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  NEW ULEXITE ORE: SIGNIFICANT INCREASE IN BORON RESERVES
  As a result of our continuous geologhical exploration plan, at the beginning of 2007 a new Ulexite stratum with a thickness of 7 meters was found, located in our mining properties in the Hombre Muerto Salar. Considering the mentioned new mining ore, MSR group gets a significant increase in its boron reserves, and guarantees the raw material supply to its plants in Argentina. The available reserves in Hombre Muerto Salar, and also the ones in the Salars of Centenario, Pozuelos and Ratones, confirm our strategy of boron derivatives production growth.
   
  SULPHURIC ACID SELF-SUPPLYING
  MINERA SANTA RITA has made a permanent supply agreement with one of its partner companies, named SULPHAAR S.R.L., located in Palpalá, Jujuy Province, just 100 kilometers from our production plants. The Sulphuric Acid is one of the most important raw material for the production of Boric Acid and other refined boron products. MSR group is then assured of self supplying and it also will mean a new supply source of high quality Sulphuric Acid to the Northwestern region of Argentina.
   
  TECHNOLOGICAL INNOVATION: NEW DRYING SYSTEM OF FLOWING BED INSTEAD OF ROTARY FURNACE:
  A new system for drying the Boric Acid has been recently installed in the Plant located in Campo Quijano, Salta, Argentina, named “flowing bed” system. The system obtains dehydration of the product through the application of warm air streams that produces evaporation and free flowing product in the interior of the flowing bed. Among the advantages of the new system we can mention: a) reduction of the termical energy required; b) drying and cooling systems developed in one single and smaller equipment; c) special particle sizes are obtained; d) gas emission control through the absorption of dust by wet way (Scrubber system).
   
   
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COPPER (Cu): Product = Copper Cathodes
MSR Holding Group is engaged in the development of a Copper Cathodes Production and Processing Plant on the basis of metal Cu by an electrolytic refining process. According to the project planning, the beginning of the commercial phase is set for 2008. During the first step we will supply Copper Cathodes to the wire and cable industry in Argentina. As the production grows, MSR will export the product to other world markets in the near future. Copper cathodes will meet the ASTM B 115-00 chemical specification for high-grade copper.
 
ZINC (Zn): Product = Zinc Oxide 70% (ZnO)
The Company began during the first three months of year 2005 the production of Zinc Oxide (ZnO). The main export destination of the product is Brazil. The chemical specification of Zinc Oxide to be met is technician grade, with a purity of 70%. At the moment, MSR is making a limited production of this product so as to completely supply regular transactions made for this purpose.
 
     
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