Document:

Exhibit
10.1

    (English
Translation)

     

    Index
No.: 75012009284390

     

    SPD
BANK

     

    Agreement
for Short-term Loan

     

    SHANGHAI
PUDONG DEVELOPMENT BANK

    
      
         

      

      
        1

        
          

        

      

      
         

      

    

     

    Agreement
for Short-term Loan

     

    
      
        	
                To:
      Shanghai Pudong Development Bank     
      Dalian      
      Branch/Sub-branch

              	
                No.:75012009284390      

              

      

    

     

    
      	
              Client
      Name:

            	
              Dalian
      Heavy Mining Equipment Manufacturing Co. Ltd.

            	
              Date
      of Application:

            	 
      
	
              Address:

            	 
      	
              Contact
      with Client:

            	 
      
	
              Telephone:

            	 
      	
              Contact
      with Financing Bank:

               

              (This
      section fill out by Finance Bank)

            	 
      
	
              Fax:

            	 
      	 
      

    

     

    Our
company hereby irrevocably applies for the short-term liquidity loan from your
bank under the following articles of the agreement:

     

      
        

      

    

    I.  Paramount
Clause

    
      
 

     ̈  This
Agreement is signed as the subsidiary financing documents for the
<<Agreement for Financing Facilities>> with number________(Hereafter
referred as Agreement for Financing Facilities), after this agreement come into
effect, all of its clause shall be incorporated into the Agreement for Financing
Facilities, and as an integral part (In the event the client has signed a
Agreement for Financing Facilities with the Financing Bank, this option shall be
chosen, and write down the Agreement for Financing Facilities
number;

     

    þ  This
agreement is a separate credit document signed between the client and the
Financing Bank (In the event the client has not signed a Agreement for Financing
Facilities with the Financing Bank, this option shall be chosen);

     

     ̈  The loan
stated in the agreement is used for paying off the existing debt, which the
guarantor has known well.  Original Agreement 
Name:                                   
             
   Signing
Date:                                      
          
   Index Number:

    (In the
event the loan is used for paying off the existing debt, this option must be
chosen)

     

    
      

    

    II.
Description of the Loan

     

    (If the
interest rate and penalty rate of interest about the loan have been agreed in
the Agreement for Financing Facilities, relevant blanks in the agreement are
permitted to be left unfilled)

     

    
      
        
          	
                  Currency

                	
                  Amount
      (in 

                  Capital)

                	
                  Date
      of  

                  Drawing

                	
                  Due
      Date (or 

                  Period)

                	
                  Interest
      Rate

                	
                  Penalty
      Rate for 

                  Overdue

                	
                  Penalty
      Rate for 

                  Embezzlement

                
	
                  RMB

                	
                  Twelve
      Millions Yuan Even

                	
                  1/12/2010

                	
                  1/11/2011

                	
                  12
      Months Benchmark interest rate (þ
      plus  ̈  subtract)
      10
      %

                   

                  The interest rate at the time this contract was
      signed is 5.841%

                	
                  8.7615%

                	
                  11.682%

                
	
                  Foreign
      Currency

                	 
      	 
      	 
      	
                   ̈  __
      Month Libor + __

                	 
      	 
      
	
                   ̈  Other___

                
	
                  Loan
      Purpose

                	
                  Cash
      Flow

                
	
                  Method
      of Interest Rate Adjustments

                	
                  RMB

                	
                  In
      the even that the People’s Bank of China adjust the Benchmark interest
      rate before the release of the agreed loan, then the Benchmark interest
      rate of the People’s Bank of China on the loan release date shall be used
      as the Benchmark interest rate; In the even that the People’s Bank of
      China adjust the Benchmark interest rate after the loan was release and
      during the loan period, then

                   

                   ̈
      Adjust monthly; adjust on the 21st
      day of each month;

                   

                  þ  Adjust
      quarterly; adjust on the 21st
      day of the last month of the quarter;

                   

                   ̈  No
      adjustment;

                   

                   ̈  Other
      _______

                
	
                  Foreign
      Currency

                	
                  From
      the loan release date, adjust monthly
      on the corresponding date with the latest foreign currency interest
      rate.

                
	
                  Method
      of Interest Calculation

                	
                   ̈  Monthly
      statement, calculated on the 20th
      day of each month;

                   

                  þ  Quarterly
      statement, calculated on the 20th
      day of the last month of the quarter;

                   

                   ̈  Interest
      paid on the loan maturity day, interest shall be paid along with the
      principle.

                
	
                  Liquidated
      Damages for Early Repayment

                	
                  Shall
      be equivalent to ___% of the total early
  repayment

                

        

      

    

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

     

    Note:

     

    
      	
               
      

            	
              1)

            	
              For
      monthly or quarterly statement, the last portion of the interest shall be
      paid along with the principle.

            

    

     

    
      	
               
      

            	
              2)

            	
              The
      actual drawing date and the maturity date shall be refer to the date noted
      on the IOU (Loan Certificate),  If the IOU did not specify the
      maturity date, the maturity date shall be the actual drawing date plus the
      loan period.  IOU (Loan Certificate) is the inseparable portion
      of this agreement.

            

    

     

      
        

      

    

    III.
Description of the Guarantee

     

    (If the
guarantee agreement has been reached in the Agreement for Financing Facilities,
relevant blanks in the agreement are permitted to be left unfilled)

     

    
      
        
          	
                  Guarantor

                	
                  Dalian Union-Chuangye Bonding Co.
      Ltd.

