Emerging casting Tube Equity Canada Ore Company

Emerging Casting pipe (000778) 29th, the company, China Huaxin International Trade Co., Ltd. and Canada Advanced Explorations Inc. (AEI) on equity investment and mineral products procurement priorities, such as the signing of the framework Agreement,　　Newly-emerging casting pipes will buy AEI's newly issued shares and the right to purchase 50% of the ore products produced by AEI's Roche Bay mine at the agreed price.　　Get preemptive right AEI is a company incorporated and surviving under Canadian law and listed on the Toronto Stock Exchange's GEM and Frankfurt Stock Exchange, where the parties signed the Framework Agreement on September 26 in Beijing on equity investment and procurement priorities for ore products. The main contents of the agreement are: xinxing casting pipe, Huaxin International jointly funded a subsidiary of Xinxing-Huaxin to buy AEI Company's newly issued shares, at the same time, the parties agree that according to this agreement to give emerging casting pipe, Huaxin International related ore products procurement priority, and,　　Give the new casting pipe the right to choose to increase the stock of AEI company or to establish the project company with AEI Company.　　Bulletin, Roche Bay in the Melville Peninsula area with the discovery of 30 billion tons of ribbon magnetite potential, according to the Group International consulting Company Reserves Report, Roche Bay Project C Mining Area designated resources of 500 million tons of iron ore. Since January 1, 2007, AEI has invested about $41.5 million trillion in the Roche Bay project. AEI also owns all the relevant mining rights of the TUKTU project and the option of the Alaska sand mine in the United States.　　In addition to the above mine projects, AEI company has no other important assets. As of September 8, 2010, AEI Company all issued external common stock for 90.52 million shares.　　Under the agreement, the AEI company issued 21.23 million shares of common stock to the emerging-huaxin, offering a price of $0.25 per share, and emerging-huaxin does not have to bear other charges for the stock subscription other than the above-mentioned shares. In the emerging-huaxin under the agreement to become AEI shareholders of the appropriate time, the new cast pipe has the right to increase the AEI shares, the increase in the new-huaxin and emerging casting pipe Total holds the AEI company 40% of the stock.　　After the increase, emerging casting pipe and emerging-huaxin have the right to recommend AEI company 50% of the directors. In the appropriate time after the emerging-Huaxin has become a AEI shareholder pursuant to this agreement, the new cast pipe has the right to initiate action with AEI company to form Roche Bay mine project company. If the new casting pipe decided to start the project company to set up work, the emerging casting pipe to 20 million Canadian dollars, AEI company for its Roche Bay mine project of all rights and interests, in the project company, emerging casting Pipe holding 28.572% of the stake, AEI hold a 71.428% stake. After the mine reaches the Bank mine development loan condition, the new casting pipe to the project companyThe increase in investment in 30 million Canadian dollars, emerging casting tube shareholding increased to 50%,aei companies hold a 50% stake. Extended industrial chain emerging-Huaxin has 19% of all ore products in the Roche Bay project as a preemptive right from the date of the issuance and subscription of the shares as stipulated in this Agreement.　　After the completion of the project company and the receipt of all the 50 million Canadian dollars invested in the new cast pipe, the new cast pipe is entitled to purchase 50% of the ore products of the project company at the agreed price. Emerging casting Pipe said that the framework agreement will be implemented after the company's business to the upstream industry extension, conducive to the expansion of the company's business and the formation of new economic growth. In addition, Canada is rich in mineral resources and is the center of the global mining capital market. AEI Company and the successful operation of the project, you can take this as a platform to stabilize the upstream raw material supply, improve the steel industry chain, and thus enhance the core competitiveness of the company's iron and steel industry chain.