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Sino Dragon New Energy Holdings Limited (formerly known as China Zirconium Limited), the "Company", together with its subsidiaries the "Group"), was listed on the Stock Exchange of Hong Kong Limited (the "Stock Exchange") on 28 October 2002. The Group is one of the largest rare metal - zirconium chemicals manufacturer and exporter in the PRC. Leveraging on its advantages in zirconium chemicals industry, the Group has extended its business into the production and sale of zirconium-related new energy materials (used as electrode materials for batteries) and rechargeable batteries.

The Group started its operations in 1977 and is based in Yixing, Jiangsu Province, the PRC. With over thirty years' development, the Group has successfully transformed from a small-scale zirconium chemicals plant to an internationally renowned zirconium chemicals manufacturer with a sizable current annual production capacity of over 40,000 tonnes of various types of zirconium chemicals, 1,500 tonnes of new energy materials and 25 million pieces / sets of PTC heating components. In 2004, the Group established a new wholly-owned subsidiary in Yixing which specialised in the manufacture and sale of rechargeable batteries. It has developed and possessed intellectual property rights in the new-type high temperature battery and power battery with zirconium additives.

Application of zirconium chemicals increased widely from originally two major usages in conventional sanitary ceramics andnuclear power applications to broad areas in mobile phone components, electronic products, optical fibres, textiles, paints, ceramics, optical glass, medical and pharmaceutical products, leather goods, paper goods and cosmetic materials, etc.

The Group's new energy materials products, including nickel hydroxide, hydrogen-storage alloy powder, and lithium cobalt oxide, are electrode materials for NiMH, NiCd and Li-ion batteries. Such products are widely used by leading domestic and overseas battery manufacturers, such as Wuxi Matsushita Battery Co., Ltd. under the Panasonic group in Japan. The Group has also developed new type electrode material with intellectual property right.

The Group's products, with "Long Jing" as the registered trademark in the PRC, Japan, US & Hong Kong, has long been well-received by the international market. Products have been exported to Japan, US and Europe for 28 years, 16 years and 17 years, respectively. In 2001, the Group was accredited by the China Nonferrous Metals Association as the largest zirconium chemicals exporter in the PRC.

Parallel to the expansion of its business, the Group is also committed to improving operation efficiency and assuring high product quality. The Group has been awarded both the ISO14001 Environmental Management System Certification and the ISO9002 Quality System Certification. In 2003, the Group was also accredited as a state key high-tech enterprise. In addition, a number of the Group's products were appraised as high-tech products at state and provincial levels, among which the nanometric zirconium oxide and cerium zirconium compound were rated as Grand New Products by the state and were classified as "China Torch Programme" items.

Apart from the leading position of the Group in the PRC zirconium chemicals market, the experience and expertise of its Chairman, Mr. Yang Xin Min, is also highly appraised by the industry. In April 2004, Mr. Yang was elected as the Vice Chairman of the newly established "China Nonferrous Metals Association – Zirconium and HafniumCommittee". He was then elected as the Chairman in November 2006. He was also nominated a member of the expert team of the China Zirconium and Hafnium Institutional Committee for two consecutive terms. The management talent and industrial expertise of the Group are therefore widely recognised.

In January 2011, the Company has completed the acquisition of Muntari Holdings Limited, which is principally engaged in the storage and wholesale business of petrochemicals products through its wholly owned subsidiaries and certain contractual arrangement in the PRC. It operated a petrochemical storage facility in Ningbo City, Zhejiang Province of the PRC, with a total capacity of 110,000 cubic meters. This acquisition marked the successful expansion of the Company's business scope into the petrochemicals industry.

In the future, the Group will maintain a balanced development of the zirconium business and the petrochemicals and oil storage and wholesale business. The rechargeable batteries business is also expected to provide a stable income stream and reasonable profit contribution to the Group’s results. The Company will continue to seek for good potential investment opportunities in petrochemicals and oil industry and will strive to achieve higher returns for its shareholders.

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