Document:

Unassociated Document

    Exhibit
10.41

    Maximum
Amount Mortgage Agreement

     

    No:
13108109Z022-03

    The
Parties:

     

    Guarantee/Creditor (Party A):
Anyang Branch,
Guangdong Development Bank

     

    Address: Xiduan , Renmin Street,
Anyang

     

    Legal
Representative/Responsible Person: Shen
Xueqing      Title: President

     

    Tel:
0372-3672778   Fax:
0372-5937949       Postal
Code:
455000

     

    Mortgagor (Party B):Henan Shuncheng Group Coal
Coke Co., Ltd

     

    Address:
Qugou Town, Anyang
County

     

    Legal
Representative/Responsible Person: Wang Xinshun Title:
Chairman of the
Board

     

    Business
License NO.: 410522110001012

     

    ID NO.
(For natural person) _/____

     

    Tel:
0372-5606593   Fax:
0372-5606593      Postal
Code: 455141

     

    Opening
Bank:

     

    Basic
Account/Settlement Account: Zhongzhou branch,
Construction Bank of China.

     

    Account
No.: 

     

    General
Account/Savings Account:  (1)           /         Account
No.   /

     

                                   (2)
           /        Account
No.    /

     

    Signed
at Anyang,
Henan

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    Whereas
Party B voluntarily provide mortgage to Party A for the fulfilment of the debt
under the Principal Agreement as stated in Article 1 hereinafter, the parties
hereto enter into this Agreement through equal negotiation, the terms hereof
shall be interpreted in accordance with the Principal Agreement, unless
otherwise specified.

     

    
      Article
1 Principal
Agreement

    

     

    The
Principal Agreement of which this agreement guaranteed, refers to the
definition A
:

     

    
      	
              A.

            	
              The
      General Credit Limit Agreement, dated in 6 July 2009,
      numbered 13108109Z022,
      reached in by and between Party A and Henan Shuncheng Group
      Coal Coke Co., Ltd (the Debtor)and its amendments or supplementary
      agreements (including but not limited to Extension Agreement. Single
      agreements thereof shall also be involved in the Principal Agreement if
      any.)

            

    

     

    
      	
              B.

            	
              A
      series of Agreements and their amendments or supplements (including but
      not limited to extension agreements) signed by Party A and ______/_____
      (hereinafter referred to as the “Debtor”) from       /   (date)   to    /   (date)    .

            

    

     

    
      	
              C.

            	
              In
      accordance with the consensus reached by the parties hereof, Principal
      (currency:    /  )
      under the Loan Agreement with Agreement number of       /   ,
      by and between Party A and      /   (the
      “Debtor”), effective before effective date hereof, shall be within the
      scope of credit guaranteed by this
Agreement.

            

    

     

    
      Article
2 Maximum
Amount Guaranteed

    

     

    
      	
              2.1

            	
              The
      Maximum Amount of loan principal guaranteed by this
    Agreement:

            

    

     

    Currency:
RMB

     

    SIXTY MILLION YUAN
ONLY

     

    RMB
60,000,000.00

     

    
      	
              2.2

            	
              The
      amount and expenses defined in Article
5.

            

    

     

    The
Maximum Amount of Credit covered by this Agreement shall be the sum of the
amounts specified in the above two clauses.

     

    
      Article
3 Mortgage
Property

    

     

    
      	
              3.1

            	
              The
      mortgage property provided by Party B refers to List of Mortgage Property
      for details.

            

    

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      	
              3.2

            	
              The
      right to mortgage hereof and the List of Mortgage Property covers the
      mortgage property’s fruits, accessory objects, accessory rights,
      appurtenances, accreted objects, annexed objects, mixtures, processed
      objects and etc.

            

    

     

    
      	
              3.3

            	
              The
      right to mortgage hereof and the mortgage property’s substitution objects,
      includes but not limited to the compensation for insurance, compensation
      for general damages, compensation for national expropriation and
      requisition, wreckage of damaging the mortgage property, proceeds of
      selling the mortgage property.

            

    

     

    
      	
              3.4

            	
              Party
      B who mortgages the house ownership shall mortgage the corresponding land
      use right simultaneously. If the land use right is mortgaged, the house
      and fixture located on this land shall be mortgaged simultaneously. Party
      B further undertakes that the mortgage hereof will be applicable the
      new-built house and newly increased fixtures on this land in the mortgage
      period hereof and the related registration procedures will be
      proceeded.

            

    

     

    
      	
              3.5

            	
              Where
      Party B mortgages the existing and ulterior production facilities, raw and
      processed materials, semi-manufactures and productions, and if the debtor
      fails to perform the due debt or the conditions realizing the right to
      mortgage hereof occur, Party A is entitled to take priority to get paid as
      of the chattel when realizing the right to
  mortgage.

            

    

     

    
      	
              3.6

            	
              The
      stipulation to the value of the mortgage property in the List of Mortgage
      Property shall not be deemed as the evaluating basis of disposing the
      mortgage property by Party A in accordance with this Agreement, and not
      constitute any limitation of performing the right to mortgage by Party
      A.

            

    

     

    
      Article
4 Enforcement
Term of the Right to Mortgage

    

     

    After
occurrence of the guaranty liability, Party A shall enforce the right to
mortgage upon the mortgage property for realization of the whole or partial,
more or single matured principal credit in accordance with the provisions
related to the right to mortgage in laws and regulations.

    In
respect of each principal credit, Party A shall enforce the right to mortgage
during the limitation of action; if any principal credit is liquidated by
instalments, Party A shall enforce the right to mortgage before expiry date of
the limitation of action for the last instalment.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    
      Article
5 Scope
of Guaranty

    

     

    The scope
of guaranty includes the principal, interest, default interest, compound
interest, penalty, compensation for damage, expense of disposing the guaranteed
property, expenses for realization of the creditor’s right and the right to
mortgage (including without limitation the litigation fee, arbitration fee,
attorney fee, travel expense, execution expense, security expense, evaluation
expense, auction or sale expense, transfer expense, announcement expense) and
other due expenses.

    

    
      Article
6 Registration
of the Mortgage Property

    

     

    
      	
              6.1

            	
              Where
      laws and regulations provide or the parties agree that mortgage
      registration is necessary, the parties shall register the mortgage hereof
      with competent property registration
authority.

            

    

    
      	
              6.2

            	
              Where
      the registration matters change and the registration of modification is
      needed legally, the parties shall deal with the registration modification
      procedures with competent property registration authority within five (5)
      days after the matters change.

            

    

    
      	
              6.3

            	
              In
      accordance with this Agreement, the mortgage property’s fruits, newly
      added accessory objects, accessory rights, appurtenances, accreted
      objects, annexed objects, mixtures shall turn into the mortgage property
      hereof naturally; if the relevant authority requests parties to deal with
      the registration of mortgage property, the parties shall deal with the
      registration of mortgage property with competent property registration
      authority promptly after the aforesaid matters
  occur.

