| Nevada(State or Other Jurisdiction of Incorporation or Organization) | 75-2571032(I.R.S. Employer Identification No.) |
|----------------------------------------------------------------------|------------------------------------------------|
|                                                                 |                                           |
| Seventeenth Floor, Xinhui Mansion, GaoxinRoad                        | +86(29) 8833-1685                              |
| Hi-Tech Zone, Xi’An P.R. China 71005                           |                                           |
| (Address of Principal Executive Offices; Zip Code)                   | (Registrant’s Telephone Number)          |
|                                                                 |                                           |
| Securities registered pursuant to Section 12(b) of the Act:          |
| Title of each class                                                  | Name of each exchange on which registered      |
|                                                                 |                                           |
| None                                                                 | None                                           |

| (Check one):                      |                                          |                                           |
|-----------------------------------|-----------------------------------------------|------------------------------------------------|
| Large accelerated filer [  ] |                                          | Accelerated filer   [  ]        |
| Non-accelerated filer [  ]   | (Do not check if a smaller reporting company) | Smaller reporting company   [ü] |

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| TABLE OF CONTENTS                                                                                                          |   |
|----------------------------------------------------------------------------------------------------------------------------|--------|
|                                                                                                                       |   |
| PART I                                                                                                                     |   |
|                                                                                                                       |   |
| Item 1. Business                                                                                                           | 5      |
|                                                                                                                       |   |
| Item 1A. Risk Factors                                                                                                      | 9      |
|                                                                                                                       |   |
| Item 1B. Unresolved Staff Comments                                                                                         | 16     |
|                                                                                                                       |   |
| Item 2. Properties.                                                                                                        | 16     |
|                                                                                                                       |   |
| Item 3. Legal Proceedings                                                                                                  | 18     |
|                                                                                                                       |   |
| Item 4. (Removed and Reserved)                                                                                             | 18     |
|                                                                                                                       |   |
| PART II                                                                                                                    |   |
|                                                                                                                       |   |
| Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities | 18     |
|                                                                                                                       |   |
| Item 6. Selected Financial Data                                                                                            | 19     |
|                                                                                                                       |   |
| Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations                        | 19     |
|                                                                                                                       |   |
| Item 7A. Quantitative and Qualitative Disclosures About Market Risk                                                        | 28     |
|                                                                                                                       |   |
| Item 8. Financial Statements and Supplementary Data                                                                        | 29     |
|                                                                                                                       |   |
| Item 9. Changes in and Disagreements with Accountants on Accounting and Financial Disclosure                               | 29     |
|                                                                                                                       |   |
| Item 9A. Controls and Procedures                                                                                           | 30     |
|                                                                                                                       |   |
| Item 9B. Other Information                                                                                                 | 31     |
|                                                                                                                       |   |
| PART III                                                                                                                   |   |
|                                                                                                                       |   |
| Item 10. Directors, Executive Officers and Corporate Governance                                                            | 31     |
|                                                                                                                       |   |
| Item 11. Executive Compensation                                                                                            | 34     |
|                                                                                                                       |   |
| Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters                    | 35     |
|                                                                                                                       |   |
| Item 13. Certain Relationships and Related Transactions, and Director Independence                                         | 35     |
|                                                                                                                       |   |
| Item 14. Principal Accounting Fees and Services                                                                            | 37     |
|                                                                                                                       |   |
| PART IV                                                                                                                    |   |
|                                                                                                                       |   |
| Item 15. Exhibits, Financial Statement Schedules                                                                           | 38     |

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|   | • | “MT” are to metric tons; |
|--------|---------|--------------------------------------|

|   | • | “PRC” and “China” are to the People’s Republic of China; |
|--------|---------|----------------------------------------------------------------------------------------|

|   | • | “SEC” are to the Securities and Exchange Commission; |
|--------|---------|------------------------------------------------------------------|

|   | • | “Securities Act” are to the Securities Act of 1933, as amended; |
|--------|---------|-----------------------------------------------------------------------------|

|   | • | “Exchange Act” are to the Securities Exchange Act of 1934, as amended; |
|--------|---------|------------------------------------------------------------------------------------|

|   | • | “Renminbi” and “RMB” are to the legal currency of China; and |
|--------|---------|--------------------------------------------------------------------------------------|

|   | • | “U.S. dollars,” “dollars” and “$” are to the legal currency of the United States. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------|

