Project Background: Xunhua County, the only Salar Autonomous County in China, is the hometown of the tenth Panchen Lama. It is the only one of the 22 key ethnic minority counties supported by the state in Qinghai Province, as well as the country's agricultural tourism demonstration spot, tourism poverty-alleviation Demonstration County in Qinghai and scenic garden city. It is located in the Yellow River valley which is in the eastern part of the province, bordering with Linxia City of Gansu Province and Xiahe County to the southeast, with a total area of 2,100 square kilometers The County has an average altitude of 2,300 meters and an average temperature of 10 degrees Celsius, with an average annual rainfall of 268.6 mm and frost-free period of about 220 days. It has convenient transportation facilities, 160 km from Xining City. The "Lin-Ping" highway and "Xun-Tong" highway have crossed its region.

Project Cooperation Content:
1. Build eco-tourism area, leisure and recreation area, leisure square, steps for marking time, main trunk road, animal reservoirs, irrigation stations, scenic spot signs, environmental protection facility and other infrastructure.
2. The total investment in the project is 14 million Yuan, and 11 million Yuan should be collected by attracting foreign investment.
3. The foreign funds attracted are mainly used for infrastructure construction.

Project Construction Conditions:
1. The project is located in the well-known Qingshui Yellow River Bay in Xunhua County, which is one of the good tourist attractions with unique topography.
2. Transportation, telecommunications, electric power facilities are available. Tourism suspension bridge from the Yellow River Bay to the south bank of the Yellow River is expected to start the construction in this year.
3. The foreign investors of the project can enjoy preferential policies in land acquisition, taxation, and some other aspects.

Project Financial Analysis: after the completion of the project, the number of tourists spending vacations in Qingshui Bay will be around 80,000 each year, with an annual business income of 7.5 million Yuan and an annual profit of four million Yuan. The investment payback period is three years.

Project Cooperation Mode: Joint venture, cooperation or shareholding.

Project Operation Condition and Market Predication: It is expected that the number of tourists spending vacations in Qingshui Bay Tourism Villa can be maintained at a minimum of 80,000 in the five-year period from 2006 to 2010. The market prospect is very promising.

Project Progression: The project has been included in the tourism development plan and has submitted the plans. The feasibility study report has been authorized.

Contact Method:
Contact Unit: Investment Attracting Bureau of Xunhua County in Qinghai Province
Contact: Ma Hongmei
Tel: 0972—8816238
Fax: 0972—8814875
Post Code: 811100