            

    

    

    
      Article
7 Possession,
Use and Storage of Mortgage Property

    

     

    
      	
              7.1

            	
              The
      mortgage property hereof is possessed and stored by Party B, but the
      mortgage property’s certificates of right, certificates of other rights,
      originals of the mortgage registration documents shall be managed by Party
      A. Party B agrees to accept at any time and coordinate effectively with
      Party A and its appointed institution and individuals to check the
      mortgage property.

            

    

    
      	
              7.2

            	
              Party
      B shall inform Party A initiatively and promptly of the mortgage
      property’s conditions of management, use and change of value. In case
      natural loss or the behaviour of Party B is sufficient to decrease the
      property value of mortgage property, Party A is entitled to request Party
      B to stop its behaviour and restore the value of mortgage property or
      provide for new guaranty approved by Party A in five (5) working days.
      Otherwise Party A is entitled to dispose the mortgage property in
      advance.

            

    

    The
conditions, that are sufficient to jeopardize rights of Party A resulting from
the mortgage property’s natural loss or apparent reduction of value, refer to
the following conditions:

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    1.      The
mortgage rate exceeds fifty percent
(50%);

    2.                                          /                                    

    
      	
              7.3

            	
              Party
      B shall store and maintain the mortgage property appropriately, and take
      effective measures to ensure the safety and completeness; if the mortgage
      property needs to be repaired, Party B shall take measures promptly and
      bear expenses thereform, if the mortgage property is damaged or lost,
      Party B shall inform Party A promptly and take immediate measures to avoid
      the enlargement of loss, and at the same time show to Party A the
      certificate regarding reasons for being damaged and lost issued by
      authorized institution.

            

    

    

    
      Article
8 Insurance

    

     

    (This
article is optional, choose
1:  1.applicable  2.unappliable)

     

    
      	
              8.1

            	
              If
      Party A consider that the mortgage property needs to be covered with
      insurance, Party B shall arrange insurance for the mortgage property with
      the insurance company accepted by Party A, in accordance with the
      insurance type determined by Party A. Party A may inform Party B in
      written or oral form, and Party B shall arrange a continuous and full
      property insurance in accordance with the amount no less than the mortgage
      property’s latest evaluating value or the principal and interest of
      Principal Agreement within five (5) working days after getting the inform,
      and all the insurance expenses are paid by Party B. The insurance term
      shall not less than the performance term of the Principal Agreement. The
      original of insurance documents shall be delivered to Party
    A.

            

    

    
      	
              8.2

            	
              Party
      B shall note in the insurance policy that Party A is the insurant and/or
      primary beneficiary. Where Party B has arranged property insurance prior
      to this Agreement, Party B shall request the insurance company to issue an
      endorsement which illustrates that Party A is changed as the insurant. The
      insurance policy shall not have any provisions limiting the right of Party
      A.

            

    

    
      	
              8.3

            	
              If
      Party B fails to arrange the continuous and full property insurance, Party
      A is entitled to arrange insurance in accordance with this clause and the
      resulting loss of all expenses shall be borne by Party
  B.

            

    

    
      	
              8.4

            	
              During
      this Agreement’s period of validity, Party B shall not intermit,
      terminate, amend or modify the insurance document, and take all reasonable
      and necessary measures to make sure the validity of the insurance hereof.
      If Party B fails to arrange the insurance or breaks the aforesaid
      agreement, Party A is entitled to determine to arrange the insurance or
      continue to arrange the insurance for mortgage property, and all expenses
      are borne by Party B.

            

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

     

    
      	
              8.5

            	
              During
      this Agreement’s period of validity, if any insurance accident happens to
      the mortgage property, Party A is entitled to the right of claim of
      subrogation. The full compensation of insurance shall be liquidated to
      Party A in advance or be deposited by relevant institution as the
      subrogation of the mortgage property, or be used to restore the value of
      the mortgage property as agreed by Party
A.

            

    

    

    
      Article
9 Achievement
of Right to Mortgage

    

     

    
      	
              9.1

            	
              If
      the debtor fails to repay the due debt or the conditions realizing the
      right to mortgage agreed by the parties hereof occur, Party A shall
      consult with the mortgagor to convert the mortgage property into money or
      get paid out of the proceeds from auction or sale of the mortgage
      property. The price of the mortgage converted into money or sold is in
      accordance with the market price. The proceeds of disposing the mortgage
      property shall first be used to pay expenses arising from disposition of
      the mortgage property and expenses payable by the debtor to the Creditor,
      and then used to liquidate the loan
hereof.

            

    

    
      	
              9.2

            	
              In
      the period of guaranty, the insurance expense, damages or compensation
      obtained from the damage, loss or expropriation of the mortgage property
      shall be used to liquidate the guaranteed credit in advance or deposited
      with the third party accepted by Party
A.

            

    

    
      	
              9.3

            	
              If
      the performance term of debt expires and the mortgage property is sealed
      up or distrained by the people’s court due to the Debtor fails to repay
      the debt duly, Party A is entitled to receive the natural or legal fruits
      of the mortgage property from the date of sealing up or distraining; and
      the natural or legal fruits shall first be used to make up for the expense
      of receiving fruits and the rest shall be used to liquidate the guaranteed
      claim in advance or deposited with the third party recognized by Party
      A.

            

    

    
      	
              9.4

            	
              Party
      A is entitled to dispose the mortgage property in advance and take
      priority to get paid out of the obtained proceeds if one of the following
      conditions occurs:

            

    

    
      
        	
              	
                1.

              	
                Terminate
      the Principal Agreement in accordance with the Principal Agreement or laws
      and regulations;

              

      

    

    
      
        	
              	
                2.

              	
                Perform
      the debt in advance in accordance with other conditions of the Principal
      Agreement.

              

      

    

    
      	
              9.5

            	
              If
      the guaranteed creditor’s right includes both the guaranty of in rem and
      individual, and the debtor fails to perform the due debt or the conditions
      realizing the real right of guaranty agreed by the parities hereof, Party
      A is entitled to choose achieving the claims in respect of the guaranty in
      rem or requesting the assurer to take the guaranty
      responsibility.

            

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    
      	
              9.6

            	
              If
      the Creditor waives the mortgage upon a real right, priority for mortgage
      right or modifies the mortgage upon a real right, other guarantors
      undertakes to continue to take the responsibility of
    guaranty.

            

    

    

    
      Article
10 Statements
and Promises

    

     

    Party B
represents and warrants as follows:

    
      	
              10.1

            	
              Party
      B registers and exists legally, and possesses the complete capacity for
      civil rights and capacity for act, and is entitled to the legal ownership
      or right of disposition of the
guaranty.

            

    

    
      	
              10.2

            	
              Party
      B ensures that there is no other co-owner, or it has co-owners but Party B
      has obtained all the co-owners’ written consents. Party B warrants that
      the written consents will be delivered to Party A for custody before
      signing this Agreement.

