China Shen Zhou Expands Ownership in Subsidiaries
BEIJING, Nov. 12, 2012 /PRNewswire-FirstCall/ -- China Shen Zhou Mining & Resources, Inc. ("China Shen Zhou", or the "Company") (NYSE Amex: SHZ), a company engaged in the exploration, development, mining and processing of fluorite, barite, zinc, copper, and other nonferrous metals in China, today announced that it has increased an additional 20% ownership stake in three of its recently acquired subsidiaries - Wuchuan Dongsheng Mining Company Ltd. ("Wuchuan Mining"), Qianshi Resources Development Company Ltd. ("Qianshi Resources"), and Meilan Mining Company Ltd. ("Meilan Mining").
In January and February, 2012, China Shen Zhou Mining acquired 60% ownership of Wuchuan Mining, Qianshi Resources and Meilan Mining, all of which are located in Guizhou Province, P.R. China. Per the original agreements, China Shen Zhou Mining would bear the debts of the acquired entities up to $7,897,000 and the remaining liabilities would be settled by the sellers. As a result of failing to settle the additional liabilities, the sellers of the above three companies were obligated to transfer an additional 20% of the ownership to China Shen Zhou. Therefore, China Shen Zhou now holds 80% interest in all three subsidiaries.
Ms. Xiaojing Yu, Chairperson and Chief Executive Officer of China Shen Zhou, commented, "We are very pleased to expand our ownership position in the three subsidiaries, which are rich in mining resources. They are currently undervalued due to the slower growth of Chinese domestic economy and weak global economy. We are confident that our strategy to acquire mining assets below their market value will bring benefits to our shareholders in the long run."
About China Shen Zhou Mining & Resources, Inc.
China Shen Zhou Mining & Resources, Inc., through its subsidiaries, is engaged in the exploration, development, mining, and processing of fluorite, barite and nonferrous metals such as zinc, lead and copper in China. The Company has the following principal areas of interest in China: (a) fluorite extraction and processing in the Sumochaganaobao region of Inner Mongolia; (b)fluorite and barite extraction and processing in the Wuchuan County of Guizhou province (c)fluorite and barite extraction and processing in the Yanhe County of Guizhou province.(d)fluorite extraction and processing in Jingde County, Anhui Province; (e) zinc/copper/lead processing in Wulatehouqi of Inner Mongolia; and (f) zinc/copper exploration, mining and processing in Xinjiang. For more information, please visit http://www.chinaszmg.com/.
Safe Harbor Statement
This press release may include certain statements that are not descriptions of historical facts, but are forward-looking statements. Forward-looking statements can be identified by the use of forward-looking terminology such as "will", "believes", "expects" or similar expressions. These forward-looking statements may also include statements about our proposed discussions related to our business or growth strategy, which is subject to change. Such information is based upon expectations of our management that were reasonable when made but may prove to be incorrect. All of such assumptions are inherently subject to uncertainties and contingencies beyond our control and upon assumptions with respect to future business decisions, which are subject to change. We do not undertake to update the forward-looking statements contained in this press release. For a description of the risks and uncertainties that may cause actual results to differ from the forward-looking statements contained in this press release, see our most recent Annual Report filed with the Securities and Exchange Commission (SEC) on Form 10-K, and our subsequent SEC filings. Copies of filings made with the SEC are available through the SEC's electronic data gathering analysis retrieval system (EDGAR) at http://www.sec.gov.
SOURCE China Shen Zhou Mining & Resources, Inc.
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