MIRA INFORM REPORT

Report Date :

06.09..2014

IDENTIFICATION DETAILS

Name :	KINGMETAL RESOURCES CO. LTD.
Registered Office :	C/o Social Enterprise Business Centre Room 305, 3/F., Bonham Trade Centre, 50 Bonham Strand, Sheung Wan
Country :	Hong Kong
Date of Incorporation :	20.08.2005
Com. Reg. No.:	35938575
Legal Form :	Private Limited Liability Company
Line of Business :	The subject is trading in the following commodities: steel pipes, pipe fittings, flange, light steel houses, prefabricated houses, warehouse, container house, seamless stainless steel pipe, seamless carbon steel pipe, steel elbow, other steel products, lap joint, mobile fence wall, welded carbon steel pipe
No of Employees :	Not Available

NOTE:

It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.

RATING & COMMENTS

MIRA’s Rating :

Ca

RATING		STATUS	PROPOSED CREDIT LINE
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security

Status :	No Operating Office in Hong Kong
Payment Behaviour :	Unknown
Litigation :	Clear

NOTES :

Any query related to this report can be made on e-mail : infodept@mirainform.com while quoting report number, name and date.

ECGC Country Risk Classification List – June 1, 2014

Country Name	Previous Rating (31.03.2014)	Current Rating (01.06.2014)
Hong Kong	A1	A1

Risk Category	ECGC Classification
Insignificant	A1
Low	A2
Moderate	B1
High	B2
Very High	C1
Restricted	C2
Off-credit	D

HONG KONG - ECONOMIC OVERVIEW

Hong Kong has a free market economy, highly dependent on international trade and finance - the value of goods and services trade, including the sizable share of re-exports, is about four times GDP. Hong Kong has no tariffs on imported goods, and it levies excise duties on only four commodities, whether imported or produced locally: hard alcohol, tobacco, hydrocarbon oil, and methyl alcohol. There are no quotas or dumping laws. Hong Kong's open economy left it exposed to the global economic slowdown that began in 2008. Although increasing integration with China, through trade, tourism, and financial links, helped it to make an initial recovery more quickly than many observers anticipated, its continued reliance on foreign trade and investment leaves it vulnerable to renewed global financial market volatility or a slowdown in the global economy. The Hong Kong government is promoting the Special Administrative Region (SAR) as the site for Chinese renminbi (RMB) internationalization. Hong Kong residents are allowed to establish RMB-denominated savings accounts; RMB-denominated corporate and Chinese government bonds have been issued in Hong Kong; and RMB trade settlement is allowed. The territory far exceeded the RMB conversion quota set by Beijing for trade settlements in 2010 due to the growth of earnings from exports to the mainland. RMB deposits grew to roughly 12% of total system deposits in Hong Kong by the end of 2013. The government is pursuing efforts to introduce additional use of RMB in Hong Kong financial markets and is seeking to expand the RMB quota. The mainland has long been Hong Kong's largest trading partner, accounting for about half of Hong Kong's total trade by value. Hong Kong's natural resources are limited, and food and raw materials must be imported. As a result of China's easing of travel restrictions, the number of mainland tourists to the territory has surged from 4.5 million in 2001 to 34.9 million in 2012, outnumbering visitors from all other countries combined. Hong Kong has also established itself as the premier stock market for Chinese firms seeking to list abroad. In 2012 mainland Chinese companies constituted about 46.6% of the firms listed on the Hong Kong Stock Exchange and accounted for about 57.4% of the Exchange's market capitalization. During the past decade, as Hong Kong's manufacturing industry moved to the mainland, its service industry has grown rapidly. Credit expansion and tight housing supply conditions have caused Hong Kong property prices to rise rapidly; consumer prices increased by more than 4% in 2013. Lower and middle income segments of the population are increasingly unable to afford adequate housing. Hong Kong continues to link its currency closely to the US dollar, maintaining an arrangement established in 1983. In 2013, Hong Kong and China signed new agreements under the Closer Economic Partnership Agreement, adopted in 2003 to forge closer ties between Hong Kong and the mainland. The new measures, effective from January 2014, cover services and trade facilitation, and will improve access to the mainland's service sector for Hong Kong-based companies.

Source : CIA

COMPANY NAME

KINGMETAL RESOURCES CO. LTD.

ADDRESS

Registered Office:-

c/o Social Enterprise Business Centre

Room 305, 3/F., Bonham Trade Centre, 50 Bonham Strand, Sheung Wan, Hong Kong.

China Main Office:-

C1-1002, Kai Xin Dongfang Huating, 63 Chuihui Second Street, Guangzhou City, Guangdong Province, China.

[Tel: 86-20-8206 6780; Fax: 86-20-8206 6880]

Associated Companies

Guangzhou Kingmetal Steel Industry Co. Ltd., China.

Wenzhou Jiangnan Steel Pipe Manufacturing Co. Ltd., China.

