Symbol: NASDAQ OTCBB:PUDC

Address:
Puda Coal, Inc.
426 Xuefu Street
Taiyuan, Shanxi Province
China

Investor Relations:
Justin K. Davis
jd@keatinginvestments.com
Phone: Toll Free (888) 850-PUDC
Phone: (720) 489-5804
Fax: (720) 889-0135

www.puda-coal.com

Top 10 Puda Coal Benefits

• The Chinese economy is booming, and with it new construction. Construction means steel, but there can be no steel without coal - the material at the foundation of the new economy. Demand for quality grade coking coal is tied to the demand for steel.
  

• Puda Coal is a leading supplier of China's highest grade metallurgical coking coal.
  

• Puda Coal has an established and loyal customer base and assured sources of raw material sufficient to meet rapidly growing demand.
  

• Puda Coal is based in Shanxi Province, which accounts for 20% to 25% of China's coal output and 50% of China's coke production.
  

• Puda enjoys a strong competitive advantage as one of Shanxi's lowest average cost producers because of its processing know-how, modern operating efficiencies and location.
  

• Puda's new coal cleaning facility in Shanxi Province increased clean coal output capacity by 1.1 Million metric tons (MT).
  

• Puda Coal's total annual processing capacity is expected to reach 2.7 Million metric tons by early 2006.
  

• Puda will have the largest cleaning capacity for top grade coking coal in Shanxi Province by early 2006.
  

• Puda Coal reported revenue of $18.0 million for the quarter ended September 30, 2005, a 267% increase over Q3 2004, and nearly matching the Company's 2004 total revenue of $19.5 million.
  

• The compounded annual growth rates of Puda's sales and earnings were 42% and 81%, respectively, from 2002 to 2004, and are projected to be 91% and 65%, respectively, from 2004 to 2007.

Corporate Overview

Puda Coal, Inc., through its affiliates and controlled entities, supplies premium grade coking coal to the steel making industry for use in making coke. The Company currently produces 500,000 metric tons of cleaned coking coal annually, and management believes it is one of the largest clean coal processing companies in terms of capacity in Shanxi Province, China. Shanxi Province provides 20-25% of China's coal output and supplies nearly 50% of China's coke. Steel is the backbone of the New China and is a key component of the rail systems, bridges, ports, airports, construction projects and car production spearheading China's economic growth. Puda Coal is perfectly positioned to satisfy the intense demand for the metal both now and as this growth continues. Puda enjoys a strong competitive advantage as one of Shanxi's lowest average cost producers because of its large capacity, processing know-how, facility operating efficiencies, and location in Shanxi's Liulin County - a region whose coal is know as China's "King of Coal." Puda's modern facilities adhere to Shanxi's emissions standards while producing consistent quality clean coking coal meeting steel makers' specifications. Puda Coal has direct access to an abundance of high quality raw coking coal through Jucai Coal, of which the Company's Chief Operating Officer is 75% owner, two related and two non-related party mines, and projects additional capacity to be purchased from a related party with a 10-year, $13 million deferred note. Puda has long-term business relationships with established customers, including coking companies and steel mills with their own coking facilities (e.g., Baotou Steel and Iron Group Co., Ltd., the 17th largest steel maker in China) and has signed supply contracts and indications of interest exceeding planned capacity from some of China's largest steel and chemical makers (e.g., Beijing Capital Steel & Iron, the second largest China steel maker, and Sinochem Corp., a 2005 Fortune Global 500 company). In November 2005, Puda Coal formally signed a supply contract with Changzhi Iron & Steel Company, Ltd., one of the largest state-owned steel manufacturers in Shanxi Province. Puda will provide Changzhi Iron & Steel with more than 40,000 metric tons each month or greater than 480,000 MT each year.

Leadership

Zhao Ming, Chairman and Chief Executive Officer

Mr. Zhao Ming is a co-founder and has been the CEO and Chairman of Puda since 1995. In addition, Mr. Zhao serves as an executive officer of Puda Resources Group Co., Ltd., a related company with common owners. He served as Vice President of Administration at the Fire Department of Taiyuan City from 1994 to 1997. Mr. Zhao graduated from Nanjing Armed Police Forces Command College of China in 1994 with a bachelor's degree in management.

Zhao Yao, Chief Operating Officer

Mr. Zhao Yao is a co-founder of Puda and is the brother of Mr. Zhao Ming. He was named Chief Operating Officer in 1999. He also serves as an executive officer and is the 75% owner of Jucai Coal. Mr. Zhao graduated from the University of Shanxi in Taiyuan City, Shanxi Province in 1982 with a bachelor's degree in coal study. He received his master's degree in coal study from Tsinghua University in Beijing in 1985. He received the Distinguished Entrepreneur award from the Shanxi provincial government in 2002.

Jin Xia, Chief Financial Officer

Ms. Jin Xia joined Puda in 2003 as Chief Financial Officer. Prior to that, she was a financial accountant at a local government agency in Xinhualing of Taiyuan City, Shanxi Province. She also served as an accountant at Xinhua Machinery Factory. Ms. Jin graduated from Shanxi Finance and Economics College in China in 1986.

This corporate profile is based upon information provided by management of Puda Coal, Inc. The information is not intended to be, and shall not constitute, an offer to sell or solicitation of any offer to buy any security. In is intended for information only, and to increase awareness of Puda Coal's services. Safe Harbor Statement: This corporate profile contains "forward looking statements." These statements relate to future events or our future financial performance and transactions, and involve known and unknown risks, uncertainties and other factors that may cause our actual results, levels of activity, performance or achievements, to be materially different from those contemplated by the forward looking statements. There can be no assurance that the acquisition described herein will successfully close. We undertake no ongoing obligation, other than that imposed by law, to update these statements. Factors that could affect our results, levels of activity, performance or achievements and cause them to materially differ from those contained in the forward looking statements include the failure of Puda Coal to complete its financing, and other factors that can be found in our filings with the Securities and Exchange Commission, including our annual reports on Form 10-K, current reports on Form 8-K and quarterly reports on Form 10-Q, as amended.