            

    

    
      	
              10.3

            	
              Party
      B understands the content of the Principal Agreement completely, and signs
      and performances this Agreement based on its real intent, and it has got
      the legal and valid authority in accordance with the request of the
      company’s articles or other inside management
  documents.

            

    

    Party B,
who is a third party and a company, provides for this mortgage which has been
passed by the resolution of the board of directors, board of shareholders or the
shareholders’ meetings in accordance with the regulations of the article of
company; if the article of company regulates the total amount of guarantee and
the amount of individual guarantee, the guaranty herein shall not exceed the
regulated limitation.

    Signing
and performing this Agreement shall not breach any contracts, agreements
and   other legal documents which are binding on Party B, who has
or will obtain all the approvals, permissions, records or registrations required
by set this guaranty.

    
      	
              10.4

            	
              All
      the documents and information provided by Party B to Party A are all
      accurate, real, complete and in
effect.

            

    

    
      	
              10.5

            	
              Party
      B does not conceal any real right of guaranty existed on the mortgage
      property till the date of signing this Agreement from Party
    A.

            

    

    
      	
              10.6

            	
              If
      a new real right of guaranty is set on the mortgage property, the guaranty
      is sealed up or involved in significant litigation or arbitration cases,
      Party B shall inform Party A
promptly.

            

    

    
      	
              10.7

            	
              If
      the mortgage property is the construction in progress, Party B promises
      that there is no priority of compensation for benefit of a third person;
      if there is, Party B promises to cause the third person to issue a written
      waiver statement as of the priority of compensation and then deliver it to
      Party A.

            

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    
      Article
11  Culpa
In Contrahendo

    

     

    After
this Agreement is concluded, due to Party B refuses or delays to deal with the
mortgage registration or other reasons of Party B, this Agreement cannot be in
effect and the right to mortgage cannot be set validly, which constitutes Culpa
In Contrahendo. Party B shall reimburse any loss or damage Party A suffers
resulting from such invalidity.

    

    
      Article
12   Disclosure
of the Inner Related Parties of Party B And Related
Transaction

    

     

    The
parties hereto agree to adopt Article 12.1
hereunder:

     

    
      	
              12.1

            	
              Party
      B isn’t the group customer determined by Party A according to Guidelines of Commercial Bank
      to the Risk Management of Granting Credit to the Group Client,(
      ‘Guidelines’ for
      short);

            

    

     

    
      	
              12.2

            	
              Party
      B is the group client determined by Party A according to the Guidelines.
      Party B shall report to Party A the related transaction with an mount more
      than 10% of its net asset in a timely manner according to Article 17 of
      Guidelines, including the relation among transaction parties, transaction
      items and nature of the transaction, transaction amount or its proportion,
      pricing policies (including transaction without any price or only with
      nominal amount).

            

    

     

    
      Article
13  Rights
and Obligations of Party A

    

     

    
      	
              13.1

            	
              During
      the period of guaranty, Party A is entitled to inquire, understand and
      supervise Party B’s business and management conditions and use and
      maintain conditions of the mortgage
property.

            

    

    
      	
              13.2

            	
              If
      the performance term of Principal Agreement expires and the debtor fails
      to repay the debt’s principal, interest and other affiliated expenses,
      Party A is entitled to dispose the mortgage property hereof
      legally.

            

    

    
      	
              13.3

            	
              If
      the performance term of debt expires and the debtor property is sealed up
      or distrained by the people’s court due to the Debtor fails to repay the
      debt duly, Party A is entitled to receive the natural or legal fruits of
      the mortgage property from the date of
  distraining.

            

    

    
      	
              13.4

            	
              Party
      A is entitled to request Party B to take measures to prevent the right to
      mortgage from invasion of any third
party.

            

    

    
      	
              13.5

            	
              If
      the debtor of Principal Agreement liquidate the debt in accordance with
      the agreement or in advance, Party A shall assist Party B to deal with the
      dissolution procedures of mortgage registration
  promptly.

            

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    
      	
              13.6

            	
              Other
      conditions which Party A is entitled to dispose the mortgage property in
      advance.

            

    

    

    
      Article
14 The
Rights and Obligations of Party B

    

     

    
      	
              14.1

            	
              After
      the execution of this Agreement, if Party A lawfully transfers the
      principal creditor's rights to a third party, the mortgage rights under
      this Agreement shall be simultaneously transferred, while Party B shall
      continue to bear the mortgage liability within the scope of guarantee as
      agreed hereof.

            

    

    
      	
              14.2

            	
              Unless
      such alterations extends the mortgage obligations of Party B (with the
      exception of the alteration of interest as regulated), Party A needs no
      prior consent from Party B when altering the Principal Agreement with the
      debtor of the Principal Agreement; Party B shall continue to bear the
      liability within the scope of guarantee as
  agreed.

            

    

    
      	
              14.3

            	
              Before
      the main obligations of this Agreement are fully settled, Party B shall
      stop its acts that may cause losses to the mortgage property; if the value
      of such properties is lessened caused by Party B, then Party B shall be
      liable to recover the loss or produce mortgage equivalent to the loss
      caused. If Party B produces neither recovery nor mortgage, then Party A
      shall have right to demand Party B in paying off the debts. If the debtor
      fails in paying off the debt, Party A shall then have power to perform
      right to mortgage. If, because of natural disasters, accidents, torts or
      other causes, the properties under mortgage are destroyed or lessened,
      Party B shall take immediate actions in preventing the loss from further
      expanding, and then have Party A notified by writing
      simultaneously.

            

    

    
      	
              14.4

            	
              The
      damages and compensations, which Party B obtains as considerations to
      damage by a third party or requisition, shall be used as substitutional
      object of the mortgage property to liquidate Party A’s claim in advance or
      to deposit in the notary office located in location where the mortgage
      property places; the unreduced value of mortgage property shall still be
      the guaranty of the creditor’s
right.

            

    

    
      	
              14.5

            	
              Party
      B has the obligation to inform Party A to prevent from damaging Party A’s
      creditor’s right when the creditor’s right suffers or may suffer from the
      infraction from any third party.

            

    

    
      	
              14.6

            	
              In
      the period of mortgage of guaranty, without Party A’s written consent,
      Party B shall not lease, deposit, re-mortgage, split or transfer the
      mortgage property partially or completely; however condition that the
      transferee liquidates the debt and eliminates the right to mortgage is
      exclusive. If Party A agrees Party B to dispose the mortgage property,
      Party B agrees Party A to has the right of choosing the following methods
      to dispose the proceed from disposing the mortgage property and assist to
      deal with the relevant
procedures:

            

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    
      
        	
              	
                a.

              	
                Liquidate
      or liquidate in advance the principal and interest of debts and relevant
      expenses under Principal
Agreement;

              

      

    

    
      	
            	
              b.

            	
              Turn
      to fixed deposit and the deposit receipt shall be subject to
      pledge;

            

    

    
      	
            	
              c.

            	
              Deposited
      with a third person recognized by Party
A;

            

    

    
      
        	
              	
                d.

