Document:

Exhibit
10.1

    Equity
Transfer Agreement

    (this
“Agreement”)

    

    Transferor
(Party A): Hunan Zhaoheng Hydropower Co., Ltd.

    Address:
Power Station Road, Chujiang Town, Shimen County, Hunan Province

    Legal
Representative: Hong Zhu

    Title:
Chairman of Board

    

    Transferee
(Party B): Hunan Jiuli Hydropower Construction Co., Ltd.

    Address:
No.1, South Power Station Road, Chujiang Town, Shimen County, Hunan
Province

    Legal
Representative: Qingeng Zheng

    Title:
Chairman of Board

    

    In
accordance with the relevant PRC laws and regulations, and adherence to the
principles of willingness, fairness and honesty, Party A and Party B agree on
the following terms.

    

    WHEREAS:

    

    Zhaoheng
Winner (Shimen) Tungsten Company Limited., a joint venture (“Winner”,) was
incorporated in 2006. As of the date this Agreement was signed, the registered
capital of Winner was US$1 million of which, Wanqi Taibao China Tungsten Co.,
Ltd. contributed US$260,000, or 26% equity interests, Shenzhen Weileda
Technology Development Co., Ltd. contributed  US$250,000, or 25%
equity interests, and  Party A contributed US$490,000 (equivalent to
RMB3.92 million at the exchange rate when the contribution was made), or 49%
equity interests.

    

    1:
Objects Transferred:

    Party A
agrees to sell and Party B agrees to purchase 49% equity interests of Winner,
(the “Equity Transfer”) and all creditors’ rights in Winner that are
legitimately owned by Party A (the “Creditors’ Rights”).

    

    2:
Consideration and Mode of Payment

    

    2.1:
Party A and Party B agree that the consideration for the Equity Transfer is
RMB5,618,666.67, which includes the original capital contribution of RMB3.92
million equivalent at the exchange rate when the contribution was made and fixed
investment returns of RMB 1,698,666.67 as of June 30, 2009.

    

    2.2:
Party A and Party B agree that the consideration for the transfer of the
Creditors’ Rights is RMB6,900,000.06, which includes the principal of RMB6
million and accumulated interests of RMB 900,000.06 as of June 30,
2009.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    2.3:
Party A and Party B agree that, within 15 business days after this Agreement
takes effect, Party B shall pay Party A the total amount of RMB 12,518,666.73.
Party B shall pay Party A interests on overdue payment at the interest rate of
120% of the bench mark rate of the People’s Bank of China.

    

    3. Rights
and Obligations of Both Parties

    

    3.1:
Party A shall obtain the Board Resolution from the directors of Winner regarding
the Equity Transfer. After this Agreement takes effect, Party A shall provide
all relevant documents to assist Party B in amending the Register of
Shareholders and the articles of association of Winner and registering the
Equity Transfer with the Industrial and Commercial Administrative
Department.

    

    3.2:
Since July 1, 2009, Party A shall no longer enjoy any equity and shareholder
interests in Winner. Party B shall become the legitimate owner of all equity
interests and Creditors’ Rights in Winner and bear all obligations attached to
the equities.

    

    4. Taxes
and Fees in relation to the Transfer

    Party A
and Party B shall bear their respective fees and taxes in relation to the Equity
Transfer and Creditors’ Rights transfer according to the laws and
regulations.

    

    5.
Liabilities for Breach of this Agreement

    

    5.1: If
Party B fails to make payment to Party A in accordance with article 2.3 of this
Agreement, Party B shall pay Party A penalty at a rate 0.5% of the overdue
balance per day. If the payment is overdue for more than 30 days, Party A is
entitled to terminate this Agreement unilaterally.

    

    5.2: If
this Agreement is terminated due to force majeure or agreed upon by both
parties, Party A shall, within three days after such termination, refund the
payment, together with any interests calculated at the bench mark rate of the
People’s Bank of China, to Party B.. Party A shall pay Party B penalty on
overdue payment at the rate of 0.5% of the overdue balance per day.

    

    6.
Dispute Settlement

    

    Both
parties shall try to settle the disputes through amicable negotiations. If no
agreement can be reached, either party may submit the case to the People’s Court
where this Agreement was entered into. This Agreement is signed in Changde City
of Hunan Province.

    

    7: The
Modification or Termination of this Agreement

    

    7.1: This
Agreement may be modified or terminated under the following
situations:

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    

    7.1.1:
both parties agree to modify or terminate this Agreement without harm to
national and social interests;

    

    7.1.2:
all obligations under this Agreement may not be fulfilled due to force majeure;
and

    

    7.1.3:
either party fails to fulfill its obligations during contractual period, which
has been recognized by the other party.

    

    Should
Party A and Party B agree to terminate this Agreement, Party A shall refund all
payment to Party B.

    

    7.2:
Should any of the following conditions are met, either party is entitled to
terminate this Agreement in written notice without any legal
liabilities:

    

    7.2.1:
the warrants and statements made by either party under this Agreement are false
and untrue; or

    

    7.2.2:
either party violates this Agreement and damages the interests of the other
party.

    

    8. The
Effectiveness of this Agreement

    

    This
Agreement takes effect after being signed and sealed by both
parties.

    

    9:
Miscellaneous

    

    9.1:
Party A and Party B may sign supplementary agreements if there are issues not
covered in this Agreement.

