Qinghai Sanjiang A Power Agriculture Co., Ltd.

On December 28, 2008, Sino Agro Food entered into a sino-foreign joint venture agreement with the SanJiang Group and the Garwor Group to pursue the manufacture of bio-organic fertilizer, livestock feed, beef cattle farming and to develop other agriculture projects in the County of Huan-gyuan, in the vicinity of the City of Xining, Qinghai Province.

On May 25, 2009, Sanjiang A Power was formally established. In September, 2009, Sino Agro Food carried out an internal re-organization of its corporate structure and businesses, and on September 28, 2009, Sino Agro food subsidiary A Power Agro Agriculture Development Limited acquired a 45% equity interest in Qinghai Sanjiang A Power Agriculture Co. Ltd.

On June 16, 2009, Sanjiang A Power produced its first batch of bio-organic fertilizer of 200 metric tons. Laboratory tests carried out by Xining University, showed that the fertilizer met the PRC’s quality standard for bio-organic fertilizer. Sanjiang A Power has completed the development of manufacturing plants and facilities for bio-organic fertilizer with a production capacity of up to 20,000 tons per year.

Sanjiang A Power's stock feed operations and cattle house capacity will allow fattening operations of up to 5,000 heads of beef cattle per year. The Company expects to produce some 30,000 tons per year to be used by both operations and sold to regional farmers.

At SJAP, construction work is on-going targeting 17 new cattle houses and related facilities by the end of 2013. There are currently 12. The Company expects this to provide the capacity for the rearing of 6,000 head of cattle annually, based on a six-month rotation. Additional head of cattle are expected to be sold through the cooperative of local farmers. Construction of the abattoir, deboning factory and related packaging facilities commenced April 21, 2013. View photos of the construction progress, taken in August 2013.