                           Client,  the  Investment  Policy  and
                                           State   Funding   Administration   in
                                           respect  of  the  funding,  planning,
                                           building and subsequent  transferring
                                           of the property rights in the Complex
                                           to the Client.

1.18 Investment costs                      all  the   costs  of   creating   and
                                           financing the Complex.

1.19 Investment phase                      period  from the time the  finance is
                                           secured to the  commissioning  of the
                                           Complex.

1.20 Financial engineering                 the requisite expertises, reports and
                                           audits   demanded  by  the  financing
                                           organisations  for the  authorisation
                                           of the finance.

1.21 Contract                              this  Contract  entered  into  by the
                                           Contractor  and the Client  according
                                           to the BOOT model.

                                    Article 2

              Subject-matter and general conditions of the Contract

2.1  Subject-matter of the Contract

     For the purposes of creating an ecologically sound and cost-effective waste
     disposal  model in Moscow the Client  hereby  appoints  the  Contractor  to
     finance,  plan,  build and  operate  according  to the BOOT model the waste

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     disposal  complex In Moscow in  accordance  with the  technological  system
     "Coal-Waste  Systems Technology"  developed by Prof. Dr sc. Dr.-Ing.  Heinz
     Holter.

     The Client agrees to pay the  investment  costs  referred to at Art. 6 over
     the course of 15 years from the date the Complex is taken into operation.

2.2  Project Company (Project Sponsor)

     The  Project  shall  be  implemented  by the  Project  Company  "Kohle-Mull
     Systemtechnik  Moskau  GmbH."  The  Project  Company is the  sponsor of the
     Project.

     The rights and  obligations  associated  with the  financing,  planning and
     building of the Complex and the subsequent  transfer of the property rights
     in the Complex to the Client at the end of the agreed  period  shall accrue
     only in the person of the Project Sponsor (the Project Company).

2.3  Investment Contract

     Under the terms of this Contract the Client,  represented by the Investment
     Policy and State  Funding  Administration,  shall  conclude  an  Investment
     Contract with the Project Company in which the Project  Company  undertakes
     to finance,  plan, build and  subsequently  transfer the property rights in
     the Complex to the Client on expiry of a 15-year  period  starting from the
     date the Complex is taken into operation.

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2.4  Property rights

     On completion of the planning and  construction  work, the Project  Company
     shall  purchase  the  property  rights  in  the  Complex,  which  shall  be
     registered and documented in accordance with the statutory  requirements of
     the Russian Federation.

     Until such time as the property  rights in the Complex are  transferred  to
     the Client,  the Project  Company shall for the duration of the  Investment
     Agreement  remain the owner of all the facilities,  buildings and equipment
     it constructs or installs in the Complex, including any refurbishments made
     during the course of operation of the Complex.

2.5  Operation of the Complex

     The technical and commercial  operation of the Complex for a period lasting
     15 years after  commissioning  shall be  performed  by the  Operator on the
     basis of a contract  to be  concluded  with  Ecotechprom  in respect of the
     disposal of municipal sold waste.

     Ecotechprom   has  been  nominated  by  the  Client  as  the   organisation
     responsible  for the disposal of municipal  solid waste on the territory of
     the City of Moscow.

     The Operator shall be formed and duly registered by the Project Company and
     Ecotechprom  as a close company  operating in the Russian  Federation.  The
     Project  Company shall have a majority  shareholding  in the Operator of at
     least 70% of the shares.  The basis for the formation of the Operator shall
     be the company formation  agreement entered into by the Project Company and
     Ecotechprom.

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2.6  Contracts and documents required to implement the Project

     During the course of Project  development the Parties shall ensure that the
     following essential contracts and documents are drawn up and concluded:

     a) Investment  Agreement entered into by the Client and the Project Company
     in respect of the  financing,  planning  and  building  of the  Complex and
     subsequent transfer of the property rights therein to the Client;

     b) Contract  for the  Disposal of  Municipal  Solid Waste  entered  into by
     Ecotechprom  and the  Operator  in which the  details  with  respect to the
     operation of the Complex and the payments for such operation are laid down;

     c) contract entered into by Moskomsem and the Project Company in respect of
     the transfer to the Project  Company of the rights to use the site required
     for the construction of the Complex in Moscow;

     d) letter of  guarantee  issued by the Client in respect of the  meeting of
     the payment obligations owing to the Project Company in accordance with the
     Investment Agreement;

     e) guarantees issued by the Project Company with respect to the transfer of
     the  property  rights  in  the  Complex  to the  Client  and  the  business
     management  rights  to  Ecotechprom  in  accordance  with the  terms of the
     Investment Agreement.

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                                    Article 3

                      General Project implementation terms

3.1  Technical performance decisions

     The Project  Company  shall have a free rein in the choice of technical and
     other such measures in the fulfilment of its duties when  implementing  the
     Project  so long as said  measures  are in  compliance  with the  statutory
     provisions in force in the Russian Federation and provide for a disposal of
     municipal  solid waste in accordance  with the Contract for the Disposal of
     Municipal  Solid  Waste and the  Investment  Agreement.  In the process the
     Project Company shall comply with the  corresponding  legal,  technical and
     ecological  regulations that are in force in the Russian  Federation at the
     time the Investment Agreement is signed.

3.2  Involvement of third parties

     The Client and the Project Company are entitled to avail  themselves of the
     services of third parties in the fulfilment of their duties under the terms
     of this Contract.

3.3  Mutual obligation to exchange information

     The Client and the Project  Company shall inform each other  immediately on
     occurrence  of any events that could  hinder the Client  and/or the Project
     Company  in the  fulfilment  of their  obligations  under the terms of this
     Contract.
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                                    Article 4

                       Obligations of the Project Company

4.1  Securing the Project finance

     The Project Company shall assume the  responsibility  for financing all the
     investment expenses incurred in the implementation of the Project.

     One of the  conditions  for securing the Project  finance is that the loans
     must be  secured  by a  guarantee  provided  by the  state  of  North-Rhine
     Westphalia  and the  guarantee to be provided by the Client  referred to at
     Art. 2.6d).

4.2  Building permits and operating licences

     The Project  Company shall apply for all approvals,  permits,  licences and
     agreements  required  for  the  construction  of the  Complex  (hereinafter
     referred  to as  "permits")  without  delay.  The Client  shall  assist the
     Project Company in this to the best of its ability.

     If the permits  required  to build the  facility  are not  obtained on time
     despite the correct and proper submission of the application by the Project
     Company,  with the result  that the  Project  Company is unable to commence
     and/or complete  and/or  commission the Complex by the times for completion
     laid down in the  Investment  Agreement,  the Project  Company shall not be
     bound by the times for completion agreed in the Investment  Agreement.  The
     relevant times shall be put back by a period equivalent to the delay in the
     granting  of the permit  concerned. Should the  Project  Company  incur any
     additional costs (in particular interest on finance) as a result of a delay

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     for which the Project  Company was not at fault,  the Client  shall  refund
     said additional costs to the Project Company on top of the investment costs
     referred to at Art. 6.

     If the delay in  obtaining  the permits is  attributable  to the  incorrect
     completion  or  submission  of the  applications  for such  permits  by the
     Project  Company,  the  additional  costs  shall be  borne  by the  Project
     Company.

4.3  Construction of the Complex

     On conclusion  of the  Investment  Agreement,  receipt of all the necessary
     permits and securing of the finance,  the Project  Company shall  construct
     the  Complex in  accordance  with the offer  that  formed the basis for the
     wording of Resolution No. 860 passed by the Govemment of the City of Moscow
     on 10th November 1998. The incineration performance diagram for the Complex
     is attached to this Contract at Appendix 1.

4.4  Transfer of the Complex to the Client

     The Project  Company shall transfer  ownership of the Complex to the Client
     in a  fully  operational  condition  within  the  period  laid  down in the
     Investment Agreement but no later than 15 years after the Complex was taken
     into  operation.  The Project Company shall remain the owner of the Complex
     until such time as ownership of the Complex is transferred to the Client.

     A prerequisite  for the transfer of the property rights in the Complex from
     the  Project  Company  to the  Client  shall  be  payment  in  full  of the
     investment costs according to Art. 6 of this Contract by the Client.

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     The deadlines for and method and form of the transfer of property rights in
     the  Complex  from the  Project  Company to the Client must comply with the
     requirements  of  the  statutory   regulations  in  force  in  the  Russian
     Federation and shall be specified individually in the Investment Agreement.

                                    Article 5

                            Operation of the Complex

5.1  Contract for the Disposal of Municipal Solid Waste

     The Operator shall conclude a Contract for the Disposal of Municipal  Solid
     Waste  with  Ecotechprom  that  shall  be  valid  for the  duration  of the
     Investment  Agreement.  The Contract  for the  Disposal of Municipal  Solid
     Waste  shall  form the basis of the  Operator's  obligation  to ensure  the
     technical and commercial  operation and the  supervision and control of the
     Complex for the full term of the Investment  Agreement using the funds paid
     by Ecotechprom against the disposal fee in accordance with the Contract for
     the Disposal of  Municipal  Solid Waste.  In this  connection  the Operator
     shall ensure that the necessary personnel,  equipment and supplies are made
     available.  The Contract  for the  Disposal of Municipal  Solid Waste shall
     also  specify the  quantities  and the quality of the waste  delivered  for
     disposal.

