Annual Financial Report

China CDM Exchange Centre Limited

Final results for the year ended 31 December 2013

Chairman's Statement

The Company operates within the framework of the Clean Development Mechanism
("CDM") of the Kyoto Protocol, established under the auspices of the United
Nations Framework Convention on Climate Change. The Protocol commits countries
to reducing their emissions of Green House Gasses ("GHGs") by pre-determined
amounts or compensates for maintained or higher GHGs emissions via emissions
trading.

The year 2013 is undoubtedly a tough year in the global carbon market, which
carries on the declining tendency of 2012. However, based upon the qualified
internal resources and reputable corporate partners, the Company gained the
revenue of GBP£982,330.60 in 2013.

There was a noteworthy endeavor in the Carbon Market of China from the second
half of 2013. The Chinese Government set up seven pilot Carbon Exchange Centers
separately in Beijing, Shanghai, Shenzhen, Tianjin, Chongqing, Wuhan and
Guangdong. And Shenzhen Emissions Exchange ushered the first deal on June 18,
2013. In 2025, a sound Carbon Market System will be established with the
governmental support in China. That means a favorable turn in the carbon market
in China. With regard to the up-and-coming carbon market in China, the Company
dedicated itself to work at the relevant methodology and develop the new CCER
(China Certified Emission Reduction) projects from the fourth quarter in 2013.
We are confident on our capability to make a good performance and sustainable
growth in domestic CCER market.

I would like to extend my sincere thanks to the management and staff of the
Company for performing the tasks with zeal, vision and dedication and as well
as to our partners for their effective and efficient cooperation.

Outlook for 2014

In 2014, the company will develop the business focusing on the following areas:

 1. To maintain the current advantages in the global carbon market;
   
 2. To extend the new business in the China Energy Markets;
   
 3. To strengthen management regulation, improve company's management level and
    enroll high-quality talents.
   
……………………………

Mr.Kang Zheng

Chairman


Enquiries:

China CDM Exchange Centre Limited             [phone]
[e-mail]                                                               
                                                                                   
ISDX Advisor:                                 020 7251 3762                        
Alfred Henry Corporate Finance Ltd                                                 
www.alfredhenry.com                                                                
Jon Isaacs/Nick Michaels                                                           



The Directors accept responsibility for this announcement.




CHINA CDM EXCHANGE CENTRE LIMITED

                               INCOME STATEMENTS                               

                  Notes      1/1/2013-12/31/2013          1/1/2012-12/31/2012    
                                                                                 
                              RMB            GBP           RMB           GBP     
                                                                                 
    Revenue         3     9,905,920.00   982,330.60    8,199,070.00   825,154.99 
                                                                                 
 Cost of sales           (7,568,051.80) (750,493.53)  (7,629,593.00) (767,842.78)
                                                                                 
  Gross profit            2,337,868.20   231,837.07     569,477.00    57,312.21  
                                                                                 
Selling expense                                                                  
                                                                                 
 Administration          (1,912,678.37) (189,672.69)  (1,581,472.35) (159,159.49)
    expenses                                                                     
                                                                                 
  Profit from       4      425,189.83     42,164.38   (1,011,995.35) (101,847.28)
   operations                                                                    
                                                                                 
Foreign exchange          (206,853.13)   (20,512.80)   (329,441.85)  (33,155.05) 
gains                                                                            
                                                                                 
Profit before              218,336.70     21,651.58   (1,341,437.20) (135,002.33)
income tax                                                                       
                                                                                 

The accompanying notes form an integral part of these financial statements.

Average exchange rate:（2013）RMB/GBP：10.0841; （2012）RMB/GBP：9.9364;


CHINA CDM EXCHANGE CENTRE LIMITED

                                BALANCE SHEETS                                 

                         Note          12/31/2013                   12/31/2012         
                                                                                       
                                   RMB            GBP           RMB            GBP     
                                                                                       
   Non-current assets                                                                  
                                                                                       
   Property Plant and     5     78,015.74      7,758.44      99,541.99      9,796.38   
       Equipment                                                                       
                                                                                       
  Long term investment    6   372,042,500.00 36,998,538.13 372,042,500.00 36,614,392.14
                                                                                       
   Intangible assets      7                                108,240,000.14 10,652,390.01
                                                                                       