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|   | • | Further evaluate prospecting results to date; |
|--------|---------|-----------------------------------------------|

|   | • | Perform a rough survey of zinc, lead and gold over a test area; and |
|--------|---------|---------------------------------------------------------------------|

|   | • | Investigate other metallogenic areas, mainly through surface work, which may be combined with limited tunnel exploration and drilling. |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------|

|   | • | China Mineral Resources Law, which requires a mining business to have exploration and mining licenses from provincial or local land and resources agencies. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | China Mine Safety Law, which requires a mining business to have a safe production license and provides for random safety inspections of mining facilities. |
|--------|---------|------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | China Environmental Law, which requires a mining project to obtain an environmental feasibility study of each project. |
|--------|---------|------------------------------------------------------------------------------------------------------------------------|

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| Cost                           | $18,744,677 |
|--------------------------------|-------------|
| Less: Accumulated amortization | 2,146,978   |
| Land use rights, net           | $16,597,699 |

| 10-KA Exhibit v10-KA |
|----------------------|

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| Machinery                      | 5 years  |
|--------------------------------|----------|
| Motor vehicles                 | 10 years |
| Furniture and office equipment | 5 years  |

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| ITEM 9. | CHANGES IN AND DISAGREEMENTS WITH ACCOUNTANTS ON ACCOUNTING AND FINANCIAL DISCLOSURE. |
|---------|---------------------------------------------------------------------------------------|

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|           |   | POSITION AND OFFICE                                          |
|----------------|--------|--------------------------------------------------------------|
| NAME           | AGE    | HELD WITH THE COMPANY                                        |
| Chen Wei Dong  | 40     | President, Chief Executive Officer and Chairman of the Board |
| Zhang Hong Jun | 43     | Director                                                     |
| Wang Sheng Li  | 43     | Director                                                     |
| Li Ping        | 48     | Director and Chief Financial Officer                         |
| Li Ping        | 36     | Director                                                     |
| Tian Hai Long  | 37     | Director                                                     |

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| Name and PrincipalPosition           | Year($) | Salary($) | Bonus($) | StockAwards($) | OptionAwards($) | Non-EquityIncentive PlanCompensation($) | Non-QualifiedDeferredCompensationEarnings($) | All OtherCompensation($) | Total($)(1) |
|--------------------------------------|---------|-----------|----------|----------------|-----------------|-----------------------------------------|----------------------------------------------|--------------------------|-------------|
| (a)                                  | (b)     | (c)       | (d)      | (e)            | (f)             | (g)                                     | (h)                                          | (i)                      | (j)         |
| Chen Wei Dong                        | 2008    | $85,674   | 0        | 0              | 0               | 0                                       | 0                                            | 0                        | $85,674     |
| (Chairman of Board and CEO)          | 2009    | $99,587   | 0        | 0              | 0               | 0                                       | 0                                            | 0                        | $99,587     |
|                                 |    |      |     |           |            |                                    |                                         |                     |        |
| Li Ping                              | 2008    | $7,323    |     |           |            |                                    |                                         |                     | $7,323      |
| Director and Chief Financial Officer | 2009    | $8,787    | 0        | 0              | 0               | 0                                       | 0                                            | 0                        | $8,787      |

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|   | • | Each stockholder, or group of affiliated stockholders, who we know beneficially to own more than 5% of the outstanding shares of our common stock; |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • | Each of our current directors; |
|--------|---------|--------------------------------|

|   | • | Each of our executive officers; and Each of our current directors and current executive officers as a group. |
|--------|---------|--------------------------------------------------------------------------------------------------------------|

| Name and Address of Beneficial Owner(1) | Number of shares Beneficially owned | Percentage |
|-----------------------------------------|-------------------------------------|------------|
|                                    |                                |       |
| Executive Officers and Directors        |                                |       |
| Chen Wei Dong                           | 608,549                             | 1%         |
| Zhang Hong Jun                          | 35,174,152                          | 55.1       |
| Wang Sheng Li                           | 7,442,558                           | 11.7       |
| Li Ping                                 | 6,079,408                           | 9.5        |
| Tian Hai Long                           | 6,079,408                           | 9.5        |
| Chen Min                                | 5,470,859                           | 8.6        |
|                                    |                                |       |
| Officers and Directors as a Group       | 60,854,934                          | 95.3%      |
| (6 people)                              |                                |       |