              	
                Dispose
      freely the proceeds obtained from disposing the original mortgage property
      after Party B provides for new guaranty recognized by Party A in
      accordance with Party A’s
demand.

              

      

    

    
      	
              14.7

            	
              Through
      mutually negotiation by the parties, Party B, who mortgages its existing
      and ulterior production facilities, raw and processed materials,
      semi-manufactures and productions, does not apply the provision of Article
      14.6 when engaging in the normal producing business, however Party B shall
      not dispose the mortgage property maliciously in form of mendacious
      purchase and sale. If the conditions provided in Article 16 occur, Party B
      shall not dispose the mortgage property in any form, or else Party B shall
      take the liability of compensation for any loss suffered by Party
      A.

            

    

    
      	
              14.8

            	
              Party
      A shall be informed in writing if one of the following conditions
      occurs:

            

    

    
      
        	
              	
                a.

              	
                The
      business system changes, such as to make an agreement, joint operation,
      consolidation, separation, reform of stockholding system and joint invest
      and cooperation with foreign
businessman.

              

      

    

    
      
        	
              	
                b.

              	
                The
      increase and reduction of registered capital and business scope, and
      changes in shareholdings.

              

      

    

    
      	
            	
              c.

            	
              Involving
      significant litigation of economic
disputes.

            

    

    
      	
            	
              d.

            	
              The
      disputes involving the ownership of the mortgage property
      occur.

            

    

    
      
        	
              	
                e.

              	
                Bankruptcy,
      out of business, dissolution, suspending business for rectification and
      revocation of business
licence.

              

      

    

    
      	
            	
              f.

            	
              Changes
      of the domicile, telephone and legal
person.

            

    

    
      	
              14.9

            	
              The
      debtor of Principal Agreement who pays off all the debts under Principal
      Agreement is entitled to request Party A to assist dismissing the mortgage
      herein.

            

    

    

    
      Article
15  Costs

    

     

    If not
otherwise regulated by law or agreed by the parties, all costs occurred during
the signature, execution and dispute resolution of this Agreement and
the  cost of disposing mortgage property shall be borne by Party
B.

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    

    
      Article
16 Breach
of Agreement and Liabilities

    

     

    Under one
of the following conditions, Party B shall be considered to have breached this
Agreement:

    
      	
              16.1

            	
              Party
      B, in breaching the provisions of this Agreement, transfers, leases,
      lends, funds (in material), remolds, rebuilds, or disposes the mortgaged
      property in any other ways (partially or fully) without
      authorization;

            

    

    
      	
              16.2

            	
              Party
      B obstructs Party A in disposing the mortgaged property pursuant to the
      relevant provisions of this
Agreement;

            

    

    
      	
              16.3

            	
              Party
      B fails to provide relevant guaranty according to the requirements of
      Party A when the value of mortgaged property depreciates, as provided in
      this Agreement;

            

    

    
      	
              16.4

            	
              Party
      B makes false statements within this Agreement, or breaches its promises
      within this Agreement;

            

    

    
      	
              16.5

            	
              Party
      B breaches other provisions of this
Agreement;

            

    

    
      	
              16.6

            	
              Party
      B terminates its business, or is under the circumstances of dissolution,
      annulment or bankruptcy;

            

    

    
      	
              16.7

            	
              Party
      B breaches other agreements with Party A, or other institutes of the
      Guangdong Development Bank Co.,
Ltd.

            

    

    If such
breaches enlisted in the previous provision happens, Party A may, according to
the actual circumstances, adopt one or several measures enlisted
below:

    
      	
              a.

            	
              Require
      Party B to correct its breach of the Agreement within a designated
      time;

            

    

    
      	
              b.

            	
              Lowers,
      suspends or terminates (fully or partially) the line of credit of Party
      B;

            

    

    
      
        	
                c.

              	
                Suspends
      or terminates (fully or partially) the business applications of Party B
      under other agreements; suspends or terminates (fully or partially) the
      releases and handling of unrealized loans and unhanded trade
      financings;

              

      

    

    
      	
              d.

            	
              Declares
      that the un-repaid loans/trade financings are immediately due (fully or
      partially);

            

    

    
      
        	
                e.

              	
                Terminates
      or cancels this Agreement, fully or partially terminates or cancels other
      agreements between Party B and Party
A;

              

      

    

    
      
        	
                f.

              	
                Demands
      reimbursements against Party B for the losses of Party A caused by the
      breach of Party B;

              

      

    

    
      	
              g.

            	
              Executes
      the right to mortgage;

            

    

    
      	
              h.

            	
              Conducts
      other measures deemed necessary by Party
A.

            

    

     

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    
      Article
17 Notarization

    

     

    The
parties hereof agree and confirm that: once this Agreement is notarized by the
notary office, it shall be deemed as the document of claim which has the effect
of enforceability; if the debtor fails to liquidate Party A’s principal and
interest of debt and other due expenses on time, and Party B has the default
conditions provided in Article 16, Party A is entitle to directly apply to the
people’s court which has the jurisdiction for the compulsory execution in
accordance with this Agreement and Party B agrees to accept this compulsory
execution unconditionally and give up the right to defence.

    

    
      Article
18 Effectiveness,
Modification, Amendment and Termination

    

     

    
      	
              18.1

            	
              This
      Agreement comes into effect from the date of signing and stamping by each
      party. The right to mortgage comes into effect from the mortgage
      registration date if the registration of mortgage property is needed, and
      terminates till the date when the principal, interest, default interest,
      compound interest, liquidated damages, expenses realizing the right of
      creditor and all the other affiliated expenses under Principal Agreement
      are liquidated.

            

    

    
      	
              18.2

            	
              After
      the effectiveness of this Agreement, it is legally binding to the parties
      and their successors and
transferees.

            

    

    
      	
              18.3

            	
              After
      the effectiveness of this Agreement, any one of the parties shall not
      modify or terminate this Agreement in advance without authority. This
      Agreement may be modified or amended in written form through mutually
      negotiation by the parties, and any modifications or amendments
      constitutes the inseparable components hereof. If this Agreement needs to
      be terminated in advance, the parties shall conclude the written agreement
      through mutually negotiation, and the provisions herein is still in effect
      before concluding the written
agreement.

            

    

    

    
      Article
19 Status
of This Agreement

    

     

    
      	
              19.1

            	
              This
      Agreement is independent of Principal Agreement, and Party B shall take
      responsibilities of mortgage of guaranty hereof whether the Principal
      Agreement is regarded as partial or complete
  invalidation.

            

    

    
      	
              19.2

            	
              If
      Party B (including its successor and legatee) is natural person, major
      accidents of Party B’s body or property (such as the death, loss, be
      pronounced dead, be pronounced lost, lose capacity for civil act and
      suffer from natural disaster) do not impact the validation of this
      Agreement. If Party B is legal person or other organizations, the
      consolidation, separation, recombination, reform of the shareholding
      system, change of relationship of administrative subordination do not
      impact the validation of this
Agreement.

