DGAP-News: China Zongbao enters into product promotion agreement for organic fertilizers with First Agricultural Division of Xinjiang Construction Corps to earn Eur 6,400,000 for supply to year end 2011

DGAP-News: China Zongbao Clean Tech Ltd. / Key word(s): Development of
Sales
China Zongbao enters into product promotion agreement for organic
fertilizers with First Agricultural Division of Xinjiang Construction
Corps to earn Eur 6,400,000 for supply to year end 2011

20.06.2011 / 20:30

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China Zongbao Clean Tech Limited (ZEC, the Frankfurt Open Market Listed
Company) (the –Company–) has patented technology in China recycling solid
waste to produce high yield organic fertilizers within a record time.

The Company is pleased to announce it has sold its first order of organic
fertilizers of a series of orders entered into in a product promotion
agreement for organic fertilizers with the First Agricultural Division of
Xinjiang Construction Corps (herein called –Xinjiang–),with potential
supply of 0.4 million tons of organic fertilizers. For year end 2011 the
supply requirement of 40,000 tons of organic fertilizers shall yield the
company revenue of EUR 6,400,000.

The First Agricultural Division of Xinjiang Construction Corps is located
in Aksu Prefecture with a developed agricultural area of 124,800 hectares.
Cotton accounts for 70% of Xinjiang–s crops, followed by rice and wheat.
The annual production of cotton is 170,000 tons.

Xinjiang is renowned for leading the country in creating and inventing new
breeds and strands. China–s long staple cotton is born in Talimu, invented
and cultivated by a breeding expert in Xinjiang. The standard in long
staple cotton established by Xinjiang is adopted by the country as its
technical standard for long staple cotton breed. Xinjiang is honoured to be
the only national long staple cotton breeding center in China for the
breeding of enhanced stock base with the biggest cotton seed processing
factory in China.

Xinjiang employs oasis irrigation farming with water resources that stem
from the mountain glacier. There are six rivers and five large and mid
scale regulated reservoirs with a total storage of 517,000,000 cubic meters
and they provide irrigation to 160,000 hectares of land. There are more
than 12 medium and small hydroelectric power stations with total installed
capacity of 31,000 kilowatts.

China Zongbao Clean Tech Limited – Solving tomorrow–s pressing
environmental concerns today, in a profitable way.

This news release may contain certain forward looking statements,
expectations, intentions, strategies and beliefs regarding the future of
the company. All statements contained herein are based upon information
available to management of China Zongbao Clean Tech Limited as of the date
hereof, and actual results may vary based upon future events, both within
and without the control of the management of the company, including risks
and uncertainties that could cause actual results and future results to
differ materially. Management and company representatives do not take any
responsibility to update the contents of this news release in the event of
any new aspects or conditions that arise or that may change the information
stated herein.

For more information on the Company, please visit the website

http://www.chinazongbao.com

Email: info@chinazongbao.com

End of Corporate News

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20.06.2011 Dissemination of a Corporate News, transmitted by DGAP – a
company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.

DGAP–s Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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129197 20.06.2011