INTERNATIONAL BRIQUETTES HOLDING

AND ITS SUBSIDIARIES

CONSOLIDATED BALANCE SHEET

(Thousands of U.S. dollars)

June 30, 2005

ACTUAL PROFORMA Adjustments

Assets

Current assets:

Cash and cash equivalents 13,671 13,671 -

Cash in guaranty 6,654 6,654 -

Temporary investments 750 750 -

Accounts Receivable -

Customers and others 88,835 88,835 -

Related companies 8,957 8,957 -

Inventories 54,502 54,502 -

Prepaid expenses and

other current assets 6,705 6,705

Restricted accounts

receivable 394,009 - (394,009)

Total current assets 574,083 180,074 (394,009)

Property, Plant and

Equipment, net 1,033,309 1,033,309 -

Spare parts and other assets 9,287 9,287

Total assets 1,616,679 1,222,670 (394,009)

-

Liabilities and Shareholders' Equity

Current liabilities:

Bank Loans in

restructuring process 365,803 23,255 (342,548)

Loans assigned by BHPB

to financial creditors 399,209 - (399,209)

Accounts payable -

Suppliers 83,882 83,882 -

Related companies 53,141 53,141 -

Profit sharing, vacations

and other personnel accruals 5,255 5,255 -

Taxes payable 4,366 4,366 -

Other current liabilities 964 964 -

Total current liabilities 912,620 170,863 (741,757)

Long-term loans with

Financial Institution 387,146 - (387,146)

Long term loan in

restructuring process - 278,874 278,874

Restructured accounts

payable with suppliers 36,301 36,301 -

Other liabilities 7,432 7,432 -

Deferred taxes 131,762 115,832 (15,930)

Estimated account payable

on option's exercise - 21,608 21,608

Total liabilities 1,475,261 630,910 (844,351)

Minority interests (56,298) 231,147 287,445

Shareholders' equity 197,716 360,613 162,897

Total shareholders' equity 141,418 591,760 450,342

Total liabilities and

shareholders' equity 1,616,679 1,222,670 (394,009)