ZhongDe Waste Technology AG Secures Land Usage Rights in Beijing - Headstone for Building a Second Production Facility



    The information contained in this document is not for publication
    or distribution in the United States of America.

    ZhongDe Waste Technology AG, a leading solution provider in the
    Chinese waste disposal market, announced today that ZhongDe Group
    ("ZhongDe") has signed a binding contract for the purchase of land
    usage rights close to Beijing. The land in question is approx. 67,000
    square meters in size. The purchase price for the usage rights for a
    period of at least 50 years amounts to 22 million RMB (approx. EUR 2.1
    million as at the rate of exchange of 19th September 2007). By
    purchasing the land usage rights ZhongDe Waste Technology AG has
    completed the first step for the building of a new production facility
    in order to expand its production capacity which will be funded
    primarily by the proceeds raised in the IPO on the Frankfurt stock
    exchange in early July 2007.

    Zefeng Chen, CEO of ZhongDe Waste Technology AG, comments: "The
    signing of this contract means a huge step towards the implementation
    of our strategic goal to increase our market share and therefore to
    further improve our already very good market position, by giving us
    the ability to expand our production capacities significantly. In
    doing so, we continue to put strong emphasis on the realization of
    larger-sized municipal solid waste incinerators. With the purchase of
    the land usage rights we are absolutely on schedule regarding the
    building of a second production facility."

    About ZhongDe Group:

    ZhongDe Group designs, manufactures and installs pyrolytic, grate
    and rotary kiln waste incinerators for the disposal of solid medical,
    municipal and industrial (including hazardous) waste. Since 1996
    ZhongDe Group has installed more than 170 waste incinerators in about
    13 provinces and in the last three financial years alone 112 waste
    incinerators. Its waste incinerators are principally constructed for
    operators of medical disposal centers in the hospital and healthcare
    industry as well as for small and mid-sized Chinese cities in
    developed areas of the People's Republic of China. The Management
    Board of ZhongDe Group believes that ZhongDe Group is one of the
    leading suppliers of small and mid-sized solid waste incinerators in
    China. The trading of the shares (German Securities Identification
    Number ZDWT01, ISIN DE000ZDWT018 and ticker symbol ZEF) commenced on
    the Prime Standard segment of the Frankfurt Stock Exchange on July 6,
    2007.

    This document constitutes neither an offer to sell nor a
    solicitation to buy securities of ZhongDe Waste Technology AG. The
    securities have already been sold.

    This document is not an offer of securities for sale in the United
    States of America. Securities may not be offered or sold in the United
    States of America absent registration or an exemption from
    registration under the U.S. Securities Act of 1933, as amended. The
    shares in ZhongDe Waste Technology AG have not been and will not be
    registered under the U.S. Securities Act of 1933, as amended, and are
    not being and will not be offered or sold in the United States of
    America.

    This document is directed at and/or for distribution in the U.K.
    only to (i) persons who have professional experience in matters
    relating to investments falling within article 19(5) of the Financial
    Services and Markets Act 2000 (Financial Promotion) Order 2005 (the
    "Order") or (ii) high net worth entities falling within article
    49(2)(a) to (d) of the Order (all such persons being together referred
    to as "relevant persons"). This document is directed only at relevant
    persons. Any person who is not a relevant person should not act or
    rely on this document or any of its contents. Any investment or
    investment activity to which this document relates is available only
    to relevant persons and will be engaged in only with relevant persons.