                   

                  Wang,
      Lixin

                	
                  Type
      of Guarantee

                	
                   ̈  Mortgage,
      Guarantee Contract number: __________;

                   ̈  Pledge,
      Guarantee Contract number:_____________;

                  þ  Assurance,
      Guarantee Contract number: YB7501200928439001/02

                

        

      

    

    IV.
General Clauses

     

      

    

    The
client hereby confirms that the following clauses for loan have been read and
agreed:

     

    
      	
               
      

            	
              1.

            	
              After
      the financing bank has signed the agreement, except that the loan has been
      granted to the client in accordance with the agreement, it has the right
      to cancel the granting of loan agreed in the agreement at any
      time.

            

    

     

    
      	
               
      

            	
              2.

            	
              Repayment
      and interest calculation method: except otherwise stated therein, the
      principle shall be repay at the maturity date in lump
      sum.   The interest in the agreement shall be calculated
      daily from the granting date, and repay in according to the agreement
      reach by the client and the financing
bank.

            

    

     

    
      	
               
      

            	
              3.

            	
              Document
      submitted: the client must submit the following documents to the financing
      bank or meet relevant requirements before withdrawal; however, the
      financing bank has no obligations to examine the authenticity of the
      documents.

            

    

     

    
      	
               
      

            	
              (1)

            	
              The
      latest articles of incorporation, copies of business
    license;

            

    

     

    
      	
               
      

            	
              (2)

            	
              The
      decisions of the Board of Directors for the client to sign the agreement
      and its attached financing documents (in the event the articles of
      incorporation of the client gives restrictions on the signing right of the
      legal representative);

            

    

     

    
      	
               
      

            	
              (3)

            	
              The
      authorization of the representative from the client and signature of the
      representative;

            

    

     

    
      	
               
      

            	
              (4)

            	
              The
      agreement with legal signature of the
client;

            

    

     

    
      	
               
      

            	
              (5)

            	
              The
      withdrawal date agreed by the client should be the business day of the
      financing bank;

            

    

     

    
      	
               
      

            	
              (6)

            	
              If
      the loan in the agreement is guaranteed, the guarantee document should be
      signed and come into effect before
withdrawal;

            

    

     

    
      	
               
      

            	
              (7)

            	
              Loan
      certificate with client’s valid name
stamp.

            

    

     

    
      	
               
      

            	
              (8)

            	
              The
      documents and/or conditions requests by the financing bank at
      anytime;

            

    

     

    
      	
               
      

            	
              4.

            	
              If
      the dates of withdrawal and repayment are not a business days of the
      financing bank, the dates should be postponed to the next business days
      and the interest should be counted within the postponed
    days.

            

    

     

    
      	
               
      

            	
              5.

            	
              Advance
      repayment and early maturity: Unless the bank has informed the client
      about the early maturity, the client must apply for the writing permission
      from the bank before making advance repayment, and the financing bank
      reserve the right to request the agreed liquidated damages for early
      repayment from the client.  Any advance repayment shall be
      treated as early maturity.  The financing bank reserve the right
      to request early maturity of the agreed loan to the client without
      explanations, the client shall repay the loan
  immediately.

            

    

     

    
      	
               
      

            	
              6.

            	
              Tax:
      except otherwise stated in the law, the client has to deduct the relevant
      taxes out of the repayment according to the law, otherwise, all the amount
      agreed in the agreement must be paid off without any
      deduction.  If the client has to deduct the relevant taxes
      according to the law, the client shall pay additional amount to the bank
      so that the bank can get full amount specified in this agreement without
      any deduction.

            

    

     

    
      	
               
      

            	
              7.

            	
              Statements
      and warranties: the client should make the following statements and
      warranties, and the statements and warranties are treated as the necessity
      whenever the bank grants loans to the client according to the
      agreement:

            

    

     

    
      	
               
      

            	
              (1)

            	
              The
      client must be an entity registered legally in China (excluding Hong Kong,
      Macao and Taiwan, similarly hereinafter).  It should have the
      right to sign this agreement and all the relevant documents, take any
      necessary corporate actions to assure the validity, effect and compulsory
      fulfillment of this agreements and relevant
  documents;

            

    

     

    
      	
               
      

            	
              (2)

            	
              The
      signing and fulfillment of this agreement shall not violate the other
      signed contracts and documents, articles of incorporation, applicable laws
      and administrative provisions, certain documents and verdicts from
      relevant authorities, other obligations and arrangements of the
      client.  The client shall apply and granted all approval,
      authorization, registration and license according to law and maintain
      their validity, at the request of the bank, the client shall issue
      relevant certificates immediately.

            

    

     

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

     

    
      	
               
      

            	
              (3)

            	
              The
      client must clarify all financial statements (if any) comply with China’s
      law and regulations, which shall be true, integral and judicial to reflect
      its financial status; during the signing and fulfillment of the agreement,
      the client must make sure that the materials, documents and information
      about guarantee and itself submitted to the bank, must be true, effective,
      correct and integral without any concealment and
  omission;

            

    

     

    
      	
               
      

            	
              (4)

            	
              The
      client shall carry out its business in line with the regulations and law;
      it must conduct business based on the regulations stated in its business
      license and legal scope of business; besides, it should handle annual
      check formalities in time;

            

    

     

    
      	
               
      

            	
              (5)

            	
              The
      client shall assure that there will be no such conditions and affairs that
      can or may cause serious negative influence on its contractual
      capability.

            

    

     

    
      	
               
      

            	
              8.