5.2  Acceptance and processing of the municipal solid waste

     Based upon the more  detailed  terms of the  Contract  for the  Disposal of
     Municipal  Solid Waste,  the Operator  shall receive and process the wastes
     delivered by Ecotechprom in accordance with Art. 5.3.  Ecotechprom shall in
     return  for a  separate  fee take  delivery  and  dispose  of the  residual
     materials arising during processing of the waste.

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5.3  Supply and disposal of the waste

     Ecotechprom  shall guarantee the supply to the Complex of 240,000 tonnes of
     waste per year of a composition specified at Appendix 2 to this Contract.

     In the  event of the main  boiler  being  out of  operation  for a  lengthy
     period, e.g. during an  inspection  of the power  station  block,  the fuel
     recovered from the waste delivered to Ryasan power station during this time
     shall be taken to the  Ecotechprom  landfill.  The costs  incurred shall be
     incurred by the Operator.

     The remaining details with respect to the operation of the Complex shall be
     specified in the Contract for the Disposal of Municipal Solid Waste.

5.4  Furnishing of information on the operation of the Complex

     The Operator shall inform the Project  Company about the operating  process
     at the Complex.  The Operator  shall also inform the Client or  Ecotechprom
     without  delay should the  operation or the  operating  performance  of the
     Complex be impaired.

5.5  Commencement of work on the disposal of municipal solid waste

     The Operator shall  commence work on the disposal of municipal  solid waste
     as soon as the Complex is commissioned.

5.6  Fee for the disposal of municipal solid waste

     The amount of the disposal fee and the method of payment  thereof  shall be
     laid down in the  Contract  for the  Disposal  of  Municipal  Solid  Waste.

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     Payment in respect of the  services  to be  provided  for the  disposal  of
     municipal solid waste shall be made according to a two-part contract tariff
     made up of:

              a)       fixed costs

              and

              b)       variable costs relating to a tonne of as-received waste,

     The Parties are in agreement that the contract  tariff must cover the costs
     of customs fees and taxes that are to be paid by the Operator for operating
     the Complex  (with the  exception of taxes on profits).  In addition to the
     fee for the disposal of municipal  solid waste,  the Operator shall be paid
     an extra  sum in the  amount of 5.5 % of the  disposal  costs  incurred  to
     permit the formation of an adequate profit, which sum shall be incorporated
     in the fee for the disposal of municipal solid waste in accordance with the
     Contract for the Disposal of Municipal Solid Waste.

                                    Article 6

                   Elements and level of the investment costs

6.1  Basic price

     The Project Company shall construct the Complex in accordance with the more
     detailed terms of the Investment Agreement for a basic price totalling:

                                 DM 114,000,000

                 (one hundred and fourteen million German marks)

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6.2  Additional costs

     This basic price  covers the costs of  creating  the  Complex.  It does not
     include:

     o  the finance costs;

     o  the interest during the construction period;

     o  the costs of plant management and the warranty  services provided by the
        Project   Company  with  respect  to  preventive   maintenance  and  the
        replacement of defective plant components

     The  above  costs  shall be  calculated  separately  and added to the basic
     price.

6.3  Annual interest

     At the time this Contract is concluded the maximum  annual rate of interest
     for financing the costs of the investment  will be 14 %. This rate may vary
     before the Investment  Agreement is concluded.  In the event of a change in
     the interest  terms,  the rate of interest for the  investment  costs to be
     fixed in the Investment Agreement shall be amended accordingly.

6.4  Customs duties and taxes

     The basic price referred to at Art. 6.1 does not include any of the customs
     duties  and  taxes  levied  in  the  Russian  Federation.  These  shall  be
     determined  by the Project  Company  together with the Client in accordance
     with Art. 8 "Customs duties and taxes" and added to the basic price. In the

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     event of a change in the Russian regulations with respect to the levying of
     customs duties and taxes,  the Parties shall agree the extent of the change
     in the investment cots.

6.5  Investment costs

     Added together, the costs listed above represent the investment costs to be
     refunded  to the  Project  Company  by the  Client  under  the terms of the
     Investment Agreement still to be concluded.

6.6  Validity of the basic price

     The basic price  referred to at Art.  6.1 shall be deemed  binding  only if
     building  work on the  Complex has  commenced  by no later than 1st January
     2000 and the schedule detailed in the programme for the construction of the
     Complex (Appendix 3) can be met.

6.7  Payment plan and due dates

     The  payment  plan and the due dates for the  reimbursement  of  investment
     costs  shall be laid down in the  investment  Agreement.  The  periods  for
     payment  in  accordance  with the  Investment  Agreement  may be reduced by
     mutual consent.

6.8  Currency

     The payments laid down in the Investment Agreement shall be remitted by the
     Client in German marks.

6.9  Documentation

     The Project  Company  shall  submit a document  prepared  according  to the
     international  standard  to the Client  for each  payment  effected  by the

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     Client in which  confirmation  is given of the setoff of the  payment  made
     against  the  investment  costs to be  reimbursed  and the total  amount of
     payments already made is shown.

                                    Article 7

                            Obligations of the Client

7.1  Support for the Project Company by the Client

     The Client  shall  support the  Project  Company in the  fulfilment  of its
     duties under the terms of the  Investment  Agreement,  in  particular  with
     respect to the obtaining of permits in accordance with Art. 4.2.

7.2  Lease agreement for the Moscow site

     The  Client  shall  ensure  that  the  Project  Company  is able to sign in
     accordance  with  the  statutory   regulations  in  force  in  the  Russian
     Federation and in time for the planned start of building a lease  agreement
     with Moskomsem governing the use of the site in Moscow on which the Complex
     is to be  constructed  and permitting its operation by the Operator for the
     full term of the Investment Agreement.

7.3  Transfer and preparation of the Moscow site

     Before the start of building on the Moscow site the Client shall at its own
     expense:

     a) fence off and clear the Moscow site;

     b) build or repair the roads  leading to the  fenced-off  Complex  site and
        make changes to the infrastructure;

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     c) provide  the  necessary  service  (such as water,  gas and  electricity,
        heating and telephone) in the requisite quality and quantity at the site
        boundaries.

     The Client  shall ensure the constant  availability  of the  aforementioned
     services for the full term of the Investment Agreement.

     The  details  of the  site  preparation  work  shall  be  specified  in the
     Investment Agreement.

7.4  Payback of investment costs

     With the goal of financially  securing the transfer of title to the Complex
     from the Project  Company to the Client,  the Client shall  effect  regular
     payments to the Project  Company in an agreed  amount in  repayment  of the
     investment costs according to Art. 6.

7.5  Guarantee  of payment of the fee for the  disposal of municipal solid waste

     The  Client  guarantees  the  Operator  payment  in full of the fee for the
     disposal of the municipal solid waste according to Art. 5.6 by Ecotechprom.

7.6  Guarantee of acceptance of residual and recyclable materials

     The Client  guarantees the regular  acceptance and disposal of the residual
     and recyclable materials arising during waste processing by Ecotechprom.

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                                    Article 8

                            Customs duties and taxes

     Prior to the Investment  Agreement being signed the Project Company and the
     Client shall  ascertain the amount of customs duties and taxes that will be
     levied in Russia  and the City of Moscow  during the  investment  phase and
     specify the definitive  investment  costs (subject to any future changes to
     be taken into account) in the Investment Agreement.

     The Investment  Agreement shall include a provision  according to which the
     investment  costs will rise if the costs to be met by the  Project  Company
     increase  due to a  change  in the  statutory  regulations  of the  Russian
     Federation.

                                    Article 9

                  Changes in the general performance conditions

9.1  Changes in the costs

     The investment  costs and the fee for the disposal of municipal solid waste
     agreed in this Contract shall be ascertained on the basis of the underlying
     technical and economic conditions for the disposal of municipal solid waste
     at the time this Contract was concluded.  The Investment  Agreement and the
     Contract for the Disposal of Municipal Solid Waste shall therefore  include
     a  provision  according  to  which  the  corresponding  payments  shall  be
     reassessed if the underlying  technical and/or economic  conditions  change
     and these circumstances do not permit their being taken into account within
     the scope of the price  adjustment in accordance  with the Contract for the
     Disposal of Municipal  Solid  Waste.  Should  these  underlying  conditions

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     change  prior to the  Investment  Agreement  and/or  the  Contract  for the
     Disposal of Municipal Solid Waste being signed,  this change shall be taken
     into account when the definitive  investment costs and fee for the disposal
     of municipal solid waste are laid down in the relevant project contracts.

     The underlying conditions can change, for example, in the following cases:

     a) following a change in Russian  legislation  or the enactment of official
        directives that alter the essence of the contracts required to implement
        the Project;

     b) following  the  adoption  of  official  decisions  that  necessitate  an
        extension  to  or  conversion  of  the  Complex  or  impose   additional
        requirements on the Complex;

     c) if the  Russian  contracting  parties  involved  in the  waste  disposal
        process (in  particular  the  operators of Ryasan  power  station or the
        state Russian  railway) are not prepared to offer their  services to the
        Project  Company or the Operator on the terms and conditions  previously
        indicated.

