| The Group has a chemical sewage treatment station which is shared among various Production Areas (except Binzhou Production Base and Weihai Production Base). The Environmental Protection Bureau of Zouping County has issued an inspection certificate in 2003 confirming that the sewage discharged by the sewage treatment station was acceptable and in compliance with the relevant environmental laws and regulations. Regarding the Binzhou Production Base and Weihai Production Base, sewage discharge has been at a low level and no sewage treatment is legally required. The Environmental Protection Bureau of each area has also issued an inspection certificate in 2003 confirming that the relevant environmental laws and regulations have been complied with. |