I. Project Background

Huinan Kunyuan Mining Company Ltd. is concentrated on exploiting and refining iron ores. The company process more about 50,000 tons of iron ores annually. The slag of refined iron ores can be used to produce new-pattern exempt-burned bricks. It not only saves resources but also protects the surrounding environment from pollution.

II. Construction Scale and Production Plan

Construct two middle-sized work lines of new-pattern exempt-burned bricks, purchase 14 sets of facilities, and produce 20 million bricks.

III. Market Analysis and Economic Benefit Forecast

Economic Benefit: annual output of 15 million bricks, annual output value: RMB 10 million Yuan, annual tax: RMB 3 million Yuan.

Social Benefit: 100 job opportunities.

IV. Total Project Investment and Financing Arrangement

Total investment: RMB 10 million Yuan, fixed assets investment: RMB 7 million Yuan, working capital: RMB 3 million Yuan.

Financing arrangement: self-financing RMB 4 million Yuan, foreign investment: RMB 6 million Yuan.

V. Cooperation Ways

Joint venture and cooperation

VI. Foreign Investment and Constitution

Funds or material possessions

VII. Project Construction Venue

Qingyang Town Huinan County.

VIII. Project Progress

The scheme and feasibility report have been made.

IX. Outline of Project Organizer

Huinan Kunyuan Mining Company Ltd. established in 2004, with registered capital RMB 500,000 Yuan. The company is located in Qingyang Town Huinan County, and covers an area of 15,600㎡.The company is concentrated on exploiting and refining iron ores. With several years of development, the company has 2 work lines, 3 iron mines, and 57staff. The total assets value has reached up to RMB 35 million Yuan.

X. Contact methods:

Contact Person: Huangwen   13943561838

             GuoHeqing   13694417381

Tel: 0086-435-8792038                         

Fax: 0086-435-8792100