9.2  Changes in conjunction with the results of financial engineering

     In the event of changes in the  implementation  concepts  described in this
     Contract   becoming   necessary  within  the  framework  of  the  financial
     engineering,  the Client and the  Contractor  shall reach a decision on the
     adjustments required as a result in the interests of both parties.

                                       23
<PAGE>

                                   Article 10

                                    Liability

     Matters with respect to the  liability of the Client,  the Project  Company
     and the other organisations  participating in the Project shall be governed
     by the  contracts  and  agreements  referred  to at Art.  2.6 and any other
     contracts and agreements required for the implementation of this Contract.

                                   Article 11

                              Regulatory Commission

     For the purposes of discussing  and  clarifying  any questions and problems
     arising during the performance of this Contract, the Parties shall set up a
     Regulatory  Commission  whose  composition  and tasks shall be laid down at
     Appendix 4 to this  Contract  (Stipulation  with respect to the  Regulatory
     Commission). If it is not possible to resolve a dispute between the Parties
     through the  involvement of the Regulatory  Commission  within six weeks of
     submission of an  application to convene the  Regulatory  Commission,  each
     Party  shall  be  entitled  to  instigate   proceedings  at  the  court  of
     arbitration in accordance with Art. 15 of this Contract.

     For the purposes of discussing  and  clarifying  any questions and problems
     arising  during  the  implementation  of the  Project,  the  contracts  and
     agreements  referred to at Art. 2.6 shall also provide for the formation of
     a Regulatory  Commission by the Parties.  The Regulatory  Commission  shall
     deal in particular, with all questions on which the Parties to the relevant
     contracts cannot reach agreement.

                                       24

<PAGE>

                                   Article 12

                                 Force majeure

     Where the Parties to this  Contract  are  prevented  from  fulflling  their
     duties arising out of this Contract through  circumstances and/or incidents
     of force majeure beyond their control, such as noninsurable natural events,
     strike,  fire  or  governmental  decisions,   their  obligations  shall  be
     suspended accordingly.

                                   Article 13

                                   Amendments

13.1 Trustful cooperation

     At the time this  Contract was concluded it was not possible to foresee and
     make full provision for any major  circumstances  resulting from technical,
     economic  and/or   statutory   legislative   developments  in  the  Russian
     Federation.

     In the event of an  amendment  to this  Contract  becoming  necessary,  the
     Client  and the  Contractor  therefore  undertake  to work  together  in an
     atmosphere of trust and reach an agreement accordingly.

     Above all, the principles of commercial  loyalty and the general principles
     of good faith shall apply in addition to the principles with respect to the
     allocation of rights and obligations as expressed in this Contract.

                                       25
<PAGE>

                                   Article 14

                      Term and termination of the Contract

14.1 Term

     This  Contract  shall take effect on being signed and expire on transfer of
     the property  rights in the Complex from the Project  Company to the Client
     in accordance with the terms of the Investment Agreement.

14.2 Termination of the Contract for important reasons

     The  Client  and the  Contractor  shall  have the right to  terminate  this
     Contract  prematurely  should the other Party fail to fulfil the terms laid
     down in this Contract.

     Prior to any  termination  of this  Contract,  the Client or the Contractor
     shall be granted an appropriate  period for remedying the  shortcomings  in
     the discharge of the Contract.  Said period shall be jointly  agreed by the
     Parties in each case taking into account the overall circumstances.

     If the conditions  entitling the Client or the Contractor to terminate this
     Contract  relate only to  individual  parts  hereof,  the  Contract  may be
     terminated  in  its  entirety  only  if the  parts  affected  are of  major
     significance for the realization of the Project.

14.3 Consequences of a termination of the Investment Contract

     If, after being concluded,  the Investment  Agreement is legally terminated
     or ended by other means, it shall also be deemed a termination of this Main
     Contract and shall not require an additional  declaration by the Parties to
     this effect.

                                       26
<PAGE>

     The Investment  Agreement shall include a clause  according to which in the
     event of its early  termination - for whatever reason - the Project Company
     shall be obliged to transfer the title to all the facilities, buildings and
     equipment  already  constructed  or installed in the Complex to the Client,
     provided  that the Client has  effected  the  compensation  payments to the
     Project Company provided for this event in the Investment Agreement.

                                   Article 15

                                   Arbitration

     All disputes  arising out of or related to this  Contract  shall be settled
     without  recourse in the legislature  under the rules of arbitration of the
     International  Chamber of Commerce by final  decision of three  arbitrators
     appointed in accordance with said rules.

     The arbitration proceedings shall be held in Zurich, Switzerland.

     All claims  relating to this  Contract  shall be governed by the law of the
     Russian Federation. The proceedings shall be held in German.

                                   Article 16

                      Concluding provisions and Appendices

16.1 Assignment of claims

     Unless otherwise  expressly  agreed elsewhere in this Contract,  the Client
     and the  Contractor  shall be entitled  to assign the rights  owing to them
     under the terms of this Contract only with the prior written consent of the
     other Party.

                                       27

<PAGE>

16.2 European Monetary Union

     On creation of European  Monetary  Union,  this Contract shall remain valid
     unchanged in the new  currency.  The DM amounts  contained in this Contract
     shall be converted to the single European currency at the relevant time.

16.3 Severability clause

     Should an  individual  provision of this  Contract be or become  invalid or
     unenforceable,  the  validity  of the  remaining  provisions  shall  not be
     affected  as a result.  In this case the  Client and the  Contractor  shall
     reach appropriate agreement on the replacement of such provisions.

16.4 Appendices

     The  Appendices  listed  below  represent  major  constituent  parts of the
     Contract:

     Appendix 1: Incineration performance diagram

     Appendix 2: Composition of the wastes

     Appendix 3: Schedule of work for the Complex

     Appendix 4: Stipulation   with  respect  to  the  Regulatory Commission

     The  Parties  to  this   Contract   agree  that  the   provisions   of  the
     above-mentioned  Appendices lay down only the  general  conditions  for the
     conclusion of the contracts  required for the realisation of the project as
     referred to at Art. 2.6

                                       28

<PAGE>

16.5 Written form

     Any  amendments  and additions to this Contract must be made in writing and
     be  signed  by  the  authorised  representatives  of  the  Client  and  the
     Contractor.

16.6 Language and number of copies

     This Contract shall be issued in  quadruplicate,  two copies in Russian and
     two in German.

     Gladbeck, dated                          Moscow, dated

     /s/                                      /s/
     ----------------------------------       -------------------------------
     on behalf of THG Ost-West mbH            on behalf of the City of Moscow
     Prof. Dr sc. Dr.-Ing. Heinz Holter       The First Deputy Premier of the
     Director                                 Government of the City of Moscow
                                              B. V. Nilkolsky

                                       29CONTRACT

                                     BETWEEN

                                LURGI LENTJES AG
                      Hansa Allee 305, D-40549 Dusseldorf

                                      with

                       LURGI ENERGIE UND ENTSORGUNG GMBH
                       Berliner Str. 93, D-40880 Ratingen

                                       AND

                     The nominated subcontracting CONSORTIUM

                              Heinrich Holter GmbH
                                D-45964 Gladbeck
                              as CONSORTIUM Leader
                                       and

                        Stramproy Projects & Systems B.V.
                              NL-6039 AP Stramproy

                     concerning the Project Lot 2 Dryer for

                  OPEN-END  JOINT STOCK COMPANY DONBASSENERGO,
                  acting under the law of STATUS and having its
                principle placo of business at 11, Lenin Prospect
                            GORLOVKA 338 001 UKRAINE

                                       I

<PAGE>

<TABLE>
<CAPTION>

                                                     CONTENTS

<S>      <C>                                                                                                      <C>
1.       PREAMBLE ................................................................................................1
2.       DEFINITIONS..............................................................................................2
3.       RELATIONSHIP OF THE PARTIES..............................................................................4
4.       SCOPES OF WORK AND PRICE.................................................................................6
5.       PAYMENT..................................................................................................7

6.       CONTRACT PERFORMANCE PHASE
6.1      SCHEDULE.................................................................................................8
6.2      not used.................................................................................................9
6.3      LIQUIDATED DAMAGES (OR "PENALTIES") DUE TO DELAY AND/OR
         PERFORMANCE..............................................................................................9
6.4      TAXES....................................................................................................9
6.5      DELAYS AND COSTS DUE TO DELAYS..........................................................................10
6.6      PATENTS.................................................................................................10
6.7      CHANGES.................................................................................................10
6.8      BANKRUPTCY, INSOLVENCY, DISSOLUTION, READJUSTMENT
         OF DEBT, LIQUIDATION, REORGANIZATION, ETC...............................................................11
6.9      INSURANCE...............................................................................................12
6.10     WARRANTY AND GUARANTEE CLAIMS...........................................................................12
6.11     FINANCIAL CAPABILITIES..................................................................................12

