China Rongsheng : Heavy Industries Secures Credit of Rmb28 Billion from Agricultural Bank of China - Consolidates Strategic Cooperative Relationship and Strengthens Capital Base

[Press Release]CHINA RONGSHENG HEAVY INDUSTRIES SECURES CREDIT OFRMB28 BILLION FROM AGRICULTURAL BANK OF CHINA* * * *CONSOLIDATES STRATEGIC COOPERATIVE RELATIONSHIP ANDSTRENGTHENS CAPITAL BASE

(18 August 2011, Hong Kong) – China Rongsheng Heavy Industries Group Holdings Limited (“China Rongsheng Heavy Industries” or the “Group”; stock code: 01101.HK), a large heavy industries group in China, signed the “Bank-Enterprise Comprehensive Strategic Cooperation Agreement” with Agricultural Bank of China (“ABC”) in Nanjing today. Pursuant to the agreement, ABC will grant a credit of RMB 28 billion to China Rongsheng Heavy Industries, which will inject strong capital for the Group’s future development while further consolidating the cooperative relationship based on mutual trust between the two parties.

Mr. Chen Qiang, Chief Executive Officer and Executive Director of China Rongsheng Heavy Industries, said, “Chinese banks have gradually tightened credit against the backdrop of a series of austerity measures launched by the Government to rationalise credit activities. Thus, the signing of the strategic cooperative agreement with the ABC has demonstrated the Group’s strong position in the industry and the firm trust of the banking sector in the Group’s development prospects. This credit will help us secure abundant capital for the development of our various business segments”.

Mr. Liu Xing, General Manager of Corporate Banking Department of ABC; Mr. Li Zhicheng, General Manager of ABC Jiangsu Branch; Mr. Gu Zhengyu, General Manager of ABC Anhui Branch; Mr. Chen Qiang, Chief Executive Officer of China Rongsheng Heavy Industries; Mr. Hung Liang, Vice President of China Rongsheng Heavy Industries; Mr. Deng Hui, Chairman of Hefei Rongan Power Machinery Co. Ltd. (“Hefei Rongan Power Machinery”); Mr. Yu Zheng, Chairman of Rongsheng Machinery Ltd. (“Rongsheng Machinery”) and officials from Jiangsu Provincial Government all attended the signing ceremony.

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China Rongsheng Heavy Industries Secures Credit of RMB28 Billion

From Agricultural Bank of China

18 August 2011 / P.2

According to the agreement, ABC Jiangsu Branch will grant a credit line of RMB20 billion to Jiangsu Rongsheng Heavy Industries, while ABC Anhui Branch will grant a credit line of totaling RMB8 billion to Hefei Rongan Power Machinery and Rongsheng Machinery. The credit will be mainly used as a capital loan, buyer credit and foreign exchange service.

Aligning with China’s strategy to promote the ship and equipment manufacturing business, the ABC has granted a credit of RMB8 billion to the Group on 9 December

2010. ABC has been offering quality and all-round financing service enabling the Group to facilitate the development of the local economy of Nantong and contribute to develop a scalable, modern and international equipment manufacturing industry.

Mr. Chen Qiang concluded, “Since August 2010, China Rongsheng Heavy Industries has signed strategic cooperative agreements with financial institutions including the Export-Import Bank of China, Bank of China, ABC, China Everbright Bank and China CITIC Bank securing a huge amount of credit. On 11 August 2011, the Group has obtained an overseas loan of US$220 million from a syndicate led by Crédit Agricole Corporate and Investment Bank. The strong support of both the domestic and overseas banking sectors has strategic significance for the Group’s corporate development and amply demonstrates that the Group’s strong capability has inspired the confidence of the banking community”.

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China Rongsheng Heavy Industries Secures Credit of RMB28 Billion

From Agricultural Bank of China

18 August 2011 / P.3

About China Rongsheng Heavy Industries Group Holdings Limited

Established in 2005, Rongsheng advanced to become a market leader in the Chinese shipbuilding industry within five years. According to Clarkson Research, Rongsheng was the second largest shipbuilder and the largest privately-owned shipbuilder in the PRC in terms of total order book measured by DWT as of end of 2010, and had the largest shipyard in the PRC. Rongsheng was also a global leader in manufacture of VLOCs of over 400,000 DWT. Headquartered in Hong Kong and Shanghai, Rongsheng has production facilities in Nantong of Jiangsu Province and Hefei of Anhui Province. Currently, Rongsheng’s business spans four segments: shipbuilding, offshore engineering, marine engine building and engineering machinery. Rongsheng products include bulk carriers, crude oil tankers, containerships, offshore engineering products, low-speed marine diesel engines and small to mid-size excavators for construction and mining uses. It has established strategic cooperations with renowned international classification societies including DNV, ABS, LR, GL and CCS, and has built a customer base including enterprises such as CNOOC, Vale, Geden Line, Cardiff Marine Inc., MSFL and Frontline Ltd. The Group’s products have been sold to 11 countries and regions including Turkey, Norway, Germany, Brazil, Singapore and China.

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