CHINA GANSU JINSHENG INDUSTRY CO.,LTD

Intention of Cooperation
Gansu Jinsheng Industrial Co., Ltd
Brief Introduction to the Enterprise

It's located in Gaotai County of Gansu Province, 99o16' East longitude and 44o07' North latitude, here it's convenient in communication and abundant in mineral resources. The Lanzhou to Urumuqi railway, 312 State Highway from Shanghai to Urumuqi as well as Euro-Asia Continental Railway Route, a traffic artery, all travel through the whole area, it's only 70 kilometers from our factory to the Jiayuguan Airport. Direct dial phone and e-mail links the worldwide. Here boasts the biggest salt cake mixed mine in Gansu Province, the major raw material to be used for production of sodium sulfide. It's the largest production base of sodium sulfide with low iron contains.

Gansu Jinsheng Industrial Co., Ltd is affiliated to Gansu Salt-Chemical Industry Corporation (Group), first built in July 1993, and put into production in June 1996. Its registered capital is RMB Yuan 88.74 million, now its total assets are up to RMB Yuan 150 million, of which, the fixed assets input is RMB Yuan 73.74 million. There are 350 employees, more than 30 technical staff. It boasts the most up-to-date equipment and technology in China for manufacture of sodium sulfide. The Plate-type evaporator, the main equipment in production, has won the State patent. The company now has 2 sets of continuous rotary furnace with a length of 47 meters (commonly known as long rotary furnace), 4 sets of batch rotary furnace 6.5 meters in length (known as short rotary furnace), they can be mutual aided with their own advantages in the process of sodium sulfide production, the resources can be used more effectively and rationally. The annual production capacity of sodium sulfide with all specifications reaches 50,000 ton/year. It's the sole biggest enterprise in China for produce sodium sulfide with low carbon and iron contained. At present, the 90% of equipment is in good condition, running smoothly, capable of produce all kinds of solid sodium sulfide with different specification based on customers' specific demand, including yellow low-iron contained sheet-type, grain-type, common sheet-type, grain-type. Sodium sulfide of "Yasheng" Brand won the brand product in Gansu Province, as well as "elite goods", and pass the ISO9002 and the national quality certification in 1998. Its product has been sold to Australia, New Zealand, Southeast Asia, Middle East, Africa, and European markets, and warmly received by both customers in China and outside China.

After China's accession into WTO, drastic changes occurred in company's business concept, import high-tech, improve the product quality, make our mind to develop world market becomes company's tenet of development. From last few years business operation, though our product has reached the international standard, but there is still a gap in varieties and specifications to satisfy the specific demands of different customers. In order to upgrade product quality to meet the requirement of global market, especially the market of the developed countries, the company has invited senior specialists of sodium sulfide in China, and formed a special group for sodium sulfide development, for the purpose to develop swiftly the yellow sodium sulfide with low iron and low carbon-contained, water-free sodium sulfide, white high-density sodium sulfide, crystal sodium sulfide with advanced world standard. Through 3 months research and exploration, we have successfully produced the ideal sample product, and formulated an ideal preliminary tech-reform plan in 2003.

Orientation of Enterprise Development and Business Operation in 2003
1. Rapidly renovate the existing production technology, reduce the thickness of the existing sheet products, change the lustre of the yellow sodium sulfide sheets, to satisfy the demand of the world market.
2. Import the advanced equipment and technology, as well as sodium sulfide packing streamline, reform the existing packing mode and upgrade the product quality.
3. Develop global market in an round way, extensively seek for partners, agents, sole-agent, overseas bodies.
4. Seek for partners of global investment, joint venture, and cooperation, establish a stream-lined marketing system of supply, production and sale.
5. In the process of stable operation, rapidly import the world advanced technology and equipment, adjust the internal industrial structure. to develop swiftly the yellow sodium sulfide with low iron and low carbon-contained, water-free sodium sulfide, white high-density sodium sulfide, crystal sodium sulfide.

Gansu Jinsheng Industrial Co., Ltd has the right to open salt and nitre mixed mine with a reserve of 30 million tons in Gansu Province, there is only 3 km from the factory to the salt cake mine, the raw material base. With the implementation of new tech-renovation project, the production cost will further reduce, it will give a great boost for development of global market, benefit to participating in global market competition. The factory has its own special railway route, 2288 km to Xingang Seaport in Tianjin, having its warehouse and storage keepers. 1229 km to the mouth of Mt. Alashan, at the mouth of Euro-Asia Continental Railway Route. With the rapid united transport of Euro-Asia Continental Railway Route, Gansu Jinsheng Industrial Co., Ltd will surely participate in global market competition with its scientific management, good product quality, low cost, sound reputation among domestic and overseas customers.