Total non-current assets      372,120,515.74 37,006,296.57 480,382,048.13 47,276,578.53
                                                                                       
     Current Assets                                                                    
                                                                                       
    Trade receivable      8   64,402,764.02  6,404,666.46  68,121,055.03  6,704,102.41 
                                                                                       
   Other receivables                                                                   
                                                                                       
     Cash and cash        9    6,319,467.97   628,452.60    2,361,314.01   232,387.64  
      equivalents                                                                      
                                                                                       
Financial assets at fair                                                               
value through profit or                                                                
          loss                                                                         
                                                                                       
  Total current assets        70,722,231.99  7,033,119.06  70,482,369.04  6,936,490.05 
                                                                                       
      Total assets            442,842,747.73 44,039,415.62 550,864,411.17 54,213,068.58
                                                                                       
  Current Liabilities                                                                  
                                                                                       
     Other payables                                                                    
                                                                                       
     Total current                                                                     
      liabilities                                                                      
                                                                                       
  Capital and Reserves                                                                 
                                                                                       
     Share capital        10  221,999,000.00 15,020,515.41 221,999,000.00 15,020,515.41
                                                                                       
    Capital surplus            1,064,345.56   109,974.13   109,304,345.70 10,761,985.30
                                                                                       
   Public product of          49,336,357.17  3,383,675.49  49,336,357.17  3,383,675.49 
        surplus                                                                        
                                                                                       
  Undistributed profit        170,443,045.00 15,530,053.71 170,224,708.30 15,508,402.13
                                                                                       
    Foreign currency                         9,995,196.88                 9,538,490.26 
 translation difference                                                                
                                                                                       
  Total shareholder's         442,842,747.73 44,039,415.62 550,864,411.17 54,213,068.58
         equity                                                                        
                                                                                       
 Total liabilities and        442,842,747.73 44,039,415.62 550,864,411.17 54,213,068.58
  shareholder's equity                                                                 

The accompanying notes form an integral part of these financial statements.

Exchange rate:（31 Dec., 2013）RMB/GBP：10.0556; (31 Dec., 2012) RMB/GBP: 10.1611


                       CHINA CDM EXCHANGE CENTRE LIMITED                       

                              CASHFLOW STATEMENTS                              

                          Note   1/1/2013-12/31/2013        1/1/2012-12/31/2012     
                                                                                    
                                   RMB          GBP          RMB            GBP     
                                                                                    
Cashflows from operating                                                            
activities                                                                          
                                                                                    
Cashflows from operating   11  4,172,565.09  413,776.65  (889,912.63)   (89,560.87) 
       operations:                                                                  
                                                                                    
 Net cash generated from                                                            
  operating activities                                                              
                                                                                    
Cashflows from investing                                                          
       activities                                                                   
                                                                                    
    Cash payment for                                                               
       investment                                                                   
                                                                                    
    Other investment                                                               
                                                                                    
    Net cash used in       12   (7,558.00)   (749.50)                              
  investing activities                                                              
                                                                                    
Cashflows from financing                                                           
       activities                                                                   
                                                                                    
Proceeds from issuance of                                                          
     ordinary shares                                                                
                                                                                    
    Net cash used in                                                               
  financing activities                                                              
                                                                                    
    Gains on foreign           (206,853.13) (20,512.80)  (329,441.85)   (33,155.05) 
      transactions                                                                  
                                                                                    
 Net (decrease)/increase       3,958,153.96 392,514.35  (1,219,354.08) (122,715.92) 
in cash and bank balance                                                            
                                                                                    
Cash and bank balance at       2,361,314.01 234,162.10   3,580,668.49   360,358.73  
  the beginning of year                                                             
                                                                                    
Cash and bank balance at       6,319,467.97 626,676.45   2,361,314.01   237,642.81  
     the end of year                                                                

The accompanying notes form an integral part of these financial statements.

Average exchange rate:（2013）RMB/GBP：10.0841; （2012）RMB/GBP：9.9364;


Details of the adjusted earnings per share are set out below:

                                        2013         2012         2011          
                                                                                
Basic EPS (GBP)                         0.0002       -0.001       -0.009        
                                                                                
Earnings attributable to ordinary       21,651.58    (135,002.33) (1,044,997.50)
shareholders (GBP)                                                              
                                                                                
Weighted average number of shares       117,000,000  117,000,000  117,000,000