News Releases

Liaoning Dongyu Oil Pipe Manufacturing Co., Ltd. − Continues to Achieve Excellent Results Again in this Fiscal Year

PetroMaterials Corporation
September 25, 2005

Liaoning Dongyu Oil Pipe Manufacturing Co., Ltd., a joint venture established by both our company and Liaohe Oilfield of China, continues to achieve results as excellent as those seen last year. According to the interim financial statement for January 2005 to June 2005, net income after tax reached RMB16 million Yuan (Chinese Currency). A net income of 32 million yuan is expected for the entire period of January to December 2005.

Liaoning Dongyu Oil Pipe Manufacturing Co., Ltd., namely, the joint venture, has a working capital of 4 million U.S dollars, of which, 75% is held by Liaohe Oilfield and the rest 25% is held by our company.