            	
              Commitments:
      The client must make following
commitments:

            

    

     

    
      	
               
      

            	
              (1)

            	
              The
      client shall repay the loan’s principle, interest and associate fees on
      time, and shall fully comply with the obligation in the
      agreement;

            

    

     

    
      	
               
      

            	
              (2)

            	
              In
      the event the client has known that it is involved in the economic, civil,
      criminal and administrative lawsuit procedures with serious negative
      influence or its major capital is concerned with any official measures
      such as compulsory implementation, being sealed, detention, being frozen
      and lien, it should inform the bank in writing form about the influence
      and remedial measures taken or to be taken in detail within 5 business
      days;

            

    

     

    
      	
               
      

            	
              (3)

            	
              The
      borrower promises not to violate the normal order of repay and repay other
      loan first, and will not sign any contract or agreement that may resulting
      the loan under this agreement in a subordinate
  position.

            

    

     

    
      	
               
      

            	
              (4)

            	
              from
      the date of signing to the end of repayment in the agreement, without the
      written permission from the financing bank, the client will
      not:

            

    

     

    
      	
               
      

            	
              a.

            	
              Undergo
      the procedures such as liquidation, bankruptcy, reformation, merger
      (acquisition),
      incorporation, dissolution, capital reduction or similar legal
      procedures;

            

    

     

    
      	
               
      

            	
              b.

            	
              Sell,
      hire, donate, transfer or deal with its major capital in any form except
      the daily business necessary;

            

    

     

    
      	
               
      

            	
              c.

            	
              Reconstruct
      its stockownership;

            

    

     

    
      	
               
      

            	
              d.

            	
              Provide
      guarantee to a third party that can cause serious negative influence on
      its ability to fulfill this
agreement;

            

    

     

    
      	
               
      

            	
              e.

            	
              Sign
      contracts/ agreements or take responsibilities that can cause serious
      negative influence on its ability to fulfill the
  agreement.

            

    

     

    
      	
               
      

            	
              (5)

            	
              When
      the guarantee in the agreement meets special conditions or has to be
      changed, the client should provide other guarantees up to the requirement
      of the financing bank. The special conditions and changes include but not
      limited to out of service, dissolution, removal of business license,
      applying or being applied for reconstruction and bankruptcy, serious
      changes in operation and finance of the guarantor, being involved in
      serious lawsuits or arbitrations where its legal representatives,
      directors, supervisors or executives are involved in, the values of things
      guaranteed are or may be reduced, measures are taken for attachment,
      noncompliance against the agreement found or the contracts requested for
      cancellation.

            

    

     

    
      	
               
      

            	
              (6)

            	
              Under
      the requirements of the financing bank, the client should handle the
      notarization with effect of compulsory implementation in the pubic notary
      office appointed by the bank, bear the cost and accept the compulsory
      implementation willingly;

            

    

     

    
      	
               
      

            	
              (7)

            	
              The
      client should inform the financing bank of the events that will influence
      its capability to fulfill the obligations under the agreement and the
      relevant documents.

            

    

     

    
      	
               
      

            	
              9.

            	
              Market-oriented
      interest rates: After the granting of the agreed loan, it the People’s
      Bank of China implement the market-oriented interest rates policy of
      Renminbi loan, the borrower and the lender shall engaged in consultation
      immediately to determine the interest rate
  standard.

            

    

     

    
      	
            	
              10.

            	
              Expenses
      and costs: as for the expenses on the modification, signature, compulsory
      implementation, notarization and registration of any document, the client
      should make compensation to the financing bank at the request of the
      financing bank. Except those stated for the financing bank to pay, the
      client should pay the stamp tax and other taxes of the agreement and the
      relevant documents.

            

    

     

    
      	 	
              11.

            	
              Interest
      penalty: The client hereby confirms, the financing bank reserve the right
      to charge according to the following
criteria:

            

    

     

    
      	
               
      

            	
              (1)

            	
              With
      regard to the unpaid and due (the term “maturity” in this agreement also
      includes the early maturity announced by the financing bank) principle;
      the client should pay the interest penalty to the bank. The interest
      penalty shall be calculated daily on the sum unpaid from the due date to
      when all principle and interest were
repay.

            

    

     

    
      	
               
      

            	
              (2)

            	
              In
      the event the client does not use the loan for what was agreed, the
      financing bank reserves the right to charge embezzlement punitive interest
      on the loan.  The embezzlement punitive interest shall be
      calculated daily from the day when the contract was breach to when all
      principle and interest were repay.

            

    

     

    
      	
               
      

            	
              (3)

            	
              With
      regard to the unpaid and due (the term “maturity” in this agreement also
      includes the early maturity announced by the financing bank) interest
      (including regular interest, pass due punitive interest, embezzlement
      punitive interest); the client should pay additional interest penalty to
      the bank with the pass due punitive interest rate. The interest penalty
      shall be calculated daily on the sum unpaid from the due date to when all
      principle and interest were repay.

            

    

     

    
      	 	
              12.

            	
              Authorized
      repayment and offset: the client hereby authorizes the financing bank on
      behalf of the client to use the fund (regardless of the kind of currency)
      in its account in the financing bank for the repayment of the debts when
      the client repays no due loan whether or not the debts belong to those
      under the agreement; the authorization is irrevocable; regarding to the
      currency conversion, the bank will adopt the conversion rate determined by
      itself with the risk taken by the
client.

            

    

     

    
      	 	
              13.

            	
              Acknowledgement
      of debt: according to the constant standard business rules, the financing
      bank will keep a set of accounting statements and vouchers in the book of
      account that is related to the business under the agreement. Except
      obvious errors, the client should treat the accounting statement and
      document as valid proofs for its
debts.