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|          | USD       |
|---------------|-----------|
| Hongjun Zhang | 1,360,948 |
| Pingjun Nie   | 82,013    |
| Shenli Wang   | 7,323     |
| Total         | 1,450,283 |

| Du Kang Liquor Sales Co., Ltd.                     | 120,090   |
|----------------------------------------------------|-----------|
| Xi Deng Hui Development Stock  Co., Ltd  | 245,467   |
| Huitong World Property Superintendent Company      | 366,129   |
| Zhongke Lvxiang Development Stock Co., Ltd         | 1,066,240 |
| Shaanxi Bai Shui Du Kang Brand Management Co.,Ltd. | 14,645    |
| Shaanxi Du Kang Liquor Group Co., Ltd              | 198,392   |
| Shaanxi Changjiang electricity new energy Co.Ltd   | 282,073   |
| Total                                              | 2,293,036 |

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|                               | Year Ended December 31 |
|------------------------------------|------------------------|
|                               |                   |   |
|                               | 2009 (2)               | 2008 (2) |
| Audit Fees (1)                     | $33,000                | $30,000 |
| Audit-Related Fees (3)             | —                | — |
| Tax Fees (4)                       | —                | — |
| All Other Fees (5)                 | —                | — |
| Total Accounting Fees and Services | $33,000                | $37,000 |

|                               | Year Ended | December 31 |
|------------------------------------|------------|-------------|
|                               | 2009 (2)   | 2008 (2)    |
| Audit Fees (1)                     | $13,875    | $13,875     |
| Audit-Related Fees (3)             | [____]     | [___]       |
| Tax Fees (4)                       | [____]     | [___]       |
| All Other Fees (5)                 | [____]     | [___]       |
| Total Accounting Fees and Services | $13,875    | $13,875     |

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|                                                      |   | Page(s) |
|-----------------------------------------------------------|--------|---------|
| REPORT OF INDEPENDENT REGISTERED PUBLIC                   |   |    |
| ACCOUNTING FIRM                                           |   | 41-42   |
|                                                      |   |    |
| CONSOLIDATED BALANCE SHEETS                               |   | 42-43   |
|                                                      |   |    |
| CONSOLIDATED STATEMENT OF INCOME AND COMPREHENSIVE INCOME |   | 44      |
|                                                      |   |    |
| CONSOLIDATED STATEMENT OF SHAREHOLDERS’ EQUITY      |   | 45-46   |
|                                                      |   |    |
| CONSOLIDATED STATEMENT OF CASH FLOWS                      |   | 47-48   |
|                                                      |   |    |
| NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS            |   | 49-64   |

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| Notes                                |   | December 31, 2009 |       | December 31, 2008 |       | December 31, 2007 |
|--------------------------------------|--------|-------------------|------------|-------------------|------------|-------------------|
| ASSETS                               |   |              | $          |              | $          |              | $ |
| Current assets                       |   |              |       |              |       |              |   |
| Cash and cash equivalents            |   |              | 27,194     |              | 23,878     |              | 479,859 |
| Notes receivable                     | 4      |              | -          |              | -          |              | 133,000 |
| Due from related parties             | 5      |              | -          |              | 152,033    |              | - |
| Other current assets and prepayments | 3      |              | 461,504    |              | 674,716    |              | 520,487 |
| Total current assets                 |   |              | 488,698    |              | 850,627    |              | 1,133,346 |
|                                 |   |              |       |              |       |              |   |
| Property, Plant and Equipment, net   | 6      |              | 201,084    |              | 235,584    |              | 253,016 |
| Land use rights, net                 | 7      |              | 16,597,699 |              | 16,987,068 |              | 16,272,927 |
| Goodwill                             | 8      |              | -          |              | -          |              | - |
| Long-term investment                 |   |              | 292,903    |              | 292,629    |              | - |
| Due from related parties             | 10     |              | 856,627    |              | 572,518    |              | 454,040 |
| Total non-current assets             |   |              | 17,948,313 |              | 18,087,799 |              | 16,979,983 |
|                                 |   |              |       |              |       |              |   |
| TOTAL ASSETS                         |   |              | 18,437,011 |              | 18,938,426 |              | 18,113,329 |

