Rego Interactive Co., Ltd — Capital/Financing Update 2004

May 18, 2004

The Stock Exchange of Hong Kong Limited takes no responsibility for the contents of this announcement, makes no representation as to its accuracy or completeness and expressly disclaims any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

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(a joint stock limited company incorporated in the People’s Republic of China with limited liability)

(Stock Code: 1065)

Announcement Cooperative Framework Agreement with Chibi Municipal Construction Bureau

The Company entered into a cooperative framework agreement with Chibi Municipal Construction Bureau, an independent third party to the Company, on 18th May 2004, and intended to finance, construct and operate Chibi Sewage Treatment Plant by way of BOT (Build-Operate-Transfer) model, and acquire and operate No. 1 Water Plant, No. 2 Water Plant and Pufang Water Plant from Chibi Water Supply Corporation, an independent third party to the Company, by way of TOT (Transfer-Operate-Transfer) model.

The following is a reproduction of an announcement released in the PRC by Tianjin Capital Environmental Protection Company Limited (the “Company”) today. This announcement is made pursuant to Rule 13.09 of the Rules Governing the Listing of Securities on The Stock Exchange of Hong Kong Limited (“Listing Rules”).

The Company and all members of the board of directors warrant that the content of this announcement is true, accurate and complete, and assume joint responsibility on any false record, misrepresentation or material omission as set out herein.

The Company entered into a cooperative framework agreement with Chibi Municipal Construction Bureau, an independent third party to the Company, on 18th May 2004, and intended to finance, construct and operate Chibi Sewage Treatment Plant by way of BOT (Build-Operate-Transfer) model, and acquire and operate No. 1 Water Plant, No. 2 Water Plant and Pufang Water Plant from Chibi Water Supply Corporation, an independent third party to the Company, by way of TOT (Transfer-Operate-Transfer) model. The parties thereto shall commence further studies on the substance of such cooperation and the Company will issue further announcement and, if such cooperation constitute a notifiable transaction, the Company will comply with the relevant requirements under the Listing Rules.

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As at the date of this announcement, the Board comprises executive directors: Ms. Ma Baiyu, Mr. An Pindong, Mr. Gu Qifeng, Mr. Wang Zhanying, Mr. Zhaofu and Ms. Fu Yana and independent non-executive directors: Mr. Wang Xuangfei, Mr. Gao Zongze, and Mr. Ko Po Ming.

By order of the Board Ma Baiyu Chairman

Tianjin, the PRC 18th May 2004

Please also refer to the published version of this announcement in The Standard.

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