BOCA RATON, Fla., Sept. 26, 2005 (PRIMEZONE) -- Genesis Technology Group, Inc. (OTCBB:GTEC), announced that its subsidiary, Genesis Equity Partners, LLC ("GEP") signed a contract with Sichuan Intelligence Rare Earth Science & Technology Co., Limited ("ZNREO") to provide services and initiate the process to obtain an OTCBB listing for ZNREO, in exchange for a combination of cash fees and a block of shares of ZNREO's future common stock. Through the registration solution offered by GEP, ZNREO will be able to register the resale of securities and become a publicly traded company.
ZNREO, through its subsidiaries, controls a rare earth mine resource and a processing plant (flotation), as well as some associated facilities such as roads, power station, tailings dam and staff quarters and canteens related to the mining and processing operations. The mine is located in Dechang County, Sichuan Province, China. The total assets of ZNREO are valued at over 200 million RMB. The company is currently producing rare earth concentrate of about 50% grade, which it sells to refineries in other parts of China as a medium-scale strip mine.
Returning from a recent trip to China, Genesis President Ken Clinton reported: "The company's founders understood the many benefits of going public. Because of our reputation in China, many companies like ZNREO have approached Genesis seeking the most economical way of introducing their company to Western markets. We have met with hundred of companies in the last year, and we have selected a solid core of companies to penetrate the U.S. financial markets in the next few months. To date, our role as a consultant to Chinese companies, seeking to go public, has been extremely profitable. We have determined that this model is our most dynamic profit center.
"We offered a solution that should have ZNREO trading in short term for a price that fits well into the company's budget. Plus, once they begin trading, GEP will consult with them on how to attract capital while overseeing the company's compliance program to make sure they stay current in their filings. We have seen mining companies have tremendous success; they are an outstanding group in a desirable sector, and we for see admirable success for GTEC.
"Because assisting qualified Chinese companies has proved so financially rewarding, the Company created Genesis Equity Partners, LLC in June to focus on this program. I traveled to China in July, and Gary Wolfson traveled to China in August, meeting with over a dozen candidate companies. We forecast the GEP could become the Company's most active and profitable subsidiary," concluded Mr. Clinton.
NOTE: GTEC will host its annual shareholders' meeting on May 18, 2006 in Shanghai, China.
About Sichuan Intelligence Rare Earth Science & Technology Co., Ltd.
Sichuan Intelligence Rare Earth Science & Technology Co., Limited, founded in 1999, is developing, producing, processing and distributing Rare Earth products, iron boron magnetism material. The ore body covers an area of more than 500,000 m2, with a mineral thickness of 42 m and a topographic slope of 15-32% on the average. The conservatively estimated geological reserve is 3.6 million tons, and the average rare earth (REO) grade is approximately 5%, with the highest up to 17.68%. With a design annual yield of raw ore of 0.3 million tons, this mine is classified.
About Genesis Equity Partners, LLC
Genesis Equity Partners, LLC (GEP) serves as an excellent instrument for Chinese companies that desire to draw upon the wealth of investment capital that is available to public corporations. GEP's mission is to create substantial, incremental stockholder value for Chinese companies. GEP can effectively market and present qualified companies, such as ZNREO, to the investment and business community. GEP's team of consultants has developed a proven model for Chinese companies built to deliver corporate governance and compliance services for OTCBB companies specifically with regards to the new Sarbanes-Oxley Act regulations. Not only can GEP create shareholder value, but it can develop a myriad of business opportunities as well creating a long term sales and marketing strategy for the U.S. and Latin American markets. GEP has know-how and everyday experience of working as a partner with Chinese companies and U.S. public markets.
About Genesis Technology Group, Inc.
Genesis Technology Group, Inc. (also referred to as "Genesis China") is a business development firm that fosters bilateral commerce between Western and Chinese companies. Genesis has created successful profit centers in product development, manufacturing, distribution, joint ventures and operational services. The Company has fully staffed offices in the United States, Hong Kong and China. GTEC supports the complete circle for Chinese companies entering the public market through its various subsidiaries. Genesis has established effective working relationships with various governmental agencies, public institutions, and private industries in China. In addition, the company acquires and invests in innovative technology companies in China or forms joint ventures with both Western and Chinese companies, focusing on emerging technology and natural resource industries. For reference, visit www.genesis-china.net
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