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| Notes                                                                                                                                                                                                                     |   | December 31, 2009 |        | December 31, 2008 |        | December 31, 2007 |
|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|-------------------|-------------|-------------------|-------------|-------------------|
|                                                                                                                                                                                                                      |   | $                 |        | $                 |        | $                 |
| LIABILITIES AND SHAREHOLDERS’ EQUITY                                                                                                                                                                                |   |              |        |              |        |              |   |
| Current liabilities                                                                                                                                                                                                       |   |              |        |              |        |              |   |
| Accounts payable                                                                                                                                                                                                          |   |              | -           |              | -           |              | 59,874 |
| Other payables and accrued liabilities                                                                                                                                                                                    | 9      |              | 71,179      |              | 66,587      |              | 165,245 |
| Notes payable - related parties                                                                                                                                                                                           |   |              | 434,139     |              | 434,137     |              | 573,146 |
| Total current liabilities                                                                                                                                                                                                 |   |              | 505,318     |              | 500,724     |              | 798,265 |
| Non-current liabilities                                                                                                                                                                                                   |   |              |        |              |        |              |   |
| Due to related parties                                                                                                                                                                                                    | 11     |              | 3,743,320   |              | 3,444,625   |              | 2,389,188 |
| Due to shareholders                                                                                                                                                                                                       |   |              | 2,653,396   |              | 2,627,395   |              | 2,134,434 |
| Payable on acquisition of a subsidiary                                                                                                                                                                                    |   |              | 1,829,611   |              | 1,827,898   |              | 1,874,565 |
| Total non-current liabilities                                                                                                                                                                                             |   |              | 8,226,327   |              | 7,899,918   |              | 6,398,187 |
|                                                                                                                                                                                                                      |   |              |        |              |        |              |   |
| TOTAL LIABILITIES                                                                                                                                                                                                         |   |              | 8,731,645   |              | 8,400,642   |              | 7,196,452 |
| SHAREHOLDERS’ EQUITY                                                                                                                                                                                                |   |              |        |              |        |              |   |
| Series C convertible preferred stock ($0.01 par value, 10,000,000 shares authorized, 500,000 shares issued and outstanding as of December 31, 2009, 2008 and 2007, respectively)                                          | 14     |              | 5,000       |              | 5,000       |              | 5,000 |
| Common stock  ($0.01 par value, 250,000,000 shares authorized, 37,716,588 shares, 33,216,588 shares, 24,216,588 shares issued and outstanding as of December 31,   2009, 2008, and 2007 respectively) | 13     |              | 377,166     |              | 332,166     |              | 242,166 |
| Treasury stock                                                                                                                                                                                                            |   |              | (489,258)   |              | (489,258)   |              | (489,258) |
| Additional paid-in capital                                                                                                                                                                                                |   |              | 14,180,973  |              | 14,170,352  |              | 13,730,284 |
| Retained earnings                                                                                                                                                                                                         |   |              | (6,258,430) |              | (5,336,755) |              | (3,636,156) |
| Non-controlling interests                                                                                                                                                                                                 |   |              | 459,350     |              | 435,854     |              | 400,496 |
| Effect of foreign currency translation                                                                                                                                                                                    |   |              | 1,430,565   |              | 1,420,425   |              | 664,345 |
| TOTAL SHAREHOLDERS’ EQUITY                                                                                                                                                                                          |   |              | 9,705,366   |              | 10,537,784  |              | 10,916,877 |
| TOTAL LIABILITIES AND                                                                                                                                                                                                     |   |              |        |              |        |              |   |
| SHAREHOLDERS’ EQUITY                                                                                                                                                                                                |   |              | 18,437,011  |              | 18,938,426  |              | 18,113,329 |