            

    

     

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

     

    
      	
            	
              14.

            	
              Transfer:
      the client has no right to transfer the rights or obligations in the
      agreement to others. The financing bank has the right to transfer the
      rights and obligations in the agreement to a third party, disclose any
      relevant information to a third-party which includes any information
      offered by the client and guarantors for the
  agreement.

            

    

     

    
      	
            	
              15.

            	
              Information
      disclosure: the client agrees: in addition to the disclosure permitted in
      article 14, the financing bank can disclose all the relevant information
      of the agreement to headquarters, branches, related organizations and the
      staffs in the organizations; meanwhile, the disclosures, which are in line
      with the requirements of laws and regulations of supervision departments,
      government agencies and judicial organs, are also
    permitted.

            

    

     

    
      	
            	
              16.

            	
              Default:
      the client violates the statements and commitments in the agreement, or
      the statements and commitments in it are not true, incorrect, incomplete
      and inaccurate or have been violated; it violates or refuses to fulfill
      the commitments and the regulations in the agreement; the conditions
      undergoing in the company of the client threaten the security of the loan;
      the guarantors violate the rules agreed in the guarantee documents. If any
      condition mentioned above happens, the financing bank has the right to
      claim the acceleration of the maturity for the loan and the client shall
      compensate for all the losses of the bank including attorney
      fee.

            

    

     

    
      	
            	
              17.

            	
              Special
      agreement for group client: in the event the client of the agreement is a
      group, the client hereby agrees: (1) the client should report timely the
      related transaction conditions about over 10% net assets of the concrete
      fiduciary, including: a. Relationship of trading parties; b. Project and
      nature of transaction; c. Transaction sum or corresponding proportion; d.
      Policy of pricing (including transaction with no sum or only token
      payment); (2) If the fiduciary has one of the following conditions, the
      client will be taken as violating the contract, and the financing bank has
      the right to cancel the credit extension from the client, take back
      partial or full credit extension or demand the client to add 100%
      guarantee fund: a. Provide fake materials or hide key operation and
      financial activities; b. with the permission of the financing bank, the
      purpose under credit extensions is changed, peculate or engage in illegal
      or violating transaction under the credit; c. utilize fake contracts with
      associated parties, take bills receivable, account receivable or other
      obligatory right (which have no trading actually) for discounting or
      pledge to cheat for fund or credit from the bank; d. Refuse the
      supervision and check on the use and financial activities of the credit
      funds by the financing bank; e. Serious merger, reconstruction or
      recombination occur, which the bank thinks will threaten the safety of the
      credit funds; f. evade the claimable assets on purpose through associated
      transaction.

            

    

     

    
      	
            	
              18.

            	
              Other
      clauses agreed:  When the borrower request for withdrawal, the original loan
      notice that met the requirement of the bank from Dalian Union-Chuangye
      Bonding Co. Ltd. Shall be submitted, otherwise, the bank reserve
      the right to refuse the withdrawal request and does not assume any
      responsibility.

            

    

     

    
      
        	
                (Stamp)

              	
                (Stamp)

              

      

    

     

    
      	 	
              19.

            	
              Applicable
      laws and jurisdiction: the agreement will be governed by laws and
      regulations of the Peoples’ Republic of China (excluding Hong Kong, Macao
      and Taiwan region). Any disputes arising out of the agreement will be
      handled by the People’s Court at the location of the bank, which owns
      exclusive jurisdiction.

            

    

     

    
      	 	
              20.

            	
              Address
      for lawsuit: the client confirms that as for any proceedings under the
      agreement, any summons and notification relating to the proceedings shall
      be sent to the address specified at the beginning of the agreement, which
      will taken as actual arrival of the files, without written notification to
      the bank, the address mentioned above shall not be
  changed.

            

    

     

    
      	 	
              21.

            	
              Separation
      of articles: any failure, illegality or unable to exercise forcefully of
      articles in the agreement shall not influence the validity, effect and
      implementation of other articles in the
  agreement.

            

    

     

    
      	 	
              22.

            	
              During
      the validity of the agreement, the financing bank may give extension or
      delay to take actions against violating behaviors of the client, which
      shall not damage or restrict the financing bank’s rights and benefits as
      debtor under the agreement, and not be taken as connivance to the
      noncompliance of the client, and even not as the bank has given up the
      rights to take actions against the
  noncompliance.

            

    

     

    
      	 	
              23.

            	
              Consistency
      of financing sum: If the Agreement for Financing Amount (if applicable,
      including any alteration valid) conflict with the agreement, the agreement
      shall prevail.

            

    

     

    
      	 	
              24.

            	
              Signing:
      The agreement is made in quadruplication, the client holds one copy, and
      the financing bank holds three copies, which will come into effect on the
      date when it is affixed with seals of signatures of legal
      representatives/principals of two
parties.

            

    

     

      
        

      

    

    The
column for signature

     

         The
two parties confirm that all articles of the agreement have been explained and
discussed in details, both have no doubt about the agreement, and get correct
and accurate understanding on the definitions of rights, obligations and
responsibilities in the agreement.

     

    
      
        
          	
                  Client
      (Seal)  (Stamp)

                	 
      	
                  Financing
      Bank (Seal) (Stamp)

                
	 
      	 
      	 
      
	
                  Legal
      representative or authorized agent (signature or stamp)

                	 
      	
                  Person
      in charge or authorized agent (signature or stamp)

                
	
                  /s/
      Lixin Wang

                	
                    

                	
                  (stamp
      in red)

                
	
                  Agreement
      signing date:
1/12/2010

                

        

      

    

    
      
         

      

      
        5Unassociated Document

    Exhibit
10.2

    (English
Translation)

    

    Contract
to Guarantee

    

    Contract
No:  DLDB4BL01001001WT

    

    Guarantee
(Party A) : Dalian Heavy Mining Equipment Manufacturing  Co,
Ltd.

