MEMORANDUM OF UNDERSTANDING EXTENSION Whereas HONG YUAN ENTERPRISE LIMITED , located at: 8/21 Yen Arkard Road, Tung-Mahamek,, Yannawa, Bangkok 10120 Thailand (and) ASIA PROPERTIES, INC. located at: 114 W. Magnolia St, #400-115, Bellingham, WA 98225...

                      MEMORANDUM OF UNDERSTANDING EXTENSION


Whereas  XXXX  XXXX  ENTERPRISE  LIMITED  ,  located  at:  0/00 Xxx Xxxxxx Xxxx,
Xxxx-Xxxxxxx,,  Xxxxxxx,  Bangkok  10120  Thailand  (and)  ASIA PROPERTIES, INC.
located  at:  000  X.  Xxxxxxxx  Xx,  #000-000,  Xxxxxxxxxx,  XX  00000  XXX
signed  a  Memorandum  of  Understanding  on  February  18,  2003.

By  mutual agreement both parties agree to extend the term of this Memorandum of
Understanding  to  July  1,  2003  or  until  they enter into a Sales & Purchase
agreement.

Date:  May  20,  2003

SIGNED  BY  Xxxxxx  X.  Xxxxxxxx
for  and  on  behalf  of
ASIA  PROPERTIES,  INC.


SIGNED  BY
for  and  on  behalf  of
XXXX  XXXX  ENTERPRISE  LIMITED