BioEnergy Development Inc.

BioEnergy Development Inc. is a vertically integrated natural gas company focused on developing natural gas distribution networks and distributing natural gas to residential, industrial, and commercial customers in small and medium-sized cities in China. The company holds exclusive rights to develop distribution networks and supply natural gas to consumers in the cities of Dashiqiao, Nandaihe, Zhanhua, and Wuyuan. These networks currently serve approximately 64,000 consumers across these cities. BioEnergy Development Inc. procures natural gas from third-party suppliers. After extraction, water content and impurities are removed. The natural gas is then transported by truck to either the company's natural gas supply stations or gas stations. At supply stations, gas is depressurized and delivered to households via pipelines or directly to customers in pressurized tanks. At gas stations, the gas is sold for use in motor vehicles. The company's primary business activities include the development and construction of local gas distribution networks, the transportation of natural gas from suppliers to its storage facilities in operational locations, and the ongoing operation and maintenance of these gas distribution networks. In 2005, Willsky acquired 99% of SingOcean, an equity joint venture formed in the PRC with registered capital of $4.5 million (RMB31,897,000) and an operational period until January 18, 2054. SingOcean established a branch, Tianjin Sing Ocean Public Utility Development Co., Ltd. - Acheng Division, which was to operate until December 28, 2010. On December 22, 2009, BioEnergy Development Inc.'s wholly-owned subsidiary, SingOcean, sold its Acheng Division to Harbin Hengsheng Real Estate Development Co., Ltd.