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| Notes                                                 |   | Year ended December 31, 2009 |        | Year ended December 31, 2008 |        | Year ended December 31, 2007 |
|-------------------------------------------------------|--------|------------------------------|-------------|------------------------------|-------------|------------------------------|
|                                                  |   |                         | $           |                         | $           |                         | $ |
| Net sales                                             |   |                         | -           |                         | —     |                         | — |
| Cost of sales                                         |   |                         | -           |                         | —     |                         | — |
| Gross profit                                          |   |                         | -           |                         | —     |                         | — |
| Administrative expenses                               |   |                         | (453,534)   |                         | (1,239,700) |                         | (89,680) |
| Depreciation                                          |   |                         | (36,755)    |                         | (35,779)    |                         | (23,675) |
| Amortization                                          |   |                         | (405,100)   |                         | (391,451)   |                         | (359,903) |
| Profit from operations                                |   |                         | (895,389)   |                         | (1,666,930) |                         | (473,258) |
|                                                  |   |                         |        |                         |        |                         |   |
| Other Income (Expenses)                               |   |                         |        |                         |        |                         |   |
| Interest income                                       |   |                         | 152         |                         | 2,909       |                         | 1,922 |
| Interest expenses                                     |   |                         | -           |                         | -           |                         | - |
| Other expenses                                        |   |                         | (2,942)     |                         | (1,220)     |                         | (1,323) |
| Total Other Income (Expense)                          |   |                         | (2,790)     |                         | 1,689       |                         | 599 |
|                                                  |   |                         |        |                         |        |                         |   |
| Income(Loss) before non-controlling interests and tax |   |                         | (898,179)   |                         | (1,665,241) |                         | (472,659) |
| Non-controlling interests(loss)                       |   |                         | (23,496)    |                         | (35,358)    |                         | (96,097) |
|                                                  |   |                         |        |                         |        |                         |   |
| Net loss                                              |   |                         | (921,675)   |                         | (1,700,599) |                         | (568,756) |
| Other comprehensive income                            |   |                         |        |                         |        |                         |   |
| Effects of foreign currency conversion                |   |                         | 10,140      |                         | (756,080)   |                         | 411,136 |
| Comprehensive income/(loss)                           |   |                         | (911,535)   |                         | (2,456,679) |                         | (157,620) |
|                                                  |   |                         |        |                         |        |                         |   |
| Net loss per share                                    |   |                         |        |                         |        |                         |   |
| Basic                                                 |   |                         | (0.02444)   |                         | (0.051197)  |                         | (0.023487) |
| Diluted                                               |   |                         | (0.00143)   |                         | (0.002648)  |                         | (0.000898) |
|                                                  |   |                         |        |                         |        |                         |   |
| Weighted average number of shares outstanding         |   |                         |        |                         |        |                         |   |
| Basic                                                 |   |                         | 37,716,588  |                         | 33,216,588  |                         | 24,216,058 |
| Diluted                                               |   |                         | 646,716,588 |                         | 642,216,588 |                         | 633,216,058 |