            

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    
      	
              19.3

            	
              In
      the performance period of this Agreement, if Party B delays in performing
      the obligation of this Agreement, or Party A gives any tolerance and grace
      to Party B’s any default actions or delay actions, Party A is not damaged,
      impacted or limited to entitle every right of Party A in accordance with
      this Agreement and relevant laws, and it is not deemed as the permission
      or acquiescence of Party A to any default actions, and not regarded that
      Party A waives the right to take actions against Party B’s current or
      future default actions.

            

    

    

    
      Article
20 Applicable
Laws and Dispute Resolution

    

     

    
      The laws
of the People’s Republic of China shall be applicable to this
Agreement.

    

    All
disputes and disagreements occurred during the execution of this Agreement shall
be firstly sought to be solved by both parties via friendly consultation. If
such consultation fails, the Parties agree to employ the same dispute resolution
method as agreed by the parties in the Principal Agreement.

    Should
the dispute does not affect the execution of other provisions of this Agreement;
these provisions shall then continue to be exercised during the period of such
resolution.

    

    
      Article
21 Special
Statement of Party B

    

     

    
      	
              21.1

            	
              Party
      B makes sure that all the contents herein are negotiated by each party who
      understands completely all the contents herein, and this Agreement does
      not involve any conditions which limit and exempt Party B’s
      responsibility, and there is no demurral to all the provisions
      herein.

            

    

    
      	
              21.2

            	
              Party
      B authorizes Party A to submit the information of enterprise’s credit in
      the loan (loaning) period to credit information centre of People’s Bank
      (or other legal finance supervision institution), and authorizes Party A
      to inquire and use the credit information of Party B’s enterprises from
      the aforesaid institution at any
time.

            

    

    

    
      Article
22 Supplementary
Provisions

    

     

    
      	
              22.1

            	
              Each
      party shall verify carefully the authorized time limit and prescription
      obtained by the opponent and
signatory.

            

    

    
      	
              22.2

            	
              Unless
      otherwise agreed, the place of domicile assigned by the both parties in
      this Agreement shall be considered as mailing address and contact address;
      both parties shall, when their mailing / contact address are changed,
      inform the other party in
writing.

            

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    
      	
              22.3

            	
              Under
      this Agreement:

            

    

    Responsible
Person of Party A is: Sun Jianyi, Telephone: 0372-3672778

    Responsible
Person of Party B is: Yu Hailin, Telephone: 0372-5606593

    
      	
              22.4

            	
              Any
      attachment, amendments or supplements constitute hereof shall be
      unalienable components to this Agreement, and have the same legal power as
      this Agreement herein. The attachments
include:

            

    

    Annex 1.
List of the Mortgage Property;

    Annex 2.
Investigation and Appraise Form of Mortgage of Guaranty.

    
      	
              22.5

            	
              This
      Agreement is in three (3) originals; one (1) for Party A, one (1) for
      Party B and one (1) for the relevant registration institution, and all of
      them have equal legal effect.

            

    

    

    
      Article
23  Other
Provisions

    

     

    __________________________________________________

    __________________________________________________

    

    
      Party A
(stamp):

    

    
      Legal
Representative (Principal)/Entrusted Agent: /s/ Shen Xue Qing

    

    
      Date:
July 6, 2009

    

    

    
      Party B
(stamp)

    

    
      Legal
Representative (Principal)/Entrusted Agent: /s Wang Xinshun

    

    
      Date:
July 6, 2009

    

    
      
         

      

      
        
        

        
          

        

      

      
         

      

    

    Annex I:
List of the Mortgage Property

    Agreement
of Mortgage of Maximum Amount NO. 13108109Z022-03

    Monetary
Unit: RMB/Ten thousand

    
      
        
          
            
              
                
                  
                    
                      
                        
                          
                            
                              
                                
                                  
                                    
                                      
                                        	
                                                Number

                                              	 
      	
                                                Name
      of

                                                Mortgage

                                                Property,

                                                Specifications

                                                and
      Type,

                                                Nameplate

                                              	 
      	
                                                Unit

                                              	 
      	
                                                Quantity

                                              	 
      	
                                                Evaluating

                                                Value

                                              	 
      	
                                                Name
      and

                                                Document

                                                Number
      of

                                                Right

                                                Certificate

                                                (invoice,

                                                certificate,

                                                official

                                                document,

                                                AGREEMENT

                                                and
      etc.)

                                              	 
      	
                                                Location

                                                and
      Use

                                                Conditions

                                                of

                                                Mortgage

                                                Property

                                              	 
      	
                                                Registration

                                                Institution

                                              
	
                                                1

                                              	 
      	
                                                Roof-mounted
      Coke Oven

                                              	 
      	
                                                A
      set

                                              	 
      	
                                                1

                                              	 
      	
                                                106.796.324

                                              	 
      	
                                                Diya

                                                No.2009020

                                                Document
      of

                                                Chattel

                                                Mortgage

                                              	
                                                  

                                              	
                                                being

                                                used,
      in

                                                the

                                                factory

                                              	
                                                  

                                              	
                                                Administration

                                                Bureau

                                                for
      Industry

                                                and

                                                Commerce

                                                of
      Anyang

                                              
	
                                                2

                                              	 
      	
                                                Chemical
      Factory

                                              	 
      	
                                                A
      set

                                              	 
      	
                                                1

                                              	 
      	
                                                29.040.370

                                              	 
      
	
                                                3

                                              	 
      	
                                                Coal
      Washing

                                              	 
      	
                                                A
      set

                                              	 
      	
                                                1

                                              	 
      	
                                                9.497.760

                                              	 
      
	
                                                4

                                              	
                                                  

                                              	
                                                Sink
      and Float Coal Washing

                                              	
                                                  

                                              	
                                                A
      set

                                              	
                                                  

                                              	
                                                1

                                              	
                                                  

                                              	
                                                72.575.054

                                              	
                                                  

                                              
	
                                                The
      Mortgagor (stamp)

                                                Legal
      Representative/Entrusted Agent:

                                                Date:
      July 6, 2009

                                              	 
      	
                                                The
      Mortgagee (stamp)

                                                Legal
      Representative/Entrusted Agent:

                                                Date:
      July 6,
2009Unassociated Document

    Exhibit
10.42

     

    Form
of Maximum Amount Guarantee Agreement

     

    
      NO.13108109Z022-[__]          

    

     

    The
Parties:

     

    Creditor (Party A): Anyang Branch,
Guangdong Development Bank

     

    Address: Xiduan, Renmin Street,
Anyang

     

    Legal
Representative/Responsible Person: Shen
Xueqing      Title: President

     

    Tel:
0372-3672778   Fax:
0372-5937949       Postal
Code: 455000

     

    Guarantor
(Party B):

     

    Address:

     

    Legal
Representative/Responsible Person:
__/__         Title:  ___/___

     

    Business
License NO.:  ___/___

     

    ID NO.
(For natural person):

     

    Tel:               Fax:             Postal
Code:

     

    Opening
Bank: ___/___

     

    Basic
Account/Settlement Account:  ___/___

     

    Account
No.:  ___/___

     

    General
Account/Savings Account:  (1)        /           Account
No. ___/___

     

                                                             
(2)           /         Account
No. ___/___

     

    Signed
at Anyang,
Henan

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    Whereas
Party B voluntarily provide guarantee to Party A for the fulfillment of the debt
under the Principal Agreement as stated in Article 1 hereinafter, the parties
hereto enter into this Agreement through equal negotiation, the terms hereof
shall be interpreted in accordance with the Principal Agreement, unless
otherwise specified.

