The Board of Directors of OKP Holdings Limited ("the Company") wishes to announce that the Company has incorporated a subsidiary company in Singapore known as United Pavement Specialists Pte. Ltd. ("UPS"). The investment in UPS represents 55% of the equity of UPS. UPS will serve as an investment holding company for investment in construction-related business in the Commonwealth of Northern Mariana Island.

UPS has an issued and paid-up capital of SGD2,000.

The above investment was funded through internal resources and is not expected to have any material impact on the earnings per share and the net tangible assets per share of the Company for the financial year ended 31 December 2006.

None of the Directors of the Company has any interest, direct or indirect, in the above investment.