    

    9.2: If
the Agreement cannot be performed due to force majeure, liability is partially
or wholly exempted depending on the effect of the event of force majeure. An
event of force majeure occurring after a party has defaulted on his performance
does not exempt him from liability. If either party is unable to perform the
Agreement as a consequence of force majeure, he shall timely notify the other
party in order to mitigate the loss potentially incurred by that party, and
shall provide proof within a reasonable period of time.

    

    9.3: This
Agreement is in 6 copies. Party A, Party B, Winner, the Industrial and
Commercial Administrative Department of Changde City, the Administration of
Foreign Exchange of Changde City, and the Bureau of Commerce of Changde City
shall each keep one copy.

    

    Transferor
(Party A) (seal): Hunan Zhaoheng Hydropower Co., Ltd

    Legal
Representative (or representative duly authorized):   Hong
Zhu

    Transferee
(Party B) (sealed): Hunan Jiuli Hydropower Construction Co., Ltd.

     

    
      
         

      

      
         

        
          

        

      

      
         

      

    

     

    Legal
Representative (or representative duly authorized):   Qingeng
Zheng

     

     

    Signed
on: June 29, 2009Unassociated Document

    SUBSCRIPTION
AGREEMENT

    

    

    The undersigned hereby subscribes for
5,000,000 shares of common stock of Kid Castle Educational Corporation, a
Florida Corporation (the “Corporation”), which shares
the Corporation and the undersigned agree have a fair market value of US$0.18
per share, for an aggregate purchase price of US$900,000.

    

    The undersigned agrees that upon
issuance of the shares, the undersigned will execute an investment letter in the
form attached as Attachment 1 to reflect that the undersigned is acquiring
such shares for investment purposes and not with a view toward their resale or
distribution.

     

    June
17, 2009.

    
      
        	 	Min-Tan
      Yang	 
	 	 	 	 
	 	
                By:
      

              	/s/ Min-Tan
      Yang	 
	 	 	Min-Tan
      Yang, Chief Executive Officer	 
	 	 	 	 
	 	 	 	 

      

    Accepted
June 17, 2009

    
 

    KID
CASTLE EDUCATIONAL CORPORATION

    

    

    

    By       /s/ Suang-Yi
Pai                                            

    Suang-Yi
Pai, Chairman

    

    

    
      
         

      

      
         

        
          

        

      

      
         

      

    

    ATTACHMENT
1

    

    To the
Board of Directors of

    Kid
Castle Educational Corporation

    

    The undersigned, Min-Tan Yang
(“Shareholder”), acknowledges receipt of 5,000,000 shares of common stock of Kid
Castle Educational Corporation, a Florida Corporation (the “Corporation”), which
shares the Corporation and Shareholder agree have a fair market value of US$0.18
per share, for an aggregate value of US$900,000.  In connection with
Shareholder’s acquisition of these securities, Shareholder acknowledges and
agrees as follows:

    

    These securities are not registered
under the Securities Act of 1933 (the “Act”) as the transaction in which they
are being acquired is exempt under Section 4(2) of the Act as not involving any
public offering.  Reliance of the Corporation and others upon this
exemption is predicated in part upon my representation (which Shareholder hereby
confirms) that Shareholder is acquiring these securities for its own account
with no present intention of selling or otherwise distributing the same to the
public.  Shareholder understands that in the view of the Securities
and Exchange Commission (the “SEC”) the statutory and administrative basis for
exemption would not be present if, notwithstanding Shareholder’s representation,
Shareholder has in mind merely acquiring these securities for sale upon the
occurrence or non-occurrence of some predetermined event such as, for example,
holding the securities for a market rise, or for sale if the market does not
rise, or for a fixed or determinable period in the future.

    

    These securities must be held
indefinitely unless they are subsequently registered under the Act or an
exemption from registration is available.  Any routine sales of these
securities made in reliance upon the exemption afforded by Rule 144 of the SEC
can be made only in limited amounts in accordance with the terms and conditions
of that rule, and, in the event this rule is for some reason inapplicable,
compliance with Regulation A of the SEC or some other disclosure exemption
will be required.  The Corporation will supply to shareholder such
information in its possession as may be necessary to enable shareholder to make
routine sales of the securities under Rule 144, if that Rule is
available.  However, the Corporation is under no obligation to make
such information “publicly available,” to otherwise comply with any such
exemption, or to register the securities.

    

    In accordance with the policies of the
SEC, the Corporation is placing the following legend upon the certificates
representing the securities and is placing upon the Corporation’s stock transfer
records a stop-transfer order preventing transfer of the securities pending
compliance with the conditions set forth in the legend:

    

    These
securities are not registered under state or federal securities laws and may not
be offered, or sold, pledged (except a pledge pursuant to the terms of which any
offer or sale upon foreclosure would be made in a manner that would not violate
the registration provisions of federal or state securities laws) or otherwise
distributed for value, nor may these securities be transferred on the books of
the corporation, without opinion of counsel, concurred in by counsel for the
corporation, that no violation of said registration provisions would result
therefrom.

    

    In addition to the foregoing,
Shareholder acknowledges that, as a director and as a controlling shareholder of
the Corporation, Shareholder is entitled to additional restrictions on transfer
under applicable securities laws.  Shareholder represents that he will
comply with all such laws.

    

    SHAREHOLDER HAS CAREFULLY READ THE
FOREGOING AND UNDERSTANDS THAT IT RELATES TO RESTRICTIONS UPON THE ABILITY TO
SELL AND/OR TRANSFER THE SECURITIES CONTEMPLATED HEREBY.

    

    June 17, 2009

    

    

    Min-Tan Yang

    

    

      /s/  Min-Tan
Yang

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