7        BREACH-DEFAULT..........................................................................................13

8        LIABILITY AND INDEMNIFICATION
8.1      LIABILITY AND INDEMNIFICATION WITH RESPECT TO CLAIMS
         OF THE CUSTOMER AND THIRD PARTIES.......................................................................14
8.2      LIABILITY FOR CLAIMS BETWEEN THE PARTIES................................................................15

9        DISPUTES................................................................................................16

10       GENERAL PROVISIONS
10.1     CONFIDENTIALITY OF THIS CONTRACT CORRESPONDENCE,
         DATA, DOCUMENTS AND DRAWINGS............................................................................17
10.2     PARTIES TO KEEP EACH OTHER INFORMED.....................................................................17
10.3     CORRESPONDENCE AND NOTICES..............................................................................18
10.4     WAIVER..................................................................................................18
10.5     ASSIGNMENT/SUBCONTRACTING...............................................................................18
</TABLE>

                                       II
<PAGE>

<TABLE>
<CAPTION>

<S>      <C>                                                                                                      <C>
10.6     TERM OF CONTRACT........................................................................................19
10.7     EXPULSION...............................................................................................19
10.8     ENTIRE CONTRACT.........................................................................................20
10.9     AMENDMENTS..............................................................................................20
10.10    TITLES..................................................................................................20
10.11    NUMBER OF ORIGINALS.....................................................................................20
10.12    PUBLICITY...............................................................................................20
10.13    REVIEW AND VERIFICATION.................................................................................21
10.14    not used................................................................................................21

APPENDICES:

0        CONTRACT AGREEMENT with CUSTOMER of LLAG/LEE
1        EQUIPMENT AND SERVICES SCOPE OF WORK
1.1      CONSORTIUM SCOPE OF SUPPLY
1.2      CONSORTIUM SCOPE OF SERVICES
1.3      TIME SCHEDULE FOR DATA AND DOCUMENTATION EXCHANGE
2        CONSORTIUM PRICE
3        PROJECT SCHEDULE AND DRAW DOWN SCHEDULE
4        GUARANTEED PLANT PERFORMANCE
5        not used
6        not used
7        COORDINATION OF THE SITE REQUIREMENTS
8        MECHANICAL ERECTION
9        SUPERVISORY SERVICES DURING WARRANTY PERIOD
10       TRAINING OF CUSTOMER'S STAFF/SUPERVISION OF OPERATION
11       TRANSPORT OF EQUIPMENT
12       not used
13       GENERAL PROCEDURE FOR PROOF OF PROGRESS/INVOICING/PAYMENTS/
         SECURITIES TO LLAG/LEE, GENERAL PROCEDURE FOR PAYMENTS/
         SECURITIES TO LLAG/LEE

14       not used

15       INSURANCE
</TABLE>

                                      III
<PAGE>

PART 1 -  PREAMBLE  This  Contract  is made on July  3rd  (degree),  2000 by and
between

LURGI LENTJES AG, a corporation organized and existing under the law of Germany,
with offices at Hansa Allee 305,  D-40549  Dusseldorf,  Germany  (herein "LLAG")
with

                    LURGI  ENERGIE  und  Entsorgung  GmbH  (hereinafter  LEE") a
                    corporation  organized and existing under the law of Germany
                    and having a place of business at Berliner  Str 93,  D-40880
                    Ratingen, Germany

and the CONSORTIUM

             Heinrich Holter GmbH a corporation  organized and existing under
the law of  Germany  with  offices  at  Beisenstr.  39-41,  D-45964  Gladbeck /
Stramproy  Projects & Systems B V organized  and  existing  under the law of the
Netherlands  and having a place of  business  al  Industrieweg  20.  NL-6039 AP
Stramproy

             with the consortial leaderships of Heinrich Holter GmbH

(hereinafter "the CONSORTIUM")

WHEREAS,  OPEN-END JOINT STOCK COMPANY  DONBASSENERGO (short "DONBAS"),  (herein
"CUSTOMER",   has  awarded  a  contract   for  the   Starobeshevo   Power  Plant
Modernization "turn-key" Project, Lot 2, Dryer (herein the "PROJECT") to LLAG;

                                       1
<PAGE>

WHEREAS, LLAG including LEE and the CONSORTIUM as nominated subcontractor desire
to enter into a Contract on an exclusive  basis  solely for the limited  purpose
for the execution and performance of a CONTRACT AGREEMENT with and for the final
CUSTOMER of LLAG for the design, supply, installation,  erection,  commissioning
and warranty of the PROJECT to an extent as specified in Appendix 1.

WHEREAS,  LLAG including LEE and the CONSORTIUM  desire to enter into a Contract
whereby with respect to the internal  relationship  among LLAG including LEE and
the CONSORTIUM this CONTACT will define their respective  rights and obligations
and their respective SCOPES OF WORK; and

NOW THEREFORE,  in  consideration of the premises and mutual covenants set forth
herein, the PARTIES hereto hereby agree as follows:

PART 2 - DEFINITIONS

For the purpose of this CONTRACT, the following words and phrases shall have the
following meanings:

2.1      CONTRACT - shall mean this document and all of its appendices.

2.2      COST - when used throughout this CONTRACT in reference to circumstances
         where costs may be incurred by one PARTY that may be borne, in whole or
         in part,  by the other  PARTY,  cost shall mean any  additional  direct
         costs,  exclusive  of profit and other  consequential  and/or  indirect
         costs,  which  are  incurred  related  to  the  specific  circumstance.
         Excluded from this definition are prices negotiated between the PARTIES
         for specific services as provided for in the CONTRACT.

2.3      CONTRACT AGREEMENT shall mean the document or documents  (including all
         amendments thereto) entered into between LLAG and the final CUSTOMER of
         LLAG on April 13th,  2000 and  executed by LLAG and the  CONSORTIUM  as
         nominated  subcontractor  which  defines  the  rights  and  obligations
         thereto with respect to the PROJECT.

2.4      CONSORTIUM shall mean the nominated  subcontractor Heinrich Holter GmbH
         / Stramproy Projects & Systems B.V.

2.5      not used

2.6      DRAW DOWN  SCHEDULE  shall  mean the  schedules  of  monthly  invoicing
         substantiated  by  the  supplies,  transportation  and  performance  of
         services according to the SCHEDULE.

2.7      LEADING  PROJECT  MANAGER shall mean be a person  nominated cy LLAG, to
         fulfll the duties set forth in this CONTRACT

2.8      not used

2.9      PARTIES shall mean the parties  executing this CONTRACT,  that is, LLAG
         including  LEE on the first part and the  CONSORTIUM  on the second pan
         (and its governed entities and affiliated  companies which are involved
         in this PROJECT),  and their permitted assigns.

2.10     PARTY shall mean one of the PARTIES.

                                        2
<PAGE>

2.11     PROJECT  shall mean the  design,  supply,  construction,  installation,
         erection,  commissioning  and  warranty  of the  dryer  plant  and  all
         associated  services  and  works  to be  provided  under  the  CONTRACT
         AGREEMENT.

2.12     PLANT PERFORMANCE  GUARANTEES shall mean those  performance  guarantees
         agreed to in the CONTRACT AGREEMENT.

2.13     PROPOSAL  shall  mean the  formal  offer  signed  by LLAG to the  final
         CUSTOMER which consists of the first Stage Tender  submitted on July 1,
         1997 and the Second Stage Tender submitted on January 21, 1993.

2.14     SCHEDULE shall mean the PROJECT  SCHEDULES as set forth in  Appendix  3
         to this CONTRACT or any amendments hereto.

2.15     SCOPE OF WORK shall mean, the sum total of the  CONSORTIUM'S  supply of
         equipment and services as set forth in Appendix 1 to this CONTRACT.

2.16     TENDER  DOCUMENTS shall mean the Invitation for Bids, with its integral
         parts,  if any,  issued  by the  CUSTOMER  and any  further  amendments
         thereto  including  the official  correspondence  with the CUSTOMER and
         protocols of meetings.

2.17     THIRD PARTY shall mean any party, person or other entity other than the
         PARTIES and the CUSTOMER.

2.18     PRICE  shall  mean the  amount of  moneys  for the SCOPE OF WORK of the
         CONSORTIUM as agreed in Appendix 2, including all amendments hereto.

                                       3
<PAGE>

PART 3 - RELATIONSHIP OF THE PARTIES

3.0      The  PARTIES  hereby  enter  into a  CONTACT  for the sole and  limited
         purpose of (1) performing  the CONTRACT  AGREEMENT and (2) defining the
         rights and  obligations  between  the  PARTIES in  connection  with the
         performance of the CONTRACT AGREEMENT, and for no other purpose.

