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Boyuan Initiates $10.9 Million Residential Building Construction in Hainan Island

Boyuan Construction Group, Inc., (TSX: BOY & BOY.DB) a fast-growing construction company in China of commercial, residential and municipal infrastructure projects, announced today that it has initiated the building of a 60,000 square meter residential project on Hainan Island valued at US$10.9 million.

The project is located in a planned tourism district that will support China's International Tourist Destination Policy for Hainan Island. The new district is located approximately 30 kilometres from Sanya, a city where Boyuan has had operations for four years.

"This latest contract win further validates our decision to select Hainan Island as one of our primary markets," said Mr. Cai Liang Shou, Chairman of Boyuan Construction Group. "Not only are there significant opportunities to build tourism-related projects such as hotels and resorts, we are also capitalizing on the region's growing demand for residential and infrastructure projects that will support the development of Hainan as a major international tourist destination by 2020."

The new project is expected to be completed in the third quarter of calendar 2011.

Launched in 2009, China's International Tourist Destination Policy is aimed at fostering Hainan Island's economic growth and development. As part of the goal to turn Hainan Island into a major international tourism destination, a tax-free shopping plan for foreign travelers was implemented effective January 1, 2011.

Source: http://www.boyuangroup.com/

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