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|                                          | Preferred Stock |   | Common Stock |       | Treasury Stock |   | Additional paid-in capital |      | Non-controlling Interest |         | Retained earnings |        |   Accumulated other comprehensive income |        | Total  |
|-----------------------------------------------|-----------------|--------|--------------|------------|----------------|--------|----------------------------|-----------|--------------------------|--------------|-------------------|-------------|-----------------------------------------------|-------------|--------|
|                                          | Share           | Amount |         | Share      | Amount         |   | Share                      | Amount    |                     |         |              |        |                                          |
|                                          |            | $      |         |       | $              |   |                       | $         |                     | $            |              | $           |                                          | $           |   | $ |   | $ |
| Balance at December 31, 2006                  | -               | -      |         | -          | -              |   | -                          | -         |                     | 33,667,990   |              | 1,314,094   |                                          | (3,067,400) |   | 1,075,481 |   | 32,990,165 |
|                                          |            |   |         |       |           |   |                       |      |                     |         |              |        |                                          |        |   |   |   |   |
| Issuance of preferred stock                   | 500,000         | 5,000  |         | -          | -              |   | -                          | -         |                     | 245,000      |              | -           |                                          | -           |   | - |   | 250,000 |
| Recapitalization                              | -               | -      |         | 24,216,588 | 242,166        |   | 17,572,494                 | (489,258) |                     | (20,182,706) |              | 304,399     |                                          | -           |   | - |   | (20,125,399) |
| Disposal of subsidiary                        | -               | -      |         | -          | -              |   | -                          | -         |                     | -            |              | (1,314,094) |                                          | -           |   | - |   | (1,314,094) |
| Net income (loss) for the year                | -               | -      |         | -          | -              |   | -                          | -         |                     | -            |              | 96,097      |                                          | (568,756)   |   | - |   | (472,659) |
| Foreign currency translation gain (loss) | -               | -      |         | -          | -              |   | -                          | -         |                     | -            |              | -           |                                          | -           |   | (411,136) |   | (411,136) |
|                                          |            |   |         |       |           |   |                       |      |                     |         |              |        |                                          |        |   |   |   |   |
| Balance at December 31, 2007                  | 500,000         | 5,000  |         | 24,216,588 | 242,166        |   | 17,572,494                 | (489,258) |                     | 13,730,284   |              | 400,496     |                                          | (3,636,156) |   | 664,345 |   | 10,916,877 |
|                                          |            |   |         |       |           |   |                       |      |                     |         |              |        |                                          |        |   |   |   |   |
| Issuance of common stock                      | -               | -      |         | 9,000,000  | 90,000         |   | -                          | -         |                     | 440,068      |              | -           |                                          | -           |   | - |   | 530,068 |
| Net income (loss) for the period              | -               | -      |         | -          | -              |   | -                          | -         |                     | -            |              | 35,358      |                                          | (1,700,599) |   | - |   | (1,665,241) |
| Foreign currency translation gain(loss)       | -               | -      |         | -          | -              |   | -                          | -         |                     | -            |              | -           |                                          | -           |   | 756,080 |   | 756,080 |
| Balance at December 31, 2008                  | 500,000         | 5,000  |         | 33,216,588 | 332,166        |   | 17,572,494                 | (489,258) |                     | 14,170,352   |              | 435,854     |                                          | (5,336,755) |   | 1,420,425 |   | 10,537,784 |

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|                                    | Preferred Stock | Common Stock | Treasury Stock |    |       |      |                       |                     |
|-----------------------------------------|-----------------|--------------|----------------|---------|------------|-----------|----------------------------|--------------------------|
|                                    | Share           | Amount       | Share          | Amount  | Share      | Amount    | Additional paid-in capital | Non-controlling Interest | Retained earnings | Accumulated other comprehensive income | Total |
|                                    |            | $            |           | $       |       | $         | $                          | $                        | $ | $ | $ |
| Balance at December 31, 2008            | 500,000         | 5,000        | 33,216,588     | 332,166 | 17,572,494 | (489,258) | 14,170,352                 | 435,854                  | (5,336,755) | 1,420,425 | 10,537,784 |
|                                    |            |         |           |    |       |      |                       |                     |   |   |   |
| Issuance of common stock                | -               | -            | 4,500,000      | 45,000  | -          | -         | (45,000)                   | -                        | - | - | -   |
| Recapitalization                        | -               | -            | -              | -       | -          | -         | 55,621                     | -                        | - | - | 55,621 |
| Net income (loss) for the year          | -               | -            | -              | -       | -          | -         | -                          | 23,496                   | (921,675) | - | (898,179) |
| Foreign currency translation gain(loss) | -               | -            | -              | -       | -          | -         | -                          | -                        | - | 10,140 | 10,140 |
| Balance at December 31, 2009            | 500,000         | 5,000        | 37,716,588     | 377,166 | 17,572,494 | (489,258) | 14,180,973                 | 459,350                  | (6,258,430) | 1,430,565 | 9,705,366 |