3.1      not used

3.2      not used

3.3      Upon the signing of this CONTRACT, each PARTY will appoint by a written
         notice to the other PARTY a  "representative"  fully authorized by such
         PARTY to act on its behalf in connection with all matters arising under
         this CONTRACT. A PARTY may at any time and from time to time change its
         "representative" by written notice to the other PARTY. Each PARTY shall
         appoint  an  alternate  representative  to act in  the  absence  of its
         "representative".  Any  representative not an employee of a PARTY shall
         be subject to approval by the other PARTY

3.4      not used

                                       4

<PAGE>

3.5      Nothing  contained  in  this  CONTRACT  is  intended  nor  shall  it be
         construed as creating a partnership  or joint venture among the PARTIES
         nor as creating or requiring any ongoing or continuing  relationship or
         commitment  among the PARTIES,  beyond that  relationship  specifically
         created by this CONTRACT.

3.6      not used

3.7      No PARTY shall be deemed to be a  representative,  agent or employee of
         any  other  PARTY,  by  contract,  by  employment  or for  any  purpose
         whatsoever.

3.8      No PARTY  shall  have the  authority  or right nor shall any PARTY hold
         itself  out as  having  the  authority  or right to  assume,  create or
         undertake any obligation of any kind whatsoever,  expressed or implied,
         nor accept  service of any legal process on behalf of or in the name of
         any other PARTY without the express prior written  consent of the other
         PARTY.

3.9      not used

3.10     not used

3.11     This CONTRACT  contains all of the  obligations  of the PARTIES to each
         other with respect to the PROJECT.  Except as stated herein the PARTIES
         shall have no other  obligations,  excluding those implied by mandatory
         law, to each other.

3.12     LLAG / LEE shall  consult with the other PARTY on all issues  affecting
         implementation  and performance of the CONTRACT  AGREEMENT,  and LLAG /
         LEE shall  communicate  to the CUSTOMER  any  decisions  involving  the
         CUSTOMER reached by the PARTIES after such consultation

3.13     not used

                                       5
<PAGE>

PART 4 - SCOPES OF WORK AND PRICE

4.1      Generally it is agreed that the SCOPE of WORK of the  CONSORTIUM  shall
         be complete and that any incompleteness has to be settled inbetween the
         CONSORTIUM without any responsibility for LLAG / LEE

         The members of the CONSORTIUM shall be jointly and severally liable for
         the performance of the SCOPE OF WORK.

4.2      It is expressly  understood and agreed that the  CONSORTIUM'S  SCOPE OF
         WORK is subject to and to be performed  strictly in accordance with the
         terms  and  conditions  of  the  CONTRACT  AGREEMENT  signed  with  the
         CUSTOMER. Each PARTY shall be responsible for all costs associated with
         CONTRACT AGREEMENT requirements for completion of its SCOPE OF WORK.

4.3      PRICE

4.3.1    The price for the SCOPE OF WORK of the CONSORTIUM  shall be recorded in
         Appendix 2, which is attached  hereto and deemed to be an integral part
         of this CONTRACT.

4.3.2    In case of  substantial  changes in the technical  concept  agreed upon
         between the PARTIES and proposed by LLAG / LEE during Project execution
         to the CUSTOMER and subject to amendment of the CONTRACT AGREEMENT both
         PARTIES are prepared to negotiate the respective price.

4.3.3    A final  recalculation shall be made at the end of the execution of the
         CONTRACT  respectively of the CONTRACT AGREEMENT to reflect all changes
         in the SCOPE OF WORK the  CONSORTIUM if these are agreed before between
         the Parties or related to change orders of the CUSTOMER.

4.4      The CONSORTIUM is solely  responsible  for the performance of its SCOPE
         OF WORK and any and all  expenses  and  liabilities  that may  arise in
         connection   therewith  unless  otherwise   provided  for  herein.  The
         CONSORTIUM is responsible for maintaining its own financial  accounting
         records  related to its SCOPE OF WORK. Any loss or profit  sustained by
         the CONSORTIUM in connection with Its SCOPE OF WORK shall be solely the
         responsibility  of  and  for  the  account  of  the  CONSORTIUM  unless
         otherwise provided for herein.

4.5      Each PARTY will be under the obligation to pay reasonable  attention to
         mitigate its damages in the event of the other  PARTY's  default  under
         this CONTRACT or the CONTRACT AGREEMENT.  If one PARTY becomes aware of
         a  situation  in which the other  PARTY may be damaged  by its  default
         under this  CONTRACT  or the  CONTRACT  AGREEMENT,  the PARTY with such
         knowledge  will  contact the other PARTY and will  attempt to come to a
         understanding  on the  best  way to  mitigate  or  avoid  such  damages
         including  the  possibility  of doing extra work (at the expense of the
         defaulting PARTY)

4.6      The  CONSORTIUM  shall  provide  and bear the  costs  for any bonds and
         financial guarantees as back up for LIAG / LEE for its SCOPE OF WORK as
         required by the  CONTRACT  AGREEMENT or as  reasonably  required by the
         other PARTY.  Such bonds and  financial  guarantees  are to be provided
         based on the price as per Appendix 2

                                       6

<PAGE>

PART 5 - PAYMENT

5.1      The PRICE as per Appendix 2 fully covers the CONSORTIUM's SCOPE OF WORK
         and the contractual obligations specified hereunder.

5.2      Payment  will be in  accordance  with the  CONTRACT  AGREEMENT  and the
         agreed  payment  schedule  (Draw Down Schedule as per Article 6.1.2) as
         per Appendix 3 of This CONTRACT.

5.3      The  CONSORTIUM  shall assume all risks for the payment by the CUSTOMER
         of its portion of the CONTRACT  AGREEMENT  price  corresponding  to its
         SCOPE OF WORK under the  CONTRACT  AGREEMENT  as per Appendix 2 such as
         payment  delay,  non-payment  or any other  loss or damage  that may be
         incurred  under the CONTRACT  AGREEMENT,  unless the PARTIES agree to a
         different arrangement. The CONSORTIUM shall not be entitled to make any
         claims  against  the other  PARTY for any losses or damages  whatsoever
         incurred by means of the above payment arrangements

                                        7
<PAGE>

PART 6 - CONTRACT PERFORMANCE PHASE

6.1      SCHEDULE

         LLAG / LEE will prepare the overall  PROJECT  SCHEDULE's  involving the
         PARTIES.  It is essential for effective CONTRACT AGREEMENT  performance
         that the PARTIES remain aware, at all times, of the time interfaces and
         interactions of their  respcctrve  SCOPES OF WORK. These interfaces and
         interactions may change as a result of delays  (unexcused or otherwise)
         or changes to a PARTY's SCOPE OE WORK. The SCHEDULE's  will be attached
         hereto as Appendix 3 and will be updated as required  during the course
         of the PROJECT and such updates  shall be deemed to be an integral part
         of this CONTRACT

6 1.1    PROJECT SCHEDULES

         LLAG / LEE will prepare the PLANT PERFORMANCE  GUARANTEES involving all
         PARTIES  (unit  power   consumption)  based  on  information  from  the
         CONSORTIUM. The CONSORTIUM input will be based on its SCOPE OF WORK. It
         is essential  for effective  CONTRACT  AGREEMENT  performance  that the
         CONSORTIUM  fully realizes the importance of its respective  input into
         the  guaranteed  plant  performance.  The  listing  of  the  CONSORTIUM
         supplied equipment performance  requirements will be attached hereto as
         Appendix 4 and shall be deemed to be an integral part of this CONTRACT.
         The  CONSORTIUM   will  be  solely   responsible  for  all  performance
         guarantees,  availability guarantees and all other technical guarartees
         related to Its respective SCOPE OF WORK.

6.1.2    DRAW DOWN SCHEDULE

         The schedules 1 to 5 and 7 of the PROPOSAL  (Spreading out of Payments)
         shall be detailed and revised accordingly by the PARTIES.

         The new  schedules  shall be the  basis  for a  consolidated  DRAW DOWN
         SCHEDULE.  This  DRAW  DOWN  SCHEDULE  shall  be used  for the  monthly
         invoices.  Such  consolidated  DRAW DOWN  SCHEDULE  was  elaborated  by
         LLAG/LEE in consultation with the CONSORTIUM and submitted for approval
         to the CUSTOMER.  Work progress and deliveries shall be verified by the
         Monthly Progress Measuring System as means for the CUSTOMER's  approval
         of the  monthly  invoices.  This DRAW  DOWN  SCHEDULE  shall  become an
         integral part of this CONTRACT and shall be attached hereto as Appendix
         3 in such  revision as agreed upon between  LLAG/LEE and the  CUSTOMER.
         Until and unless  otherwise agreed with the CUSTOMER the Schedules 1 to
         7 as submitted in the PROPOSAL shall be binding to the PARTIES.

                                        8

<PAGE>

6.2      not used

6.3      LIQUIDATED DAMAGES AND/OR "PENALTIES" DUE TO DELAY AND/OR PERFORMANCE

         Notwithstanding  any  stipulations  to the  contrary  set  forth in the
         CONTACT  AGREEMENT,  the internal  responsibility and liability between
         the PARTIES are mutually agreed as follows:

6.3.1    a) In the event  that  "Completion  of  Facilities"  as  defined in the
         CONTRACT  AGREEMENT is not achieved  within the time  stipulated in the
         Project  Schedule and this delay is not due to reasons  attributable to
         LLAG/LEE or the CUSTOMER or not otherwise excused under the CONTRACT or
         the CONTRACT AGREEMENT, the CONSORTIUM shall bear and pay the following
         liquidated damages:  for each full week of delay an amount of 1% of the
         PRICE up to a maximum of 14%.

