At the 11th Meeting of the 4th Board of Directors, held on 7 Aug 2008, the following proposals were examined and approved:

1. the 2008 Semiannual Report
2. to purchase a 20% stake in Qinghai West Steel & Mining Development Co., Ltd., a subsidiary of the company with an 80% stake held, currently held by Qinghai Zhengwei Industrial Group Co., Ltd. for RMB 20 mln
Following the purchase, Qinghai West Steel & Mining will become a wholly-owned subsidiary of the company.

3. to adjust the scheme of a project invested with raised-funds via an issuance of convertible bonds with detachable warrants
4. to hold the 2nd 2008 Extraordinary General Meeting of Shareholders, at which voting on proposal 3 will be conducted conventionally on 25 Aug 2008 from 2:00 pm to 3:00 pm and online through the trading system of the Shanghai Stock Exchange on 25 Aug 2008 from 9:30 am to 11:30 am and from 1:00 pm to 3:00 pm

Board of Directors
7 Aug 2008


Source: Shanghai Stock Exchange

Date: 11 Aug 2008

CN01/SS/DM/BT/KM