     

    
      Article
1  the
Principal Agreement

    

     

    The
Principal Agreement which is guaranteed by this Agreement, refers to the
definition A
:

     

    
      	
              A.

            	
              The
      Comprehensive Credit Line Contract, dated in 6 July 2009,
      numbered 13108109Z022,
      reached in by and between Party A and Henan Shuncheng
      Group  Coal  Coke Co., Ltd (hereinafter
      referred to as the “Debtor”) and its
      amendments or supplementary agreements (including but not limited to
      Extension Agreement. If that agreement has single agreements signed, the
      single agreements thereof shall also be involved in the Principal
      Agreement if any.)

            

    

     

    
      	
              B.

            	
              A
      series of agreements and their amendments or supplements (including but
      not limited to extension agreements) signed by Party A and
      __/____   (hereinafter referred to as the “Debtor”) from         /  (date)  to      /   (date)
      .

            

    

     

    
      Article
2  Maximum
Amount

    

     

    
      	
              2.1

            	
              The
      Maximum Amount of loan principal guaranteed by this
    Agreement:

            

    

     

    Currency:
RMB

     

    SIXTY MILLION
YUAN

     

    RMB
60,000,000.00

     

    
      	
              2.2

            	
              All
      the amount and expenses defined in Article
4.

            

    

     

    The
Maximum Amount of Credit covered by this Agreement shall be the sum of the
amount specified in the above two clauses.

     

    
      Article
3  Type
of Guaranty

    

     

    
      	
              3.1

            	
              The
      guaranty mode hereof is guaranty with joint and several
      liabilities;

            

    

     

    
      	
              3.2

            	
              The
      guarantors shall form several joint guarantees and undertake joint and
      several liabilities in case of several guarantors under this
      Agreement.

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      Article
4  Scope
of Guaranty

    

     

    The
guaranty covers principal, interests, default interest, compound interest,
default penalty liquidated damages, all expenses incurred in the performance of
the Creditor’s Rights under the principal agreement (including but not limited
to litigation fee, arbitration fee, attorney fee, travel expenses, enforcement
fee, expenses for preservation of property, evaluation fees, charge for auction
or disposition of property, transfer fee and announcement fee) and other payable
expenses.

     

    
      Article
5  Guaranty
Period and Limitation of Action

    

     

    
      	
              5.1

            	
              Guaranty
      Period: two years as of the maturity date of the debt performance period
      under the Principal Agreement.

            

    

     

    
      	
              5.2

            	
              the
      guaranty period shall be two years after the date when Party A notify the
      debtor of the prepayment in writing in case that Party A requires the
      debtor to prepay the debt in accordance with laws or the Principal
      Agreement;

            

    

     

    
      	
              5.3

            	
              Party
      A has the right to ask Party B assume the guarantee liability of the Debt
      in whole or in part, together or separately for one or more debts during
      the guaranty period. The guaranty period for any one debt shall be from
      the effective date of this Agreement to two years as from the expiry of
      last installment loan in case of the repayment in installments for the
      debt.

            

    

     

    
      	
              5.4

            	
              If
      the principal creditor’s right has not been fully paid, Party A will ask
      the guarantor(s) to undertake the guarantee liability before the expiry of
      the guaranty period as stipulated in this Article for the outstanding
      debts. The Limitation of Action shall be calculated and applied from the
      date when the creditor asks the guarantor(s) to assume the guarantee
      liability.

            

    

     

    
      Article
6  Enforcement
of Guarantee

    

     

    
      	
              6.1

            	
              Party
      A can directly ask Party B to pay the loan principal and interest and
      relevant expenses which the Debtor fails to repay according to the
      principal agreement, and Party A is entitled to claim for the amount due,
      and to deduct the payable amount of which the debtor should repay in the
      accounts Party B opened with Party A or any branches of Party A without
      Party B’s permission.

            

    

     

    
      	
              6.2

            	
              In
      case the debt is guaranteed by both the personal guarantee and guarantee
      in rem, then if the debtor fails to repay the debt due or the circumstance
      where the guarantee shall be enforced as agreed by the parties happens,
      Party A is entitled to choose guarantee in rem as the way to perform the
      guarantee or require Party B to assume the guaranty
    liability.

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      	
              6.3

            	
              Party
      A is entitled to ask Party B to assume the guarantee liability beforehand
      by written notification in case of any circumstance as
      follows:

            

    

     

    
      	
               
      

            	
              a.

            	
              The
      Principal Agreement shall be canceled upon conditions stipulated by the
      law or terms and conditions;

            

    

     

    
      	
               
      

            	
              b.

            	
              The
      debt under the Principal Agreement cannot be liquidated or liquidated in
      whole when other situations agreed by the parties in the Principal
      Agreement for the early repayment of the debt
  happen.

            

    

     

    
      	
              6.4

            	
              Other
      guarantors (and/or Party B) undertake to assume their guarantee
      liabilities even after the Creditor of the Principal Agreement waives the
      guarantee rights or the priority of the guarantee in rem or changes the
      guarantee in rem.

            

    

     

    
      Article
7  Declaration
& Commitment

    

     

    Party B
states and undertakes as follows:

     

    
      	
              7.1

            	
              Party
      B shall be a company or an organization that has been legally established
      and lawfully exists and has
      complete civil capacity to execute and perform this Agreement. Or Party B
      shall be a legally qualified natural person with complete civil capacity
      to execute and perform this
Agreement.

            

    

     

    
      	
              7.2

            	
              Party
      B fully understands the terms and conditions of the Principal Agreement;
      The execution and performance of this Agreement are based on the Party B’s
      real intent and free will while Party B has already obtained all the legal
      and valid authorization as required by its Articles of Association or
      other inner management files.

            

    

     

    If Party
B is a company, the Guaranty hereof has already been passed by the board of
directors and shareholders meeting according to the provisions of its Articles
of Association; If the there are limitation provisions applicable to the
guaranteed total amount and separate guaranty amount in the Articles of
Association, the guaranty hereof shall not exceed the stipulated
limit.

     

    Legal
representative or authorized representative signing the Agreement on behalf of
Party B shall sign this Agreement with legal, valid authorization from the
company; execution and performance of this Agreement shall not cause any breach
of any contracts, agreements or other legal documents that bind Party
B.

