Manila Mining Corporation Record Date and Work Program of the 1:2.67 Pre-emptive Rights Offering

February 26, 1998 PSE CIRCULAR FOR BROKERS NO. 226-98 SUBJECT : Manila Mining Corporation Record Date and Work Program of the 1:2.67 Pre-emptive Rights Offering Further to Stock Rights Notice No. 46 dated September 23, 1997, please be informed that the record date of the 1:2.67 Pre-emptive Rights Offering of MANILA MINING CORPORATION (the "Company") has been set on March 18, 1998 . The details are as follows: Ratio 1 new common share for every 2.67 common shares held Offer Shares 19,792,152,576 class "A" shares 12,897,182,630 class "B" shares 32,689,335,206 shares Offer Price P0.01 per share Record Date March 18, 1998 Ex-date March 12, 1998 Offer Period Start of Offer March 18, 1998 End of Offer April 17, 1998 Payment Terms Full payment upon subscription Stock Transfer Agent Far East Bank and Trust Company The proceeds of the Offer, estimated at P326.89 million shall be used to pay off loans and equipment purchased for the Copper Floatation Project. LLjur Please find attached the Company's 1998 forecasted financial statements. For your information and guidance. (SGD.) MARIA ISABEL T. GARCIA Head, Listing and Disclosures Group MANILA MINING CORPORATION PROJECTED BALANCE SHEET AS OF DECEMBER 31, 1998 ASSETS Current Assets 658,744,711 Property, Plant and Equipment 2,292,190,298 Total Assets 2,950,935,009 LIABILITIES Current Liabilities 180,708,715 Deferred Tax Liability 96,943,638 Total Liabilities 277,652,353 STOCKHOLDERS' EQUITY Capital Stock 1,503,853,426 Retained Earnings 1,169,429,230 Total Stockholders' Equity 2,673,282,656 TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY 2,950,935.009 ASSUMPTIONS USED IN PREPARING PROJECTED BALANCE SHEET: CAPITAL STOCK 1. INCREASE OF P1.2 BILLION IN AUTHORIZED CAPITAL STOCK IN APRIL 1998 OF WHICH OR ABOUT P300 MILLION WILL BE SUBSCRIBED AND FULLY PAID UP WHICH WILL BE USED IN SETTLING PORTIONS OF OUR CURRENT LIABILITIES Prepared by, (SGD.) D . G . BAUTISTA Chief Accountant MANILA MINING CORPORATION PROJECTED INCOME STATEMENT FOR THE YEAR 1998 PRODUCTION (GOLD OUNCES) 138,371 PRODUCTION (COPPER POUNDS) 6,018,613 REVENUE GOLD 1,415,534,212 COPPER 178,752,806 SILVER 0 1,594,287,018 COSTS AND EXPENSES MINING 345,764,280 MILLING 356,683,152 MINE GENERAL OVERHEAD 69,152,856 AD VALOREM 29,173,614 DEPRECIATION 99,361,416 DEPLETION 46,296,020 ROYALTY 44,601,350 AMORTIZATION PRE-STRIPPING COST 49,680,867 AMORTIZATION PRE-OPERATING COST 7,206,458 AMORTIZATION TAILINGS DAM 23,451,120 MARKETING 84,692,769 ADMINISTRATION 14,977,741 INTEREST & OTHER CHARGES 3,600,000 1,174,641,643 ADD (DEDUCT): DECREASE (INCREASE) IN: ORE INVENTORY 0 GOLD-IN-PROCESS CIP 0 1,174,641,643 INCOME (LOSS) BEFORE TAX 419,645,375 ADD: INTEREST & OTHER INCOME 11,008,439 NET INCOME (LOSS) BEFORE TAX 430,653,814 Prepared by, (SGD.) D . G . BAUTISTA Chief Accountant