EXHIBIT
      10.18

     

    Technical
      Cooperation Agreement

    on

    Elimination
      of Idle
      Condition between
      Metering roller and Dampening distributor of 

    Printing
      Machine 

     

    Project
      Name: Elimination of Idle Condition between Metering roller and Dampening
      distributor of Printing Machine

     

    Project
      Proposed by: DuoYuan Digital Printing Technology Industry (China) Co.,
      Ltd.

     

    Co-developer:
      Xi’an Technology University (Party B) 

     

    Place
      Signed: Daxing, Beijing

     

    Date
      Signed: April 22, 2006

     

    Term
      of
      Validity: from April 22, 2006 to April 21, 2008

    


    In
      accordance with the Contract Law of the People’s Republic of China and after
      mutual negotiation, both parties hereto enter into this agreement (the
“Agreement”) on the technical cooperation in the project of elimination of Idle
      Condition between Metering roller and dampening distributor (the
“Project”).

    


    I.
      Content, Form and Requirements of Subject Technology:

     

    
      	
               

            	
              (1)

            	
              Eliminate
                Idle Condition of printing machines and guarantee their stable operation.
                

            


    

     

    
      	
               

            	
              (2)

            	
              Enable
                free selection of realization path of principles or
                structures.

            


    

     

    
      	
               

            	
              (3)

            	
              All
                structures or principles are required to be based on theories and
                experiment and validation plans shall be in place when necessary.
                

            


    

     

    
      	
               

            	
              (4)

            	
              Key
                plan review is required on finalization or specific implementation
                of
                design plans and rigorous design quality review shall be conducted
                to
                ensure effectiveness and usability of research results.
                

            


    

     

    II.
      Research and Development Plan:

     

    
      	
               

            	
              (1)

            	
              Both
                parties’ technology research and development personnel shall spend 1-2
                months in finding and classifying problems in the plant of Party
                A.
                

            


    

     

    
      	
               

            	
              (2)

            	
              Both
                parties shall jointly develop, discuss and finalize an improvement
                plan
                within one month.

            


    

     

    
      	
               

            	
              (3)

            	
              The
                research and development personnel of both parties respectively carry
                out
                technical reform, research and development efforts as per the finalized
                plan, and summarize, discuss and review the results when reaching
                certain
                point of progress. 

            


    

     

    
      	
               

            	
              (4)

            	
              The
                total length of the technical reform shall be two
                years.

            


    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    III.
      Pattern of Cooperation:

     

    
      	
               

            	
              (1)

            	
              The
                Project is treated as the subject of theses of Party B’s students for
                master’s degree. 

            


    

     

    
      	
               

            	
              (2)

            	
              Party
                A will provide the model machine and cover all expenses incurred
                in
                Beijing by the personnel of Party
                B.

            


    

     

    
      	
               

            	
              (3)

            	
              Party
                A will cover the cost of all materials used during the development.
                

            


    

     

    
      	
               

            	
              (4)

            	
              The
                ownership and intellectual property rights to the research and development
                results shall vest in Party A.

            


    

     

    
      	
               

            	
              (5)

            	
              Party
                B shall own the copyrights of the results and their ownership in
                the
                academic domain, but shall not own the proprietorship allowing
                transformation of the results into products.


            


    

     

    IV.
      Equipment, instruments and materials purchased for the purpose of the research
      and development shall belong to Party A and Party B shall be the owner of such
      auxiliary tools and devices as computers used for design work.

     

    V.
      Term,
      Place and Way of Performance:

     

    The
      Agreement shall be performed in Beijing and Xi’an during the term from April 22,
      2006 through to April 21, 2008. 

     

    VI.
      Intellectual Property Rights Covenant: Party A will exclusively own the
      intellectual property right of the technology and after completion of the
      Agreement, Party B shall solely be entitled to the use right and copyright
      of
      the technology as well as the ownership thereof in the academic domain, but
      will
      not possess its proprietorship that allows transformation of the technology
      into
      products, and shall strictly comply with the Law on Protection of National
      Secrets without stealing and divulging such secrets or donating, re-selling
      the
      technology to any other third person. 

     

    VII.
      Standards and Process of Inspection and Acceptance:

     

    The
      technical results accomplished in the research and development shall achieve
      elimination or basic elimination of Idle Condition between Metering roller
      and
      dampening distributor. Standards of Inspection and Acceptance: The sample
      machine is required to be free of Idle Condition phenomenon after trial
      operation for more than half a year. 

    VIII.
      Settlement of Disputes:

     

    Both
      parties shall negotiate with each other to settle disputes occurring during
      performance of the Agreement. If both parties are unwilling to seek such
      settlement through mutual negotiation or conciliation, or if the negotiation
      or
      conciliation effort has failed, both parties agree to resolve the dispute(s)
      using the
      1st method
      described here below: 

     

    
      	
               

            	
              (1)

            	
              Submit
                any dispute arising from the Agreement to the arbitration commission
                in
                the place of signing of the Agreement for settlement through
                arbitration.

            


    

     

    
      	
               

            	
              (2)

            	
              Settle
                the dispute(s) through legal proceedings.


            


    

    


    Party
      A:
      /s/ DuoYuan Digital Printing Technology Industry (China) Co., Ltd.

    Address:
      #3 Jinyuan Road, Daxing Industrial Development Zone, Daxing District, Beijing,
      102600

    Tel:
      01060212222

    Signature/Seal
      by Person in Charge: Zhang Shengyuan 

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    Party
      B:
      /s/ Xi’an Technology University 

    Address:
      #4 Jinhua Road (North), Xi’an City, Shanxi Province, 710032

    Tel:
      02983208256

    Signature/Seal
      by Person in Charge: Yu Weide

     

    
      
         

      

      
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