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                                    PO BOX 1031
                                Mesquite, TX 75150

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                                 February 2, 1992

                                   HYDEOFFR.ASC
       --------------------------------------------------------------------
          The following is a letter to a Vangard Sciences Associate from
             William Hydes' lawyers offering terms to license the Hyde
                ELECTROSTATIC ENERGY FIELD POWER GENERATING SYSTEM.
                Certain information has been left out as indicated
                       by STARS to protect personal privacy.
       --------------------------------------------------------------------

                                  Law Offices of
                           FLEIT, JACOBSON, COHN, PRICE,
                                  HOLMAN & STERN

                               The Jenifer Building
                           400 Seventh Street, N. W.
                              Washington, D.C. 20004
                                  (202) 638-6666

                                 November 18, 1991

                                                     Writer's Direct No. :
                                                          (202)-662-4202

       Mr. **************
       Vangard Science
       ******************
       *************, TX ******

                   Re:  U. S. Patent 4, 897,592
                        ELECTROSTATIC ENERGY FIELD POWER GENERATING SYSTEM
                        Our Ref:  ***********

       Dear Mr. **********,

             After we spoke over the telephone today, I received a letter
       from my client, William Hyde, in response to your letter of ********
       **, 1991.
             Mr. Hyde has asked me to convey to you his willingness to
       grant a non-exclusive license under the captioned patent for $5.5
       million plus two dollars per device manufactured.  Mr. Hyde's
       instructions are that this proposal is not negotiable.
             If your people wish to pursue this matter, please get back to
       me.  If not; and on behalf of Mr. Hyde, thank you for your
       interest.

                                                         Sincerely,
                                                         Ronald D. Cohn