    

    Guarantor
(Party B) : Dalian Union-Chuangye Bonding Company Co, Ltd.

    
      
         

      

      
        1

        
          

        

      

      
         

      

    

    

    This
contract is hereby entered by and between parties in conformity of
<<Property Law of People’s Republic of Law>> , <<Guarantee Law
of People’s Republic of China>> and the other relevant law and regulations
:

    

    Party
A:  Dalian
Heavy Mining Equipment Manufacturing Co, Ltd.

    

    Address: 26 Gaoneng Street, Dalian
High-Tech Technical and Industrial Garden

    

    Corporate
Representative: Wang,
Lixin

    

    Tel:        84799489         Fax:
84799491      Zip
Code            
116085

    

    Authorized
Agent          Yang,
Linqiang

    

    Party
B:   Dalian Union-Chuangye
Bonding Co, Ltd.

    

    Address: 35 Qixianlin Huopei Road,
Room 301, Dalian High-Tech Technical and Industrial Garden

    

    Corporate
Representative:  Wang,
Feng

    

    Tel:
82307069                        
Fax: 82310155               Zip
Code                 116001

    

    Authorized
Agent Yu,
Miao

    

    Whereas:

     

    
      	
               
      

            	
              1.

            	
              Party
      A  has entered with Shanghai
      Pudong Development Bank Co, Ltd., Dalian Branch (hereafter
      “Creditor”) a <<Short
      Term Loan Agreement>> (hereafter “Main Contract”), loan
      amount (in Chinese Capital) : RMB Twelve
      Million, term of loan : from
      October 12, 2010 To January 11,
2011

            

    

    

    
      	
               
      

            	
              2.

            	
              Party
      A requests Party B to provide guarantee in the amount of (In Chinese
      Capital) RMB
      Twelve
      Million for Party A’s performance in the Main Contract, and Party B
      agrees to provide such guarantee , and hereby entered into this contract
      with Party A.

            

    

    

    
      	
               
      

            	
              3.

            	
              Both
      parties agree to sign this contract in order to define rights and duties
      of either party and perform
accordingly.

            

    

     

    
      
         

      

      
        2

        
          

        

      

      
         

      

    

    

    Chapter
One      Definition

    

    Article
One        Unless specified otherwise in
the context, the terms in this contract shall be defined
as  below:

    

    
      	  	
              Guarantee

            	
              means
      Party B provides guarantee to the Creditor for Party A to perform its
      duties under the Main Contract

            

    

     

    Contract of
Guarantee          means the
Contract of Guarantee signed by and between Party B and the
Creditor

     

    
      	  	
              Proposal 

            	
               means
      the Loan
       applied
      by Party A from the Creditor (loan/Acceptance/Consolidated
      Credit/Performance Bond and
etc.)

            

    

    

    Article
Two        Unless specified in the
context, the following terms and phrases shall be referring to as
below:

    

           (One)                   Whenever
“Person” is mentioned, it refers to any natural person, corporate,
partnership,

    joint
venture, institution or any other legal entity or government agency or
office;

    

    (Two)                  Whenever
“register” is mentioned, it refers to any signing, registering, approving,
recording, noting, evaluating, notifying and any other activities;

    

    (Three)               Whenever
any “document” (including this contract) is mentioned, it shall include any
modification, supplemental, replacement or renewal, unless any modification,
supplemental, replacement or renewal made in violation of this
contract.

    

    Chapter
Two     Premised Condition

    

    Article
Three     Only the following premised conditions are
satisfied by Party A shall Party B agrees to provide guarantee and sign the
Contract of Guarantee:

    

    (One)                  fees
specified in (Four) of this article are paid;

    

    (Two)                  counter-guarantee
performed in conformity with (Five) of this article and all the necessary
registry procedure finished, giving legal effect to such counter-guarantee
performance.

    

    Article
Four       Party A agrees to pay the
following fees:

    

    (One)                   Evaluation
Fee : RMB (in Chinese Capital) _________yuan

    

    (Two)                  Guarantee
Fee:    RMB (in Chinese Capital) Three
Sixty Thousand yuan

    

    (Three)               Performance
Bond: RMB (in Chinese
Capital) One
Million and Twenty Thousand yuan, If Party A has performed
the Main Contract without any breaches by which Party B is not required to
perform its duty of guarantee for any reason, at the end of the performance to
the Main Contract, Party B shall return Party A the Performance Bond in full
amount.

    
      
         

      

      
        3

        
          

        

      

      
         

      

    

    

    Party B
shall hereby waive its right to claim any interest acurred from the
aforementioned Performance Bond.

    

    Article
Five              Party
A agrees to provide the following counter-guarantee measures which are subject
to Party B’s auditing and accounting.

    

    
      	
               
      

            	
              1.

            	
              10% Performance
      Bond

            

    

    

    
      	
               
      

            	
              2.

            	
              The employees of
      Dalian Heavy Mining Equipment Manufacturing Co., Ltd. shall provide 17
      apartments (total area 1221.17 Square Meters and approximate RMB 10
      million in total value) as the collateral for counter-guarantee (please
      see List for details) and shall record such
    collateral.

            

    

    

    
      	
               
      

            	
              3.