Wenzhou Judd Pipeline Industry Co. Ltd., China.

BUSINESS REGISTRATION NUMBER

35938575

COMPANY FILE NUMBER

0990989

DATE OF INCORPORATION

20th August, 2005.

CAPITAL

Nominal Share Capital: HK$100.00 (Divided into 100 shares of HK$1.00 each)

Issued Share Capital: HK$100.00

SHAREHOLDER

(As per registry dated 20-08-2014)

Name	No. of shares
WEI Shen	100 ===

DIRECTOR

(As per registry dated 20-08-2014)

Name (Nationality)	Address
WEI Shen	No.24-7B, Jiahua Yuan, New World Garden, Xintang Guangzhou, China.

SECRETARY

(As per registry dated 20-08-2014)

Name	Address	Co. No.
Company Registration Management Ltd.	Room 601A, 6/F., Fourseas Building, 208‑212 Nathan Road, Kowloon, Hong Kong.	1279358

GENERAL

Kingmetal Resources Ltd. was incorporated on 20th August, 2005 as a private limited liability company under the Hong Kong Companies Ordinance.

The subject does not have its own operating office. Its registered office is in a business centre located at Room 305, 3/F., Bonham Trade Centre, 50 Bonham Strand, Sheung Wan, Hong Kong known as Social Enterprise Business Centre which is handling its correspondences and documents.

The subject has no employees in Hong Kong.

According to the Companies Registry of Hong Kong, the subject has issued 100 ordinary shares of HK$1.00 each which are wholly-owned by Ms. Wei Shen who is a China merchant. She is a China ID holder and does not have the right to reside in Hong Kong permanently. She is also the only director of the subject.

The subject’s main office is in Guangzhou City, Guangdong Province, China. It is a professional company engaged in designing, producing and selling steel pipe, pipe-fittings and prefabricated house. It has its own factories equipped with modern machinery and equipment. Products are mainly exported to overseas markets.

The subject is trading in the following commodities: steel pipes, pipe fittings, flange, light steel houses, prefabricated houses, warehouse, container house, seamless stainless steel pipe, seamless carbon steel pipe, steel elbow, other steel products, lap joint, mobile fence wall, welded carbon steel pipe, etc.

Its seamless steel pipes are of the sizes range from 6 mm to 630 mm, and the materials of TP304, 304L, 316, 316L, 304/304L, 316/316L, 321, 310S, 310H, and 317L. Its fittings include elbows, tees, reducers, caps, and flanges. Its valves have casting and forge types, including ball valves, gate valves, globe valves, check valves, and butterfly valves. The subject also offer normal Cast Iron Valves.

Its prime markets are the United States, Canada, the United Kingdom, Australia, India, Pakistan, Thailand, Indonesia, Singapore, etc.

Besides, the subject is also are the agent of Bao Steel, Hengyang, Tianjin, Anshan, and Pangang. It offer customers with seamless Carbon Steel Pipes, welded Carbon Steel Pipes, and special pipes.

According to the subject, it has been the main supplier of several famous constructors in China, such as Garden Group, Zhongtian Construction Group and Jinxiu Xiangjiang Group. Now, it also exports it materials to Pakistan, Indonesia, Singapore, and Dubai.

The business of the subject is chiefly handled by Shalley Wei Shen.

The subject’s business in Hong Kong is not active. History in Hong Kong is over nine years.

Since the subject does not have its own operating office and has no employees in Hong Kong, consider it good for business engagements on L/C basis.

NOTE:

It is to be noted that the company does not have its own operating office in Hong Kong. The company uses the address of its secretariat as its correspondence address only. Subject operates from some other country and does not have a base in Hong Kong. Such companies are registered in Hong Kong just to tax benefit purpose and due to the strict privacy laws prevailing in the country. In such cases, the companies are not required to have any employees in Hong Kong nor do have an office there.

FOREIGN EXCHANGE RATES

Currency	Unit	Indian Rupees
US Dollar	1	Rs.60.44
UK Pound	1	Rs.98.64
Euro	1	Rs.78.20

INFORMATION DETAILS

Analysis Done by :	KAR
Report Prepared by :	SHG

RATING EXPLANATIONS

RATING		STATUS	PROPOSED CREDIT LINE
>86	Aaa	Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums	Unlimited
71-85	Aa	Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums	Large
56-70	A	Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums	Fairly Large
41-55	Ba	Overall operation is considered normal. Capable to meet normal commitments.	Satisfactory
26-40	B	Capability to overcome financial difficulties seems comparatively below average.	Small
11-25	Ca	Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity	Limited with full security
<10	C	Absolute credit risk exists. Caution needed to be exercised	Credit not recommended
--	NB	New Business	--

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

Financial condition (40%) Ownership background (20%) Payment record (10%)

Credit history (10%) Market trend (10%) Operational size (10%)

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions

This report is issued at your request without any risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL) or its officials.