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|                                                |   | Year ended December 31, 2009 |   | Year ended December 31, 2008 |   | Year ended December 31, 2007 |
|-----------------------------------------------------|--------|------------------------------|--------|------------------------------|--------|------------------------------|
|                                                |   | $                            |   | $                            |   | $                            |
| Cash Flows from Operating Activities                |   |                         |   |                         |   |                         |
| Net loss                                            |   | (921,675)                    |   | (1,700,599)                  |   | (568,756)                    |
| Provided by operating activities:                   |   |                         |   |                         |   |                         |
| Depreciation and amortization                       |   | 441,855                      |   | 427,230                      |   | 383,578                      |
| Goodwill impairment                                 |   | -                            |   | -                            |   | 3,119,502                    |
| Interest receivable                                 |   | -                            |   | (45,560)                     |   | -                            |
| Interest paid                                       |   | -                            |   | 103,137                      |   | -                            |
| Non-controlling interests                           |   | 23,496                       |   | 35,358                       |   | 96,097                       |
| Other current assets and prepayments                |   | 213,844                      |   | (118,436)                    |   | (115,969)                    |
| Other payables and accrued liabilities              |   | 4,530                        |   | (349,590)                    |   | (98,485)                     |
|                                                |   |                         |   |                         |   |                         |
| Net cash provided by (used in) operating activities |   | (237,950)                    |   | (1,648,460)                  |   | 2,815,967                    |
|                                                |   |                         |   |                         |   |                         |
| Cash Flows from Investing Activities                |   |                         |   |                         |   |                         |
| Purchase of property and equipment                  |   | -                            |   | (2,149)                      |   | (36,462)                     |
| Due from related parties                            |   | (131,397)                    |   | 200,780                      |   | (454,040)                    |
| Acquisition of long-term investment                 |   | -                            |   | (292,629)                    |   | (2,422,142)                  |
| Interest received                                   |   | -                            |   | 45,560                       |   | -                            |
| Net cash used in investing activities               |   | (131,397)                    |   | (48,438)                     |   | (2,912,644)                  |

----

|                                                 |   | Year ended December 31, 2009 |   | Year ended December 31, 2008 |   | Year ended December 31, 2007 |
|------------------------------------------------------|--------|------------------------------|--------|------------------------------|--------|------------------------------|
|                                                 |   | $                            |   | $                            |   | $                            |
| Cash flows from financing activities                 |   |                         |   |                         |   |                         |
| Proceeds from notes payable                          |   | -                            |   | (6,009)                      |   | (133,000)                    |
| Interest paid                                        |   | -                            |   | (103,137)                    |   | -                            |
| Common stock issued for  legal expense     |   | 45,000                       |   | 90,000                       |   | -                            |
| Due to related parties                               |   | 295,465                      |   | 1,055,437                    |   | 1,592,291                    |
| Due to shareholders                                  |   | 34,159                       |   | 492,961                      |   | 429,330                      |
| Net cash provided by/(used in) financing activities  |   | 374,624                      |   | 1,529,252                    |   | 1,888,621                    |
|                                                 |   |                         |   |                         |   |                         |
| Net increase (decrease) in cash and cash equivalents |   | 5,277                        |   | (167,646)                    |   | 1,791,944                    |
| Effect of foreign currency translation on cash       |   | (1,961)                      |   | (288,335)                    |   | (2,099,768)                  |
| Cash and cash equivalents at beginning of year       |   | 23,878                       |   | 479,859                      |   | 787,683                      |
|                                                 |   |                         |   |                         |   |                         |
| Cash and cash equivalents at end of year             |   | 27,194                       |   | 23,878                       |   | 479,859                      |

----

----

----

----

----

----

----

| Machinery                      | 5 years  |
|--------------------------------|----------|
| Motor vehicles                 | 10 years |
| Furniture and office equipment | 5 years  |

----

----

|                                     | 2009.12.31 | 2008.12.31 | 2007.12.31         |
|------------------------------------------|------------|------------|--------------------|
| Period end US$ : RMB exchange rate       | 6.8282     | 6.8346     | 7.3046             |
| Average periodic US$ : RMB exchange rate | 6.8314     | 7.0696     |   7.5567 |

|                                     | 2009.12.31 | 2008.12.31 | 2007.12.31 |
|------------------------------------------|------------|------------|------------|
| Period end US$ : UHK exchange rate       | 7.7549     | 7.7499     | 7.8007     |
| Average periodic US$ : UHK exchange rate | 7.7524     | 7.7753     | 7.7864     |

