Translationof NPCC Project Investment Contract

I.

Party B shall invest to build NPCC project (“the project”) within the administrative area of Zibo Hi-Tech Development Zone. The construction and operation of this project is welcomed by Party A.

II.

Party B plans to build a NPCC project with planned production capacity of 1 million tons per year. Phase I is 60,000 tons per year, and is planned to put into production in August 2009.

III.

The registered capital for the project company is $56 million (paid in installment).

IV.

The following conditions must be guaranteed before the starting of this project:

 

1.

Party A have irrevocably granted Party with 350 Mu industrial land for Party B to build Phase I of its project;

 

2.

Party A ensures that there are qualified limestone quarry with reserves no less than 150 million.

 

3.

Party A ensures that Party B is able to obtain the exploration rights on the qualified limestone quarry within twelve months after signing this contract through the way of granting or transfer at the lowest cost.

V.

Land location, area and use life

VI.

Utilities

 

1.

Party A should provide all the utilities, such as the power, water, gas and steam supply, rain and drainage outlet, communication, cables and internet network.

 

2.

Coordinate to meet Party B’s requirement for railway transportation.

 

3.

Party A shall meet Party A’s demand for industrial water and electricity at a price of ￥3.385 per ton and ￥0.5435 per Kwh.

1.

Regarding the 350 Mu industrial land for Phase I, Party B should follow the national regulations on tenders, auction and publication and pay for the certain deposit first. After obtaining the land using right, Party B shall sign the land transfer contract and pay off all the premiums based on the land transfer contract.

2.

Regarding the reserved 2500 Mu industrial land (Party B must achieve the national regulations on the investment intensity; if the policies on state owned land using changes, the two parties shall renegotiate on the time and location), Party B will also follow the tenders, auction and publication process based on the progressing of Phase I. Payment terms is same as above.

3.

Regarding the 80 Mu land for employee apartment, the payment and transfer process is same as above. The two parties shall discuss specific land transfer plan separately.

VII.

Delivery of certificate and land