Self-owned Associated Enterprises
The company has its own Power Plant, has a dedicated power line of 10 kv to ensure power supply and normal production. It has an annual production capacity of 6 million packing products, big-sized bags, wood-pallet (fumigation) .All packing products and pallets have been inspected by China Commodity Inspection Bureau, and give a certificate paper of qualification for export. The products to be exported will be transported by our dedicated railway transport lines; it's convenient for loading and unloading, and rapidly transported to the seaport. It's the best associated enterprise for sodium sulfide export.
Environment and Environment Protection
The factory of sodium sulfide is located on the Gobi Desert, less vegetation around it, only grow a very little reed. The factory is 14 km away to the residential area, a long distance to the farmland, forest, and grassland. The factory construction is strictly in accordance with the requirements of scientific plan of "the pollution-prevention in the project shall be conducted with main project design, construction and put into production simultaneously". Greatly reduced the discharge amount of pollutant. In the process of disposal of "three wastes", the company has effectively controlled the discharge amount of "three wastes" by utilization of exhausted heat, dust-removal of gas, spraying washing of alkaline fog, thermal treatment, slag rinsing, evaporation and condensing, fully conform the relevant stipulations of the "National Environmental Protection Law". In line with the stipulation of the State "Collect & Pollutant Discharge System", the State will give a powerful support to the enterprises who economize and comprehensively utilize natural resources, effectively treat and control pollution, and improve the environment, enjoy preferential policy in all fees to be levied, this policy will remain unchanged for a long period of time.

Preferential Policy
For the purpose to promote the regional development, accelerating the pace of development in West China, Gansu Provincial People's Government issued a document (D.No.50, 2000) in August, 2000, The Preferential Policy for West Region Development Strategy of Gansu Province. The stipulation in the document is as follow:
(1) The overseas businessmen and enterprises in other provinces of our country who invested in Gansu Province shall enjoy the equal treatment as the enterprises of our province, enjoy all stimulating policies to the enterprises formulated by provincial government, adopt a unified standard for expenses to be levied in social services.
(2) In light with the principle of assisting the superior and powerful enterprises, the provincial government will render a key support to foreign invested enterprises on the aspect of capital operation, management of intellectual property, earning of foreign exchange via exported products, and office condition, etc (such as issuing stock or enterprise bonds; the government will give a subsidy of RMB Yuan 0.05 for exported amount value US$ 1.0, as inland transport fee subsidy; exempt the local added-tax for office and life articles; free from the tax for municipal public utilities.
(3) Type of Taxation (exempt the enterprise income tax for two years, levy only half-tax for another three years), after expiration, levy 15% of the enterprise income tax for three years, for the enterprises with a productive nature, free from 3% of local income tax. For the enterprise who products to be exported, and its output value account for above 70% of the total output value, the enterprise income tax shall be levied based on a tax rate of 10%; the profit, interests and earning after the tax paid off can be remitted freely to abroad.
(4) Land Policy, the desert and wasteland can be used and remain unchanged for 50 years, and allocated free of charge after approval of county-level government.
(5) The enterprise is entitled to make its own decision for all kinds of talents, and their treatment (including intelligent import, technology stock, technology contract, etc).
(6) Eliminate all irrational fee-levy items; give a more space for the examination and approval to the projects to be established.

The environment both for investment and construction in our company is special, and well blessed in natural resources, has a bright future for development. We warmly welcome the old and new friends both inside and outside China to come here for sightseeing, discuss business and cooperation, develop jointly sodium sulfide and other products with high added-value and high gold-contained, actively participate in world market competition. The preferential policy will surely bring a huge economic benefit.

Type of Cooperation: Joint Venture, Cooperation, join -stock, equity participation, stock-holding investment, joint operation, etc.

West China International Sodium Sulfide Information Network Center
West China Global E-Trading Center
HEAD OFFICE: Yongjin East St, Dengkou County, Inner Mongolia, China
http://www.chinana2s.com/ http://www.cnwesthotline.com/
Tel: 0086-0478-4213382 　Fax: 0086-0478-4215543　 E-mail: qinzijing@yahoo.com.cn