----

----

----

----

----

|                               |   | December 31, 2009 |   | December 31, 2008 |   | December 31, 2007 |
|------------------------------------|--------|-------------------|--------|-------------------|--------|-------------------|
|                               |   | $                 |   | $                 |   | $                 |
| Cost                               |   |              |   |              |   |              |
|    Machinery             |   | -                 |   | -                 |   | 2,226             |
|    Motor vehicles        |   | 278,249           |   | 277,989           |   | 260,102           |
|    Office equipment      |   | 58,221            |   | 60,703            |   | 52,787            |
| Total                              |   | 336,470           |   | 338,692           |   | 315,115           |
|                               |   |              |   |              |   |              |
| Accumulated depreciation           |   | (135,386)         |   | (103,108)         |   | (62,099)          |
|                               |   |              |   |              |   |              |
| Property, plant and equipment, net |   | 201,084           |   | 235,584           |   | 253,016           |

|                     |              |        | December 31, 2009 |        | December 31, 2008 |        | December 31, 2007 |
|--------------------------|-------------------|-------------|-------------------|-------------|-------------------|-------------|-------------------|
|                     |              | $           |              | $           |              | $           |
| Cost                     |              |        |              |        |              |        |
|                     | Coal mining right |        | 18,744,677        |        | 18,727,124        |        | 17,522,165        |
| Accumulated Amortization |              | (2,146,978) |              | (1,740,056) |              | (1,249,238) |
|                     |              |        |              |        |              |        |
| Intangible asset, net    |              | 16,597,699  |              | 16,987,068  |              | 16,272,927  |

----

|           |   | December 31, 2009 |   | December 31, 2008 |   | December 31, 2007 |
|----------------|--------|-------------------|--------|-------------------|--------|-------------------|
|           |   | $                 |   | $                 |   | $                 |
| Cost           |   | 22,786,715        |   | 22,786,715        |   | 22,786,715        |
|           |   |              |   |              |   |              |
| Impairment     |   | (22,786,715)      |   | (22,786,715)      |   | (22,786,715)      |
|           |   |              |   |              |   |              |
| Carrying Value |   | -                 |   | -                 |   | -                 |

|                             |   | December 31, 2009 |   | December 31, 2008 |   | December 31, 2007 |
|----------------------------------|--------|-------------------|--------|-------------------|--------|-------------------|
|                             |   | $                 |   | $                 |   | $                 |
| Interest payable                 |   | -                 |   | -                 |   | 75,434            |
| Salary and welfare payable       |   | 20,029            |   | 16,328            |   | 11,333            |
| Accrued audit and consultant fee |   | -                 |   | -                 |   | 45,048            |
| Other payable                    |   | 51,150            |   | 50,259            |   | 33,430            |
|                             |   | 71,179            |   | 66,587            |   | 165,245           |

----

----

|                            |   | CHINA CHANGJIANG MINING AND NEWENERGY COMPANY, LTD.(Registrant) |
|---------------------------------|--------|-----------------------------------------------------------------|
|                            |   |                                                            |
| Date: April 26, 2012            | By     | /s/ Chen Wei Dong                                               |
|                            |   | Chen Wei Dong                                                   |
|                            |   | Chief Executive Officer and President                           |
|                            |   |                                                            |
|                            |   |                                                            |
| Date :  April 26,2012 | By     | /s/ Li Ping                                                     |
|                            |   | Li Ping                                                         |
|                            |   | Chief Financial Officer                                         |
|                            |   | (Principal Financial Officer)                                   |

| Name               |   | Capacity                       |   | Date           |
|--------------------|--------|--------------------------------|--------|----------------|
|               |   |                           |   |           |
|               |   |                           |   |           |
| /s/ Chen Wei Dong  |   | Chief Executive Officer        |   | April 26, 2012 |
|               |   |                           |   |           |
|               |   | President and                  |   |           |
|               |   | Chairman of Board of Directors |   |           |
|               |   |                           |   |           |
|               |   | (Principal Executive Officer)  |   |           |
|               |   |                           |   |           |
|               |   |                           |   |           |
| /s/ Li Ping        |   | Chief Financial Officer        |   | April 26, 2012 |
|               |   |                           |   |           |
|               |   | (Principal Financial Officer)  |   |           |
|               |   |                           |   |           |
| /s/ Zhang Hong Jun |   | Director                       |   | April 26, 2012 |
|               |   |                           |   |           |
|               |   |                           |   |           |
|               |   |                           |   |           |
| /s/ Wang Sheng Li  |   | Director                       |   | April 26, 2012 |
|               |   |                           |   |           |
|               |   |                           |   |           |
|               |   |                           |   |           |
| /s/ Tian Hai Long  |   | Director                       |   | April 26, 2012 |