LEASE
CONTRACT FOR FACTORY DORMITORY

     

    Lessor
(hereinafter referred to as Party A): Anbao District Fuyong town Qiaotou
Economic development Corporation

    Lessee
(hereinafter referred to as Party B): Junning Ma

     

    In order
to introduce foreign capital, develop township economy, and increase the income,
base on the principle of mutual benefit and reciprocity and collaborative
development,  Party A and Party B have reached an agreement through
friendly consultation to conclude the following contract for factory, dormitory
and dining hall.

     

    First,
Party B should use and manage quietly according to the law and regulation of
People Republic of China.

     

    Second,  Party
A will lease to Party B to use and operate the No. 5 Factory Building located at
Qiaotou FuQiao Industrial Zone, gross size of which is 4100 square meters. This
building that Party A lease pass the inspection standards of completed project.
If any quality issue influence its use and artistic property, Party A will be
responsible for fixing; if the quality issue cause Party B to stop producing and
Party B will undertake the loss.

     

    Third,  The
lease term will be three years, from January 1, 2007 to December 31,
2010.

     

    Fourth,
The rental ( including management fees, property tax fees and etc. ) will be
11.50 RMB/ square meters per month. Party B will pay the rental to Party A
before the end of each month.

     

    Fifth,
the land use fees will be 1 RMB / square meter, Party B will be responsible to
pay for the land use fees and sanitation service fees.

     

    Sixth,
for the No. 5 factory building that Party B rent, Party A will give Party B 60
days to fix up. There will be no rental during this period. Party A will provide
it to Party B to use the No. 5 factory building before January 1, 2007, and
lease commencement date will be January 1, 2007.  Party A collect
100,000 for RMB deposit, which will be returned in full when the lease term
ends. If the applications for fire fighting, environmental protection, business
licenses and other relevant procedures were not approved, Party A agrees to
return the deposit to Party B and terminate the contract.

    


    Seventh,
Party A will be responsible for bringing the resources of water, electricity,
road and the main water pipeline firefighting to the factory edge for Party B to
use, and providing and install the 250 KVA Transformer for Party B to use. Party
B will be responsible for all the other equipment besides the
transformer.  Party A will be in change of installing a 2 ton elevator
in the factory for Party B to use for free.


    
      
         


      

      
         


        
          

        

      

      
         


      

    


    Eighth,
Party A will be responsible for providing at least 5 telephone lines for Party B
to use. Party B will be responsible for paying the fees of installation and
charge for use.

    


    Ninth,  factory
director will be appointed by Party A and will co-ordinate the related operating
and managing work and will be directly responsible for the security management.
The wage for the factory director will be 1500 RMB per month, paid by Party B
each month, starting from January 1, 2007. If the factory director is not
responsible, Party B can discuss with Party A and Party A will appoint a new
factory director.

    


    Tenth,
according to the related regulations from Baoan district People's Government
x

    Renewable
Resources Corporation, the Waste Material that  Party B generate
during its operation will be purchased by the Village committee since the first
day of  Officially putting into operation.

     

    Eleventh,
Party B will be responsible for all the fees and charges during its Production
and operation.

    


    Twelfth,  Both
parties should not Breach of contract for any reason mid-way. The party who
breach the contract should compensate the other party for all the loss. If Party
B could not continue to operate because of the economic downturn, Party must
notify Party A in writing 6 months in advance and both parties would discuss to
solve it then.

    


    Thirteenth,
if there is anything that not covered if this contract, both parties can add
later.

    


    Fourteenth,
there are 2 copies( 3 pages each) of this contract. Each party will hold 1 copy
and will have the same legal effect.

    


    Fifth,
this contract will be effective since the date when signed by both
parties.

    


    
      	
              Party
      A:

            	
              Party
      B:

            
	 
      	 
      
	
              Representative:

            	
              Representative:
      Shuji Lin

            
	 
      	 
      
	
              Date
      of signing: January 1, 2007