            	
              Wang, Lixin shall
      provide his shares of Dalian Heavy Mining Equipment Manufacturing Co, Ltd.
      equivalent to RMB 1,400,000  as the collateral for
      counter-guarantee and shall record such
  collateral.

            

    

    

    
      	
               
      

            	
              4.

            	
              Wang, Pei Li shall
      provide her shares of Dalian Heavy Mining Equipment Manufacturing Co, Ltd.
      equivalent to RMB 3,600,000 as the collateral for counter-guarantee and
      shall record such
collateral.

            

    

    

    
      	
               
      

            	
              5.

            	
              The couple of Wang,
      Lixin, acted as the corporate representatives, agree to be held joint and
      several liabilities under the duty of
      counter-guarantee.

            

    

    

    
      	
               
      

            	
              6.

            	
              Third Party Xia, Feng
      He , a natural person, agrees to be held joint and several liability under
      the duty of
counter-guarantee

            

    

    

    Article
Six               In
any following events, Party A shall have performed Article Three prior to Party
B’s signature to the Contract of Guarantee , otherwise, Party B shall have right
of refusal to sign the Contract of Guarantee.

    

    (One)         Before
Party A performed its duties of counter-guarantee specified in Article Five,
Party B has issued Guarantee Letter of Intent to the Creditor for Party A’s
proposal;

    

    (Two)        Party
A’s proposed loan application is approved by the Creditor

    

    Article
Seven

    

    If Party B has signed the Contract of
Guarantee before Party A satisfies the requirements of Article Three due to the
registering procedure of the mortgage, the collateral and notary public, Party B
shall have right to add clause in the Contract of Guarantee requiring the
Creditor to distribute loan to Party A upon the receipt of Party B’s Notice of
Loan.  If the Creditor disagrees to such clause, Party A agrees to
transmit the loan from the Creditor to the account of Party B for custody (the
promissory note issued by the Creditor shall be endorsed and negotiated to Party
B )while making its best effort to perform whatever specified in the Article
Three. Unless such performance is completed, Party B is obligated to transfer
the proposed amount and/or draft to Party A.  During the custody,
Party A has no right to the use of loan and shall bear all the loan interest and
fees at its own expense.

    

    Within one month of the loan
distribution or draft, if Party A still stays behind the performance specified
in the Article Three, Party B shall have right to withdraw the aforementioned
loan or deposit the custodial draft for the purpose of repayment and/or
acceptance or any other responsibilities, with the insufficient funded by Party
A.

    

    Article
Eight          If Party A
fails to obtain the loan approval from the Creditor, Party B shall return the
advanced Guarantee Fee and Performance Bond, but not Evaluation
Fee.

    
      
         

      

      
        4

        
          

        

      

      
         

      

    

    

    After the loan approval is granted, if
Party A voluntarily withdraws the proposed loan and/or acceptance application,
or fails to perform in conformity of Article Three, resulting in Party B’s
incapability of providing counter-guarantee, Party B shall have right to retain
the advanced Evaluation Fee, Guarantee Fee and Performance Bond.

    

    Article
Nine             In
any event the following occurrence shall neither effect nor release the duties
of Party A or rights of Party B in this contract, unless the law specifies
otherwise or a pre-approval is granted by Party B:

     

    
      
        	  	
                (One) 

              	
                Any
      invalidation, recession, impossibility or impracticability of performance
      or any other defects of any Main Contract, Contract of Guarantee, this
      contract or any other document and its pertaining
    guarantee;

              

      

       

      
        	  	
                (Two) 

              	
                Any
      modification, change or transfer of any Main Contract, Contract of
      Guarantee, this contract or any document and its pertaining
      guarantee;

              

      

       

      
        	  	
                (Three) 

              	
                Any
      Party A or the other party’s wind-up, dissolution, restructure,
      reorganization, restriction by law , incapability of repayment, removal
      from office or insufficient authorization, change of structure, change or
      loss of corporate status;

              

      

       

      
        	  	
                (Four) 

              	
                Any
      change, merger, acquisition or separation to the business, assets, capital
      structure or formation of Party A or Party
B;

              

      

       

      
        	  	
                (Five) 

              	
                Any
      or partial omission to Party B’ claim or demand in the proceeding of
      dissolution, bankruptcy or liquidation of Party
  A;

              

      

       

      
        	  	
                (Six) 

              	
                Force
      Majors in any circumstance or change of
  circumstance;

              

      

      

      
        	  	
                (Seven) 

              	
                any
      other event, provision, act or omission to act by which the duties of
      Party A under this contract shall be reduced or released unless this
      provision.

              

      

    

    

    Chapter
Three   Guarantee

    

    Article
Ten        The term of guarantee
provided by Party B is TWO
YEARS after the end of performance to the Main Contract.

    

    Article
Eleven                  The
form of liability under Part B’s guarantee or Party B’s Letter of Guarantee is
JOINT AND
SEVERAL (the specified liability of guarantee shall be referred to the
Contract of Guarantee or the Letter of Guarantee by Party B).

    

    Article
Twelve                  The
liability of guarantee by Party B shall be periodically reduced to completely
released according to Party A’s performance of Main Contract or Party B’s
commitment to the guarantee.

     

    
      
         

      

      
        5

        
          

        

      

      
         

      

    

    

    Chapter
Four           Statement
and Commitment

    

    Article
Thirteen  Statement of Party A to Party B is below :

     

    
      
        	  	
                (One) 

              	
                Party
      A possesses the legal capability to act to sign and perform this contract
      with independence responsibility.