     

    
      	
              7.3

            	
              Party
      B shall promise all documents and materials submitted to Party A are
      accurate, real, complete and valid;

            

    

     

    
      	
              7.4

            	
              Party
      B shall accept Party A’s supervision and inspection on the production and
      operation condition, financial condition, and shall provide necessary
      assistance and cooperation;

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      	
              7.5

            	
              Party
      B shall not conceal any already-taken huge debt before the execution date
      hereof;

            

    

     

    
      	
              7.6

            	
              If
      there are some circumstances that may affect Party B’s financial condition
      and performance capability, including but not limited to division, merger,
      joint operation, joint venture with foreign investment, cooperation,
      contractual operation, reorganization, restructuring, going public and
      other changes of forms, decrease of registered capital, transfer of
      significant asset or stock equity, undertaking of huge debt, annexation,
      dissolution, being shut-down, revocation of Business License,
      deteriorating of financial situation, bankruptcy application (or be
      applied), or involved in major litigation or arbitration, Party B shall
      notify Party A in writing in a timely
manner.

            

    

     

    
      	
              7.7

            	
              Party
      B vows to ensure the due performance of all guarantee liabilities under
      this Agreement in case of division, merger, shareholding system reform and
      other circumstances during the term of this
  Agreement.

            

    

     

    
      Article
8  Culpa
In Contrahendo

    

     

    In case
of invalidity of this Agreement due to Party B’s fault in concluding this
Agreement, Party B shall reimburse any loss or damage Party A suffers as a
result of the invalidity.

     

    
      Article
9  Disclosure
of the Inner Related Parties of Party B And Related
Transaction

    

     

    The
parties hereto agree to adopt clause 1 hereunder:

     

    
      	
              9.1

            	
              Party
      B isn’t the group customer determined by Party B according to Guidelines of Commercial Bank
      to the Risk Management of Granting Credit to the Group Client,(
      ‘Guidelines’ for
      short);

            

    

     

    
      	
              9.2

            	
              Party
      B is the group client determined by Party A according to the Guidelines.
      Party B shall report to Party A the related transaction with an mount more
      than 10% of its net asset in a timely manner according to Article 17 of
      Guidelines, including the relation among transaction parties, transaction
      items and nature of the transaction, transaction amount or its proportion,
      pricing policies (including transaction without any price or only with
      nominal amount).

            

    

     

    
      Article
10  Party
A’s Rights & Obligations

    

     

    
      	
              10.1

            	
              The
      right to ask Party B to submit the documents which can verify Party B’s
      legal status;

            

    

     

    
      	
              10.2

            	
              The
      right to ask Party B to submit the financial report and other materials
      which explains its credit
information;

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      	
              10.3

            	
              The
      right to ask Party B to assume the guarantee liability under this
      Agreement upon the maturity of the debt if the debtor fails to liquidate
      wholly or partly the debt due.

            

    

     

    
      	
              10.4

            	
              Party
      A shall in a timely manner notify Party B in writing of the transfer if
      Party A transfers its rights as a creditor to the third party during the
      term of this Agreement.

            

    

     

    
      Article
11  Party
B’s Rights and Obligations

    

     

    
      	
              11.1

            	
              Party
      B shall sign and return the receipt to the person serving the loan
      collection documents sent or delivered by Party A. Party B shall send the
      receipt in three working days after receiving the reminder letter or other
      collection documents (including but not limited to those sent by post,
      telex, cable, facsimile and Email).

            

    

     

    
      	
              11.2

            	
              Party
      B shall undertake the guarantee liability in the scope as defined in this
      Agreement notwithstanding the changes to the Principal Agreement by Party
      A and the debtor which could be made without Party B’s permission unless
      the change would impose more guarantee liability on Party B (except the
      interest change in accordance with relevant
  regulations)

            

    

     

    
      	
              11.3

            	
              In
      case Party A transfer the principal Creditor’s right to any third person,
      then Party B shall continue to undertake the guarantee liability within
      the original scope.

            

    

     

    
      	
              11.4

            	
              Party
      B shall not provide the guarantee beyond its guarantee capability or
      dispose the asset in the ways that may jeopardize its guarantee
      capability, nor shall Party B cause any damage to Party A’s rights during
      the guarantee period. Party B is obliged to submit Balance Sheet and the
      description of the guarantees provided to external parties, and regularly
      or occasionally provide Party A with the financial statements and other
      documents which can explain its real financial situation in Party A’s
      request.

            

    

     

    
      	
              11.5

            	
              Party
      A is entitled to directly ask Party B to liquidate the debt under the
      Principal Agreement which is due or shall be repaid early according to
      relevant provisions if the debtor fails to repay the loan principal and
      interest in accordance with the Principal Agreement. Party B shall not
      decline any reimbursement claim made by Party A with any excuse and
      voluntarily waive its right of defense as stipulated in Article 20 of The
      Guaranty Law of the People's Republic of
China.

            

    

     

    
      	
              11.6

            	
              Party
      B agrees to assume the guarantee of joint and several liabilities as of
      the date when Party B receives written notification sent by Party A
      concerning cancellation of this Agreement or early recovery of the
      creditor’s right according to the laws or provisions during the term of
      this Agreement.

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      Article
12  Breach
of Agreement

    

     

    Party B
shall be in breach of this Agreement in one of the following
circumstances:

     

    
      	
              1.

            	
              Party
      B fails to fulfill guarantee liability timely according to the provisions
      of the Agreement;

            

    

     

    
      	
              2.

            	
              Party
      B makes fraudulent statement in the Agreement or breaches its commitment
      hereof;

            

    

     

    
      	
              3.

            	
              There
      happens any incident stipulated in paragraph 6 of Article 7 hereof which
      severely affects Party B’s finance condition and performance
      capability;

            

    

     

    
      	
              4.

            	
              when
      Party B’s business is terminated, dissolved, revoked or
      bankrupted;

            

    

     

    
      	
              5.

            	
              Breach
      of other provisions hereof by Party
B;

            

    

     

    
      	
              6.

            	
              Party
      B fails to provide corresponding guarantee or the guarantee can hardly
      meet Party A’s requirement in case that the senior management staffs of
      Party B are suspected of being involved in corruption, bribe-taking,
      jobbery or other illegal
management;

            

    

     

    
      	
              7.

            	
              Party
      B fails to provide corresponding guarantee or the guarantee can hardly
      meet Party A’s requirement in case that Party B is involved in severe
      financial loss, loss of assets or losses or other financial crisis caused
      by Party B’s external guarantee.

            

    

     

    
      	
              8.

            	
              Party
      B fails to provide corresponding guarantee or the guarantee can hardly
      meet Party A’s requirement in case that crisis occurs in management or
      financial affairs of controlling shareholders or other related companies
      of Party B, or Party B, controlling shareholders and other related
      companies are involved in a significant related transaction which may have
      effects on the operation of Party
B;

            

    

     

    
      	
              9.

            	
              Party
      B fails to provide corresponding guarantee or the guarantee can hardly
      meet Party A’s requirement in case of the adverse change in Party B’s
      industry;

            

    

     

    
      	
              10.