         It is understood by the PARTIES that in no event liquidated damages for
         delay  attributable  to the CONSORTIUM  will be in excess of liquidated
         damages as stipulated in the CONTRACT AGREEMENT.

         b) In the event that the  technical  performance  guarantees  under the
         CONTRACT  AGREEMENT  are not  achieved  and this is not due to  reasons
         attributable  to LLAG/LEE,  the CUSTOMER or is otherwise  excused under
         the CONTRACT  AGREEMENT;  any Liquidated  damages and/or  penalties for
         performance,  availability and/or all other technical ouarantees due to
         the CUSTOMER  under the CONTRACT  AGREEMENT  shall be borne and paid by
         the CONSORTIUM.

6.3.2.   It is agreed that the sole basis for determining responsibility between
         or among  the  PARTIES  for any  liquidated  damages  and/or  Penalties
         described in Paragraph  6.3.1 of this Part will be the Appendices 3 and
         4 hereto and as specifed in the CONTRACT AGREEMENT.  In determining who
         is responsible for a delay (or part thereof) the SCHEDULES  (Appendix 3
         hereto) shall be used. Deviations from the SCHEDULES shall be evaluated
         and  delays  not  affecting  the  completion  shall not be  considered.
         Instances of concurrent  delay to completion  shall be treated as being
         of  undetermined  responsibility.  In such case penalties will be split
         among the PARTIES such that the CONSORTIUM  shall be responsible to the
         extent  as  defined  by the  PRICE  versus  the  price of the  CONTRACT
         AGREEMENT.

6.4      TAXES

         The  CONSORTIUM  shall  have full and sole  responsibility  to bear the
         expense  of and effect the  payment  of any  taxes,  duties,  including
         customs duties, fees or assessments of any nature whatsoever  including
         penalties and interest,  if any, provided for in the CONTRACT AGREEMENT
         and levied in  connection  with its SCOPE OF WORK and any  subcontracts
         entered by it (including any personal income taxes levied or imposed on
         any of its  employees  or personnel  or any of its  subcontractor's  or
         assignees' employees or personnel).

                                        9

<PAGE>

6.5      DELAYS AND COSTS DUE TO DELAYS

         In the event the  CONSORTIUM  for any reason  whatsoever  foresees  any
         delay or default in the  performance of its SCOPE OF WORK in accordance
         with the  SCHEDULE  (Appendix,  3), it shall  notify  the  other  PARTY
         accordingly.

6.5.1    not used

6.5.2    EXCLUSION

         In no event  will a PARTY be  liable  to the  other  PARTY  for loss of
         profit and other indirect or consequential loss or damage,  unless such
         damage  or loss  are the  result  of the  gross  negligence  /  willful
         misconduct of such PARTY. It is understood  that claims  resulting from
         the  CUSTOMER or third  parties will not be  considered  as indirect or
         consequential damage or loss.

6.6      PATENTS

         The CONSORTIUM will be solely responsible for any claims or damages due
         to patent  infringement  which arise out of or are  connected  with its
         SCOPE OF WORK and agrees to  indemnify,  defend and hold  harmless  the
         other  PARTY  against  any loss or  damage  that may  result  from such
         claims.

6.7      CHANGES

         The  CONSORTIUM  may submit  claims to the CUSTOMER for  additional  or
         changed  work  which  are  not  part  of  the  CONTRACT  AGREEMENT,  in
         consultation with and through LLAG / LEE only.

         In the event that a claim to the  CUSTOMER has been  submitted,  but is
         not  successful in gaining  additional or  sufficient  payments  and/or
         SCHEDULE  extensions,  from the CUSTOMER in connection  with claims for
         changes in the  CONTRACT  AGREEMENT  work or extra work  thereto,  then
         except as otherwise provided in this CONTRACT, any additional costs and
         liabilities that may result shall be borne by the CONSORTIUM.

                                       10
<PAGE>

6.8      BANKRUPTCY INSOLVENCY,  DISSOLUTION  READJUSTMENT OF DEBT, LIQUIDATION,
         REORGANIZATION, ETC.

         The following provisions shall, in any event, be given effect solely in
         accordance with the relevant legislation of the country of residence of
         the  affected  PARTY.   Subject  to  the  provisions  of  the  CONTRACT
         AGREEMENT, in the event that the CONSORTIUM

         (1) Makes an assignment  for the benefit of creditors,  or petitions or
         applies for or arranges for the appointment of a trustee, liquidator or
         receiver,  or  commences  any  proceeding  relating to itself under any
         bankruptcy,  reorganization for the benetit of creditors,  arrangement,
         insolvency, readjustment of debt, dissolution or liquidation or similar
         law of any jurisdiction,  now or hereafter in effect  or otherwise,  or
         shall be adjudicated bankrupt or insolvent; or

         (ii) If any petition or application  for the  appointment of a trustee,
         liquidator  or  receiver  of  the   CONSORTIUM  is  filed  against  the
         CONSORTIUM  or any  proceeding  relating  to the  CONSORTIUM  under any
         bankruptcy,  reorganization for the benefit of creditors,  arrangement,
         insolvency,  readjustment of debt, dissolution or liquidated or similar
         law of any jurisdiction now or hereafter in effect is commenced against
         the  CONSORTIUM  and the  CONSORTIUM  indicates  its approval  thereof,
         consent  thereto  or  acquiescence  therein,  or an  order  is  entered
         appointing any such trustee, liquidator or receiver;

then and in any such event.

         (a) not used

         (b) LLAG /LEE may take over and complete the CONSORTIUM'S SCOPE OF WORK
         and in so doing,  LLAG / LEE shall be entitled to have assigned to them
         all of the CONSORTIUM'S  accounts  receivable and related payments from
         the CUSTOMER in connection with the PROJECT.

         (c)  LLAG / LEE  shall  have  the  exausive  use and  possession  and a
         preferred   lien  on  all   the   CONSORTIUM's   equipment   (excluding
         manufacturing  facilities),  temporary  works,  materials and all other
         things  used or  supplied  by the  CONSORTIUM  in  connection  with the
         PROJECT. It is agreed that the CONSORTIUM will take whatever actions or
         measures as may be required to establish this preferred lien.

         (d) The  CONSORTIUM  shall be fully  responsible  for and shall  remain
         liable for all additional COSTS incurred in the completion of its SCOPE
         OF WORK.

                                       11
<PAGE>

6.9      INSURANCE

6.9      The CONSORTIUM shall be responsible for arranging insurance policies as
         described in Appendix 15, to cover the SCOPE OF WORK for this PROJECT.

6.9.2    not used

6.10     WARRANTY AND GUARANTEE CLAIMS

         The following  procedure will apply to CUSTOMER  complaints  related to
         warranty deficiencies under the CONTRACT AGREEMENT:

6.10.1   If the alleged  deficiencies are in the CONSORTIUM's SCOPE OF WORK, the
         CONSORTIUM shall correct the deficiency at its expense.

6.10.2   If the  CUSTOMER  alleges  deficiencies  in any  equipment  or services
         supplied under the CONTRACT  AGREEMENT and the CONSORTIUM  disputes the
         allegation,  LLAG / LEE shall convey the  CONSORTIUM'S  response to the
         CUSTOMER regarding such alleged deficiencies.

6.10.3   If the CUSTOMER claims a warranty  deficiency  within the SCOPE OF WORK
         of the CONSORTIUM and cannot be convinced that the deficiency  does not
         exist or is beyond the scope of the CONTRACT AGREEMENT,  then, provided
         that LLAG insists on correction,  the CONSORTIUM  shall he obligated to
         correct the claimed deficiency.

6.10.4   not used

6.11     FINANCIAL CAPABILITIES

6.11.1   not used

6 11.2   The CONSORTIUM agrees that it Will, if requested to do so, demonstrate,
         in  a  manner  reasonably   acceptable  to  LILAC/LEE,   its  financial
         capability to assume the risks  associated with its respective SCOPE OF
         WORK.  LLAG/LEE  agrees  that such  request  for  financial  capability
         information shall not be made witnout reasonable cause.

                                       12
<PAGE>

PART 7 - BREACH - DEFAULT

7.1      In the  event  there  is a  breach  of the  CONTRACT  AGREEMENT  by the
         CUSTOMER,  the PARTIES  shall  expeditiously  meet to consider the most
         equitable  method  of  proceeding,  but  no  PARTY  shall  abandon  (or
         otherwise cease or delay performance of) the CONTRACT AGREEMENT without
         the consent of the other PARTY.