              

      

       

      
        	  	
                (Two) 

              	
                Party
      A enters this contract at its will. Any agreement by Party A to this
      contract is genuine.

              

      

       

      
        	  	
                (Three) 

              	
                The
      necessary authorization or approval pertaining to this contract signed by
      Party A is obtained and valid;

              

      

       

      
        	  	
                (Four) 

              	
                The
      fact that Party A and B sign and perform this contract does not and will
      not violate any of the following:

              

      

       

      
        	  	
                (1) 

              	
                any
      applicable law ;

              

      

       

      
        	  	
                (2) 

              	
                any
      authorization;

              

      

       

      
        	  	
                (3) 

              	
                any
      agreement, contract or arrangement to which Party A or B is a
      party;

              

      

       

      
        	  	
                (4) 

              	
                Any
      provision of shareholder agreement, joint venture agreement, article of
      association or organizing documents of Party A or
  B.

              

      

       

      
        	  	
                (Five) 

              	
                To
      Party A’s knowledge, none of action or claim against Party A, which shall
      effect Party A’s financial status or performing capacity to this contract,
      is in the proceeding in any court, arbitration body or government
      authority;

              

      

       

      
        	  	
                (Six) 

              	
                Party
      A has duty to provide any document capable of identifying Party A and
      information certifying Party A’ ability of
  repayment.

              

      

       

      
        	  	
                (Seven) 

              	
                Any
      document, chart or statement provided by Party A and pertaining to this
      contract shall be legal, true, accurate and complete. Except for the prior
      written disclosure to Party B, Party A does not withhold any information
      pertaining to major debt (including existing debt), fundamental breach or
      any other which shall affect its
assets.

              

      

      

      Article
Fourteen             Commitment
of Party A to Party B is:

    

     

                   
(One)             to
provide Party B with any documents or background information pertaining to this
guarantee in an immediate, accurate and full manner;

    

                   
(Two)             to
submit at least on monthly basis or at any time upon the request of Party B any
reports or the other documents truly reflecting its general financial
status.

    

                   
(Three)  to accept Party B’s monitor of its capital , assets, business
and the others without building any barrier to such monitor;

    
      
         

      

      
        6

        
          

        

      

      
         

      

    

    

    (Four)                 to
direct the use of fund in conformity with terms and condition of the Main
Contract and not to other use other than this.

    

    (Five)                  to
unconditionally allow persons sent by Party B to fully monitor its use of
capital and performance under the Main Contract, and to provide access to such
monitor for convenience , with the cost and expense on Party A;

    

    (Six)                     to
inform Party B of any major change of Party A regarding to  the
transfer of share, restructure, merge and acquisition, division, reformation,
joint venture, partnership, association, contract, lease, scope of business or
registered capital, with a 30 days written notice.

    

    (Seven)               to
inform Party B any closure, solvency, declared bankruptcy, dissolution,
suspension or invalidity of business license, deterioration of financial status,
court (arbitration) proceeding of major monetary disputes, provisional or
permanent restraint on major property of Party A, by a written notice
immediately within 3 business days of such occurrence.

    

    Article
Fifthteen      Party A hereby is committed not to
engage in the following activities, within the term of this contract, unless a
written approval is obtained from Party B with the accompanied conditions
satisfied:

    

    (One)                  apply
new loan or any other significant management decision which shall have potential
effect on the benefit of Party B or resulted in the liability of Party
B;

    

    (Two)                   place
lien, mortgage or any other security interest on its assets (including but not
limited to the right of land use, real estate, equipment, and inventory), or
provide guarantee, or rent, sell, repetitively mortgage, repetitively pledge,
repay or donate its whole or partial property;

    

    (Three)                act
or fail to act so that the value of its property shall be increased but fail to
increase or shall not be decreased but is decreased, whereby it is incapable of
any liability or responsibility;

    

    (Four)                 act
in any other manners by which Party B is reasonably convinced shall damage the
interest of Party B.

    

    Chapter
Five                      Breach
of Contract

    

    Article
Sixteen        Within the valid term of
this contract, any party’s incomplete performance of the Main Contract or this
contract shall constitute a breach of this contract, the breaching party shall
be held liable to the other under this contract.

    

    Article
Seventeen  Any Party A’s breach shall result in the following
liability:

    

    (One)                  If
Party A fails to submit the monthly financial report to Party B as required by
this contract, Party B shall be entitle to a liquidated damage equivalent to 10%
of the Performance Bond for each breach;

     

    
      
         

      

      
        7

        
          

        

      

      
         

      

    

    

    (Two)                  If
Party A fails to cooperate with Party B for audit (specified in Article Five),
Party B shall be entitle to a liquidate damage equivalent to 50% of the
Performance Bond for each breach;

    

    (Three)                If
Party A fails to perform the contract completely (including but not limited to
late repayment of the principle or interest of proposal), which is to result in
possible guarantee liability of Party B, Party B shall have right to receive a
liquidate damage equivalent to 5/10,000 of the amount of late repayment for each
day of such breach;

    

    (Four)                 If
Party A violates the provision of the Main Contract or any other, which is to
result in possible guarantee liability of Party B, Party B shall have right to
withhold the entire advanced Performance Bond. In the same time, Party A shall
not only continue its performance, it shall also compensate:

    

    (1)                        the
amount that Party B has paid to the Creditor based on its guarantee commitment
and any other amount that Party B is entitled to due to its payment to the
Creditor on behalf of Party A (including but not limited to liquidated damage,
damage, interest, penalty interest, commission, fees and charges);

    

    (2)                        any
loss of interest to Party B caused by Party B’s advanced payment based on its
commitment of guarantee and any other economic loss;

    

    (3)                        any
cost and expense incurred during the legal proceeding of Party B  in
pursuance of repayment (including but not limited to any court or arbitration
fee, attorney fee, enforcement fee, evaluation fee, assessment fee, auction fee,
registration fee, transfer fee, custodial fee, procedure fee and the relevant
expense of board and accommodation )

    

    (4)                        Any
other cost and expense according to the valid contract, agreement or applicable
law and regulation.