            	
              Party
      B’s infringement of other Agreements between Party B and Party A or other
      institutions of Guangdong Development
Bank.

            

    

     

    In case
there occurs any breach as above mentioned, Party A is entitled to adopt
following measures respectively or jointly based on each separate
circumstance:

     

    
      	
              1.

            	
              Require
      Party B to correct the breaches within a time limit and fulfill the
      guaranty liability timely;

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      	
              2.

            	
              Decrease,
      suspend or terminate the line of credit to Party B totally or
      partly;

            

    

     

    
      	
              3.

            	
              Suspend
      or terminate, totally or partly, to accept Party B’s loan application
      under other Principal Agreements; Suspend or terminate, totally or partly,
      loan release of trade financing in
process;

            

    

     

    
      	
              4.

            	
              Declare
      due immediately, totally or partly, Party B’s unpaid principal, interests
      and other payables in connection with loan or trade financing loan under
      other Agreements ;

            

    

     

    
      	
              5.

            	
              Terminate
      or relieve the Agreement, terminate or relieve other Agreement between
      Party B and Party A totally or
partly;

            

    

     

    
      	
              6.

            	
              Require
      Party B compensate losses of Party A resulting from the breach of
      Agreements;

            

    

     

    
      	
              7.

            	
              It
      only needs to send notification beforehand or afterwards for Party A to
      deduct the money in the account that Party B opens in Party A in order to
      pay off all or part of debt. The undue money in the account shall be
      regarded as due ahead of time. In case of any discrepancy between the
      currency of the accounts and the pricing currency of Party A’s business,
      it shall be converted by the price of selling spot exchange at the
      deduction date when the pricing currency of Party A’s credit business is
      foreign currency; or be converted by the price of purchasing spot exchange
      at the deduction date when the pricing currency of Party A’s business is
      RMB currency.

            

    

     

    
      	
              8.

            	
              Other
      measures Party A take for
necessary.

            

    

     

    
      Article
13  Validity,
Amendment, Termination and Suspension

    

     

    
      	
              13.1

            	
              This
      Agreement shall be effective from the date of signing and sealing by the
      parties to the date when the loan principal, interest, default interest,
      compound interest, liquidated damage, compensation, all expenses incurred
      in the enforcement of creditor’s rights and other payable expenses are
      paid off.

            

    

     

    
      	
              13.2

            	
              This
      Agreement has binding force on the parties and their respective legal
      successors or transferees after taking
effect;

            

    

     

    
      	
              13.3

            	
              This
      Agreement is independent of the Principal Agreement in the validity. In
      other words, the total or partial invalidity of the Principal Agreement
      shall not affect the effectiveness of this Principal Agreement and the
      obligation of Party B;

            

    

     

    
      	
              13.4

            	
              This
      Agreement shall not be changed unilaterally or terminated early by either
      party after this Agreement becomes
effective;

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    A written
change or revision agreement may be entered into after negotiation and mutually
agreed by both parties. Any revision or amendment shall constitute an
inseparable part to this Agreement.

     

    A written
agreement shall be reached between the parties hereto after negotiation in case
that this Agreement shall be terminated early. The terms and conditions of this
Agreement shall remain in force before the written agreement takes
effective.

     

    
      Article
14  Notarization

    

     

    The
parties hereby agree and confirm: this Agreement is held to be enforceable and
executed compulsorily after the notarization and Party A may apply for court
enforcement which Party B shall accept unconditionally and waive the right of
defense according to this Agreement in case that the debtor fails to repay the
principal and interest due and other payable expenses or of any infringement by
Party B as stipulated in Article 12 hereof,

     

    
      Article
15  Applicable
Law and Settlement of Disputes

    

     

    This Agreement
is governed and construed by laws of the People’s Republic of
China.

     

    All
disputes and argues arising from the performance of this Agreement shall be
solved through negotiation by the parties; if negotiation fails, both parties
agree to adopt the same settlement of disputes as stated in
the Principal Agreement;

     

    During
the settlement of dispute, other provisions in this Agreement that may not be
affected shall be performed continuously.

     

    
      Article
16  Special Statement of Party
B

    

     

    
      	
              16.1

            	
              In witness hereof Party B
      hereto has accurate and correct understanding of the terms and conditions
      of this Agreement and have conducted detailed negotiation of all clauses,
      free of any objection, to accept this Agreement without any limitation or
      exemption of Party B’s
liability;

            

    

     

    
      	
              16.2

            	
              with
      Party B’s authorization, Party A can submit the enterprise credit
      information to the credit service center of People’s Bank of China (or
      other finance regulatory organizations) during the term of the loan (or
      credit) and can inquire the above-mentioned organizations of the credit
      information of Party B and use the information at any
  time.

            

    

     

    
      Article
17  Supplementary
Provisions

    

     

    
      	
              17.1

            	
              The
      parties shall examine carefully the scope and prescriptive period of
      authorization of the counter-party and the signatory before the execution
      of this Agreement;

            

    

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    
      	
              17.2

            	
              The
      parties agree that the communication and contact addresses shall be the
      domiciles stated in this Agreement unless otherwise provided and promise
      to timely notify the other party in writing in case of the change of
      communication and contact
addresses.

            

    

     

    
      	
              17.3

            	
              In
      this Agreement:

            

    

     

    Responsible
person of Party A: Sun
Jianyi, Tel: 0372-3672778

     

    Responsible
person of Party B:  Tel:

     

    
      	
              17.4

            	
              Any
      appendixes, revisions or supplements to this Agreement shall form an
      integral part of this Agreement and shall share the same binding force
      with this Agreement.

            

    

     

    The
appendixes to this Agreement includes: Approved
List of Investigation of Guarantee and surety.

     

    
      	
              17.5

            	
              This
      Agreement shall be in two sets,
      respectively held by Party A and Party B and the registration authority,
      and the originals have same legal
effect.

            

    

     

    
      Article
18  Other
Provisions (please attach separate sheet if necessary)

    

     

    Party B
voluntarily waives the right of defense that the joint and several liabilities
shall only be available to the debt other than the guaranteed debt, viz. Party
B, voluntarily and directly, without the prior enforcement of creditor’s right
by Party A, assume the joint and several liabilities of all outstanding debt in
case of any breach by the debtor.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    In
witness hereof the parties hereto by representative duly authorized have
executed the Agreement.

     

    
      	
              Party
      A:

            	
              Party
      B:

            
	 
      	 
      
	
              Common
      Seal:

            	
              Common
      Seal:

            
	 
      	 
      
	
              Legal
      Representative:

            	
              Legal
      Representative:

            
	 
      	 
      
	
              Authorized
      representative:

            	
              Authorized
      representative:

            

    

     

    Dated
6th
Jul 2009

Source: [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00175-of-00352.parquet"}, [{"source": "alea-institute/alea-institute/kl3m-data-edgar-agreements/train-00175-of-00352.parquet"}]]