7.2      In the event that the  CONSORTIUM  is in breach or  default  under this
         CONTRACT or there is a breach or default  under the CONTRACT  AGREEMENT
         with the CUSTOMER  attributable  to the  performance of the CONSORTIUM,
         and such  breach or default is not cured or  reasonable  action to cure
         has not been  initiated  within thirty (30) days after  written  notice
         thereof,   or  within  the  time  period  prescribed  in  the  CONTRACT
         AGREEMENT,  as the case may be, LLAG / LEE shall take over and complete
         the CONSORTIUM's SCOPE OF WORK, provided such completion is permissible
         under the CONTRACT AGREEMENT or by the CUSTOMER. Such decision shall be
         subject  to  PART 9  (Disputes)  of  this  CONTRACT,  but in any  event
         proceedings  under PART 9 shall not prevent the  implementation  of the
         steps described herein

         In such event, LLAG / LEE shall automatically have the right to receive
         any and all payment due to the  CONSORTIUM  from the CUSTOMER and apply
         the proceeds  thereof (i) to cover all  expenses  incurred by the other
         PARTY in taking over and  completing (by  subcontracting  or otherwise)
         the  CONSORTIUM's  SCOPE OF WORK,  and (ii) to establish a  contingency
         fund to cover any and all outstanding  warranties or other  obligations
         of the  CONSORTIUM in  completing  the  CONSORTIUM's  SCOPE OF WORK. In
         addition, LLAG / LEE (i) shall have the exclusive use and possession of
         all the  CONSORTIUM's  equipment,  temporary  works,  materials and all
         other things used or supplied by the CONSORTIUM in connection  with the
         PROJECT,  at the site of the  PROJECT  and (ii) shall have a  preferred
         lien on all such equipment,  temporary  works,  materials and all other
         things  used or  supplied  by the  CONSORTIUM  in  connection  with the
         PROJECT at the site of the  PROJECT in order to  satisfy  any  expenses
         incurred by LLAG / LEE in completing the CONSORTIUM's SCOPE OF WORK.

7.3      In the event of a breach or default as describe  above,  the CONSORTIUM
         agrees to  indemnify,  defend and hold LLAG / LEE harmless from any and
         all liability  (including but not limited to liquidated damages,  fines
         or  penalties  of  whatever  nature  and to excess  COSTS and  expenses
         associated with the  CONSORTIUM's  SCOPE OF WORK) incurred by the LLAG/
         LEE as a result of such breach or default.

                                       13
<PAGE>

PART 8 - LIABILITY AND INDEMNIFICATION

8.1      LIABILITY AND  INULMNIFICATTION  WITH RESPECT TO CLAIMS OF THE CUSTOMER
         AND THIRD PARTIES

8.1.1    During  the  life of this  CONTRACT  and the  CONTRACT  AGREEMENT,  the
         CONSORTIUM accepts full responsibility for the performance of its SCOPE
         OF WORK and (except as expressly  provided  otherwise  herein or in the
         CONTRACT  AGREEMENT  with the  CUSTOMER)  agrees to indemnify  and hold
         harmless the other PARTY from any claim made against the other PARTY by
         the  CUSTOMER or other THIRD PARTY to the extent that such claim arises
         in  connection  with said  indemnifying  PARTY's  SCOPE OF WORK for any
         breach or default of the CONTRACT or the  CONTRACT  AGREEMENT or is due
         to the indemnifying PARTY's fault or negligence.

         Such responsibility includes but is not limited to,

         1. Claims by the  CUSTOMER  for damages  (including  but not limited to
            liquidated  damages  and  penalties  as set  forth in PART  6.3) and
            claims of other THIRD  PARTIES for  damages,  arising in  connection
            with the performance or non-performance of the indemnifying  PARTY's
            SCOPE OF WORK;

         2. Claims of subcontractors or suppliers of the indemnifying  PARTY for
            work  performed  or  materials  or  equipment  sold or  furnished in
            connection with the PROJECT;

         3. Claims  for  wages,   worker's   compensation  (or  equivalent)  and
            non-payment of social charges,  income taxes,  and payroll taxes for
            employees  of  the  indemnifying   PARTY  (including   subcontractor
            employees) engaged in connection with the PROJECT;

         4. Claims or payments made with respect to any bonds furnished;

         5. Claims for taxes,  license fees,  duties,  tariffs,  imports and the
            like in connection with the PROJECT; and

         6. Claims for damages  arising from personal injury  (including  death)
            and property damage.

8.1.2    not used

8.1.3    In the event of a dispute which PARTY may be responsible  for any claim
         under the CONTRACT  AGREEMENT or  otherwise,  both PARTIES shall have a
         duty to  investigate  to determine who is  responsible  and to take all
         reasonable means of remedying the situation and resolving such dispute.
         Meanwhile,  each PARTY shall  continue  performance  of its  respective
         SCOPE OF WORK.

8.1.4    not used

                                       14

<PAGE>

8.2      LIABILITY FOR CLAIMS BETWEEN THE PARTIES

8.2.11   Except as  otherwise  stated  in this  CONTRACT,  all risks  (including
         political  risks) and costs  (including any loss of profit) arising out
         of  the  performance  of  its  SCOPE  OF  WORK  and  the   CONSORTIUM'S
         participation  in this CONTRACT shall be solely the  responsibility  of
         the CONSORTIUM.

8.2.2    During the life of this CONTRACT and the CONTRACT AGREEMENT, each PARTY
         shall be liable for and shall  indemnify  and hold  harmless  the other
         PARTY against its own default.

8.2.3    If, as a result of defects in the CONSORTIUM'S SCOPE OF WORK, the other
         PARTY reasonably concludes that changes should be made to its own SCOPE
         OF WORK,  the  CONSORTIUM  shall  reimburse  the  other  PARTY  for the
         additional  COSTS  demonstrably  incurred  by the PARTY not at fault in
         implementing the said changes in its SCOPE OF WORK.

8.2.4    not used

8 2.5    not used

8.2 6    Loss or damage which is suffered by a PARTY, and which is fully covered
         by  insurance  payable to that PARTY,  or which is  recovered  from the
         CUSTOMER,  shall not serve as the basis for any claim against any other
         PARTY.

8.2.7    not used

8.2.8    Notwithstanding  anything  to the  contrary  in  this  CONTRACT  or the
         CONTRACT AGREEMENT with the CUSTOMER, the PARTIES' total responsibility
         and  liability,  including but not limited to any liability  whether by
         contract,  tort,  negligence,  warranty or otherwise and under PART 6.3
         dealing with  liquidated  damages  and/or  penalties  and any liability
         under PART 8 above, to the other PARTY, the CUSTOMER and THIRD PARTIES,
         is limited to the maximum liability  therefore provided in the CONTRACT
         AGREEMENT as enforced.

                                       15
<PAGE>

PART 9 - DISPUTES

9.1      Any  differences  or  disputes  arising  from  this  CONTRACT  or  from
         arrangements  regarding its performance shall be settled by an amicable
         effort of the PARTIES.  Such effort shall be deemed to have failed when
         one of the PARTIES so notifies the other PARTY in writing.

9.2      If the effort of an amicable  settlement has failed,  the dispute shall
         be finally settled under the Rules of  Conciliation  and Arbitration of
         the  International  Chamber of  Commerce,  38 cours  Albert ler,  75008
         Paris,  by three  arbitrators  appointed  in  accordance  with the said
         Rules. This Contract shall in all respects be construed and interpreted
         in accordance with German Law.

9.3      The place of arbitration  shall be Dusseldorf, Germany. The language of
         proceedings shall be English.

9.4      The arbitral award shall be substantiated in writing and shall be final
         and binding on all PARTIES who  undertake  to carry it out  immediately
         without  raising  any  condition,  exception  or  objection  whatsoever
         especially  in their own  country.  The  arbitral  tribunal  shall also
         decide on the matter of costs of the arbitration.

9.5      In case of dispute on a technical  matter,  the  PARTIES  agree to have
         recourse  as  occasion  requires  to  the  International   Chamber  for
         Technical  Expertise  of  the  International  Chamber  of  Commerce  in
         accordance  with the Rules of expertise  of the said Chamber  which are
         well known to the PARTIES.

                                       16
<PAGE>

PART 10  GENERAL PROVISIONS

10.1     CONFIDENTIALITY  OF THIS CONTRACT  CORRESPONDENCE  DATA,  DOCUMENTS AND
         DRAWINGS

10.1.1   No PARTY  shall use this  CONTRACT or the  information  supplied by any
         other PARTY for any purpose other than that intended,  nor transmit any
         written  information or documents or this CONTRACT,  to any THIRD PARTY
         for any  purpose  not  intended  by this  CONTRACT  without the express
         permission  in writing to do so by the other  PARTY. The  PARTIES  will
         maintain  the  confidential  nature  of any  information  or  documents
         received from another PARTY.

10.1.2   Notwithstanding the foregoing,  the obligation of confidentiality shall
         not apply to information which:

         a) is within or later falls within the public  domain  through no fault
            of the receiving PARTY;

         b) is or become  available to the  receiving  PARTY from THIRD  PARTIES
            without breach of any confidential Contract;

         c) was already known to a PARTY at the time of its disclosure;

         d) is disclosed to ECA's and other financial institutes for the purpose
            of  arranging  the  financial  support  to the  PROJECT  subject  to
            confidentiality Contract equivalent to this Part or

         e) is required to disclose by any law or by the  direction of any court
            of competent jurisdiction acting in pursuance of its powers

            The obligation of confidentiality  under this Part shall survive any
            termination  of this  CONTRACT  for a period of five (5) years after
            such termination.

