Development of Huludao Zinc Industry Co., Ltd.

Huludao Zinc Industry Co., Ltd. was approved by Liaoning Economic System Reform Committee in August 1992, initiated and established by Huludao Zinc Factory, Huludao Zinc Factory Industry and Trade Corporation and Huludao Zinc Factory Engineering Corporation, and registered in July 1993. 1June, 1997, with the approval of China Securities Regulatory Commission, 90 million shares were issued and listed on Shenzhen Stock Exchange. After this issuance and listing, the company's total share capital is 4 10/0,000 shares. After two transfers and one rights issue, the total share capital is 88 1, 098,771share. On March 22, 2006, the company successfully carried out the share-trading reform. At present, the total share capital is 1,1,133,291,of which 534,076,771are restricted shares. There are 576,056,520 social tradable shares.