    

    (Five)                  If
any following event of Party A occurs, Party B shall require Party A to provide
a counter-guarantee equivalent to the unperformed debt of the Main Contract
within 7 working days after it receives a written notice of Party B. Party B
shall also have right to act early as specified by the Article Five of this
contract, or early deposes of any other property of Party A, or use the
custodial asset to repay the debt under the Main Contract(including Performance
Bond), or submit to escrow authority. Any other resulting loss of Party B shall
be compensated by Party A as well;

    

    (1)                        breach
or delay to perform any duties of the Main Contract or this Contract
;

    

    (2)                        loss
of business for three consecutive month;

    

    (3)                        late
repayment to other bank’s loan;

    

    (4)                        proceeding
of action(arbitration)

    

    (5)                        Any
other occurrence of anticipatory breach.

    
      
         

      

      
        8

        
          

        

      

      
         

      

    

    (Six)                     In
any event that Party A breaches contract, Party B shall have right to cease
guarantee , as well to demand the creditor to cease distributing the proposed
loan or early retrieve the distributed loan. Party B shall have right to demand
the opening bank of Party A to deduct the corresponding amount from Party A’s
saving account to repay the debt.  In the same time, the advanced
guarantee fee and evaluation fee is un-refundable. Any unpaid expense shall
still be payable in conformity with this contract. Party A shall also be liable
for liquidated damage equivalent to 50% of agreed amount of Article Four,
payable to Party B;

    

    (Seven)               When
Party A breaches contract, the payable amount of liquidate damage and damage is
independently computed but accumulatable. Party B shall have right to withdraw
the accumulated amount from the Performance Bond. Party B shall have right to
claim the insufficiency from Party A.

    

    (Eight)                 If
Party A fails to perform its duties in conformity with the Main Contract or any
other which results in the possible guarantee liability of Party B, Party B
shall have right to disclose or announce such in the news media, and Party B
shall not be held liable for any negative effect on reputation of Party A
resulting from doing so.

    

    Chapter
Six                        Miscellaneous

    

    Article
Eighteen      During the performance of this
contract, any failure to act or timely to act the rights of Party B shall not be
deemed a waiver and will not affect any other rights of Party B under this
contract.

    

    Article
Nineteen      The acceptance of Party B to Party
A’s application of guarantee does not constitute a creditor/debtor relationship
absolutely established between Party A and the Creditor. Any liability incurred
from that shall not give Party A cause of action against Party B.

    

    Article
Twenty        This contract is
independent from the Main Contract and the Contract of Guarantee.  The
invalidity of the Main Contract or the Contract of Guarantee for any reason
shall not have effect on this contract. This contract is still
valid.

    

    Article
Twenty One         Party A promises
any change of address or contact provided in this contract shall be notified to
Party B in writing.  Any Party B’s letter forwarded to Party A at the
address or through the contact information provided in this contract shall be
deem deliverable, with any consequence on Party A.

    

    Article
Twenty Two         Any modification
to this contract shall be negotiated by and between the parties, reduced to a
writing and signed by both parties.

    

    Article
Twenty Three      Unless specified otherwise,
either party shall not unilaterally rescind the contract after it takes
effect.  The recession of this contract shall be negotiated by and
between the parties, reduced to a writing and signed by both
parties.

    

    Article
Twenty Four         Any appendix,
modification or supplement of this contract constitute a undividable part to its
integrity, and shall have the same legal effect.

    

    Article
Twenty Five         Any disputes
arising from this contract shall be resolved by friendly negotiation between
parties, if failed, either party shall have right to bring a suit in the People
of Court where Party B is located.

    
      
         

      

      
        9

        
          

        

      

      
         

      

    

    

    Article
Twenty
Six            This
contract takes effect as of the day of conditions in the following
fulfilled:

    

    (One)                   If
Party A is corporate, Party A officially seals.

    

    (Two)                  If
Party A is natural person, Party A signs.

    

    (Three)                Party
B officially seals.

     

    Article
Twenty Seven      This contract has ______
counterparts, with ____copy held by Party A, Party B and registration
authority. Each copy has the same legal effect.

    

    Article
Twenty Eight        Any issues agreed
otherwise are:

    

    ______________________________________________________________________________________________________________________________________________

    ________________________________________________________

    

    (The
space below is for signature and seal only, not for text)

     

    Party A
:                   /s/
Wang,
Lixin                                           (Seal
or Signature)

    Seal in
red               Dalian
Heavy Mining Equipment Manufacturing. Co, Ltd

    Seal in
square         Wang, Lixin
Seal

    Authorized
Agent:                      ________________________________________(
signature seal)

    

    Party B
:                    /s/
Wang,
Feng                                           (Seal
or Signature)

    Seal in
red               Dalian
Union-Chuangye Bonding Co, Ltd.

    Seal in
square         Wang,
Feng

    

    Authorized
Agent:                      ________________________________________(
signature seal)

     

    Date of
Signature: January
12, 2010

    Place of
Signature: Dalian

     

    
      
         

      

      
        10

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