10.2     PARTIES  TO  KEEP  EACH  OTHER  INFORMED

         Each PARTY shall keep the other PARTY  fully and  promptly  informed of
         all  progress,  events and matters  affecting  or relating to the other
         PARTY's  SCOPE OF WORK and  shall,  without  delay,  give all  relevant
         information and cooperation properly requested by the other PARTY. This
         actively shall be coordinated by LLAG/LEE.

         Such  information  shall include the  furnishing on a timely,  periodic
         basis  conceptual  or  basic  design,   detailed  design,   quantities,
         schedules and status reports  covering  activities such as engineering,
         major   procurements,    major   manufacturing,    factory   shipments,
         transportation to site, erection, installation and testing

                                       17
<PAGE>

10.3     CORRESPONDENCE AND NOTICES

         Notices  required  under  this  CONTRACT  shall  be  signed  by a  duly
         authorized representative of the PARTY initiating such notice and shall
         be either delivered to an officer or authorized  representative  of the
         PARTY to whom it is directed or sent by mail postage  prepaid,  telefax
         or by  courier,  to the  following  addresses  (which may be changed by
         written notice from the PARTY in question.

                  for LLAG / LEE
                  ATTENTION. Mr. GeBner
                  LURGI  ENERGIE UND  ENTSORGUNG  GMBH
                  Berliner  Str 93
                  D-40880 Ratingen, Germany Telephone +49 2101 92-2147

                  for the CONSORTIUM
                  ATTENTION: Mr. Wolter
                  Heinrich Holter GmbH
                  Beisenstr 39-41, D-45964 Gladbeck
                  Telephone: +49 2043 978-135

10.4     WAIVER

         No PARTY  hereto  shall be deemed to have waived any  provision of this
         CONTRACT  unless such waiver will be in writing and signed by the other
         PARTY and  specifying  the extent and nature of such waiver.  No waiver
         shall be deemed to be a continuing  waiver  unless so stated in writing
         and signed by the PARTIES.

10.5     ASSIGNMENT/SUBCONTRACTING

         The CONSORTIUM may not assign, subcontract or delegate this CONTRACT or
         any of its rights or  obligations  under this  CONTRACT or the CONTRACT
         AGREEMENT  without  the  prior  written  consent  of LLAG / LEE,  which
         consent  shall  not be  unreasonably  withheld.  Nothing  herein  shall
         prevent the CONSORTIUM from placing or permitting the placing of orders
         on others for the supply of goods or services within CONSORTIUM's SCOPE
         OF WORK.  Such  assignment  and the placing of such orders shall not in
         any way relieve the CONSORTIUM from any of its  obligations  under this
         CONTRACT or the CONTRACT AGREEMENT.

                                       18

<PAGE>

10.6     TERM OF CONTRACT

         This CONTRACT shall commence upon coming into force (effective date) of
         the  CONTRACT  AGREEMENT  with the  CUSTOMER of LLAG signed April 13th,
         2000 and shall  terminate  upon  occurrence of any of the events listed
         below,

                    a      The  CONTRACT  AGREEMENT  with the  CUSTOMER has been
                           fully  performed  in  accordance  with its  terms and
                           conditions,  full and complete  payment has been made
                           thereon and all rights and  liabilities  with respect
                           to the CUSTOMER have  terminated or expired and there
                           are no  liabilities to be adjusted among the PARTIES;
                           or

                    b.     The CONTRACT AGREEMENT has been terminated,  provided
                           there are no liabilities  to be adjusted  between the
                           PARTIES,  in which  event,  upon  completion  of such
                           adjustments  between  the  PARTIES,  and  after  full
                           payment has been made pursuant thereto; or

                    c.     The  PARTIES  agree  in  writing  to  terminate  this
                           CONTRACT.

         Any termination of this CONTRACT for whatever cause shall not affect or
         be deemed to affect any right or  obligation of the PARTIES which arose
         prior to such termination.

10.7     EXPULSION

10.7.1   The  CONSORTIUM  may be  expelled  from  this  CONTRACT  if it  becomes
         unreasonable  to expect LLAG / LEE to continue  the  CONTRACT  with the
         CONSORTIUM, taking into account all relevant facts and circumstances

                    a)    The CUSTOMER  demands LLAG / LEE the  CONSORTIUM to be
                          expelled.

                    b)    During the  execution  of the  PROJECT,  in case of an
                          interruption of supplies or services by the CONSORTIUM
                          which  substantially  and adversely affects the timely
                          performance  of the  work  according  to  the  overall
                          PROJECT SCHEDULE (Appendix 3).

                    c)    A material  breach of this  CONTRACT  or the  CONTRACT
                          AGREEMENT by the  CONSORTIUM,  despite  written notice
                          and reasonable  opportunity  to remedy the breach,  as
                          per PART 7.

                    d)    In  cases  of  Bankruptcy,  Insolvency,   Dissolution,
                          Readjustment  of  debt,  Liquidation,  Reorganization,
                          etc. as per PART 6.8. of this CONTRACT.

                                       19
<PAGE>

10.7.2   Expulsion  shall be effected by a  corresponding  written notice to the
         CONSORTIUM. Expulsion  shall  become final if the  CONSORTIUM  has not,
         within  30  calendar  days of  receipt  of  notice  of the  resolution,
         initiated arbitration proceedings hereunder. Expulsion shall not affect
         any other  existing  rights or  obligations  or the  CONSORTIUM  or any
         claims  against it. If the  CONSORTIUM  has been expelled due to causes
         within its  control,  the LLAG / LEE may  enforce  claims  for  damages
         incurred  by  them  as  a  result  of  the  expulsion  (e.g  additional
         expenditure with respect to the CONSORTIUM's SCOPE OF WORK)

10.8     ENTIRE CONTRACT

10.8.1   This  CONTRACT  contains  the entire  Contract  among the PARTIES  with
         respect to the subject  matter hereof and  supersedes any and all prior
         understanding,  correspondence or contracts (oral or written) among the
         PARTIES.  The technical  documentation  and  correspondence  during the
         PROPOSAL  preparation period shall be used as reference for items which
         need clarification. The rights and remedies of the PARTIES as stated in
         this CONTRACT are to the exclusion of any other rights or remedies that
         may be available at law or in equity.

10.8.2   If  any  provision  of  this  CONTRACT  is  or  becomes  invalid,  such
         invalidity shall not affect the other  provisions of this CONTRACT.  If
         the  invalidity  of one or more  provisions  or any other  circumstance
         concerning  the  performance  of this CONTRACT  reveals a situation not
         provided  for in this  CONTRACT,  the  PARTIES  shall  jointly  seek an
         arrangement  having a valid legal and economic  effect which will be as
         similar as possible  to the  ineffective  provision  and will cover the
         scope of any missing  provision  in a manner  reasonably  direct to the
         purpose of this CONTRACT.

10.9     AMENDMENTS

         No change, amendment or modification of this CONTRACT shall be valid or
         binding upon the PARTIES  unless such change,  amendment or modifcation
         shall be in writing and duly executed by the PARTIES.

10.10    TITLES

         Heading  titles  contained  herein  shall  in no  way be  construed  as
         limiting the extent of the subject  matter they introduce and shall not
         be used in construing this CONTRACT

10.11    NUMBER OF ORIGINALS

         This CONTRACT  shall be executed in two  versions,  only these shall be
         deemed the originals. Each PARTY will receive one of the originals.

10.12    PUBLICITY

         The PARTIES shall agree upon arrangements for prior reviews,  approvals
         and  consultations  with respect to publicity  releases or  advertising
         regarding  the  CONTRACT  AGREEMENT,  this  CONTRACT  or the work being
         performed.

                                       20

<PAGE>

10.13    REVIEW AND VERIFICATION

         The CONSORTIUM shall provide to LLAG / LEE reasonable  rights of review
         and  verification  of the status and progress of its  respective  work,
         reasonable  information  regarding its quality and safety  programs and
         shall comply with other reasonable requests for similar information and
         rights. Any such information, review and/or verification to be provided
         by the Consortium to LLAG / LEE under this  provision  shall take place
         within a reasonable  time so as not to  interfere  with the progress of
         the Work under the CONTRACT AGREEMENT.  However, in no event shall such
         review and verification relieve the CONSORTIUM of the responsibility to
         complete  their SCOPE OF WORK in accordance  with this CONTRACT and the
         CONTRACT AGREEMENT.

10.14    not used

           IN WITNESS  WHEREOF,  the PARTIES hereto have caused this CONTRACT to
be executed by their respective authorized representatives.

           Ratingen, July 3rd, 2000

           /s/                              /s/Heinrich Holter
           ----------------                 ------------------
              LURGI LENTJES AG                 The CONSORTIUM
                                               Heinrich Holter  GmbH/Stramproy
                                               Projects & System B.V.

           IN W1TNESS HERETO

           /s/
           ----------------
              LURGI ENERGIE UND ENTSORGUNG  GMBH

                                       21

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