ATTENTION : Engr. Isagani Israel Igo_886@yahoo.com SUBJECT : GEOTECHNICAL INVESTIGATION PROPOSED OVERHEAD WATER TANK PROJECT CASTILLEJOS, ZAMBALES Sir, In reference to the above subject, please be informed that we are in a position to undertake geotechnical study under the following terms and conditions: 1.0 SCOPE OF WORK

1. As per programmed, we are going to drill two (2) boreholes at fifteen (15) meters or three (3) meters to hard strata. 2. Drilling shall be made utilizing the Standard Penetration Test (SPT) through ordinary soil encountered to the depths specified above. Standard Penetration Test shall be performed using 5.0 cm. (2.0 in.) outside diameter split spoon sampler, driven by a 63.6 kg. (140 lbs.) hammer falling 76.0 cm. (30 in.) at 1.50 meter interval or closer if necessary. 3. Undisturbed soil sample, using 6.35 cm. (2.50 in.) I.D. thin wall (shelby tube) sampler shall be obtained in all cohesive materials encountered. The undisturbed soil samples shall be taken such that a minimum amount of disturbance in the natural condition of the samples has been caused through drilling sampling, preserving, storing and transporting of samples. 4. All samples shall be properly sealed and labeled in watertight containers as soon as these are extracted from the boreholes. 5. Water level measurement shall be taken and recorded 24 hours after the completion of each hole. 6. All measurement, observation and field test results shall be recorded in appropriate boring logs. 7. Drilling and sampling procedures shall comply in accordance with ASTM standards. (other international standards upon request or if specified) 2.0 LABORATORY TESTING Sufficient laboratory testing on soil / core samples obtained including Particle Size Analysis (ASTM D 422), Atterberg Limits (ASTM D 4318), Water Moisture Content (ASTM D 2216)

shall be performed such that reliable classification,identification, determination of the physical properties of the sub-surface materials and evaluation of sub-strata can be carried out. 3.0 TECHNICAL REPORT Three (3) copies of technical report shall include site geology, laboratory test results, sub-soil condition and other information relevant for geotechnical evaluation of the project. Additional copies of report will be charged at Three Hundred Pesos (PhP300.00) each. 4.0 CHARGES For and in consideration to the above services, our charges to include salaries, per diem of our personnel, equipment depreciation and all other incidentals necessary to accomplishment of our work as follows: 5.0 ITEMS QUANTITY UNIT PRICE AMOUNT I. Mobilization/Set-up Lump Sum P25,000.00 II. Drilling through Soil/Rock 30 metres P1000/meter P30,000.00 III. Hole to Hole Transfer 2 holes P1000/hole P 2,000.00 IV. Laboratory Test Lump Sum P15,000.00 V. Geotechnical Evaluation Lump Sum P10,000.00 --------------- Total Amount P82,000.00 Add: 12% VAT P 9,840.00 --------------- Grand Total P 91,840.00 Discounted Lump Sum Cost: Six Five Thousand Pesos (PhP65,000.00)Tax exclusive. 6.0 TERMS OF PAYMENT 1. Fifty Percent (50%) down payment shall be due and payable upon acceptance of this proposal. 2. Final payment upon submission of geotechnical report. 7.0 VALIDITY OF PROPOSAL This Proposal is valid only for Thirty (30) days. 8.0 OTHER TERMS AND CONDITIONS 1. Client shall locate the hole for us to drill. 2. Client shall provide free access of our personnel within the project site. 3. New Phoenix will not be held liable to any underground facilities damage during drilling operation. Should you find our proposal acceptable to your goodselves, kindly signify your acceptance by signing in on the space provided hereunder and return to us one (1) signed copy and this will serve as our formal working agreement.

NEW PHOENIX GEOLOGICAL & ALLIED SERVICES David Jagolino Manager

CONFORME:

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