CHNS -3x Short China

RNS Number:6989Z
China Shoto plc
14 March 2006


Press Release                                                      14 March 2006


                                China Shoto plc

                        ("China Shoto" or "the Company")


                  #4.1 million contract win for FTD subsidiary


China Shoto plc (AIM:CHNS), a leading Chinese producer of industrial batteries
and power supply systems, today announces that its holding subsidiary, Beijing
Full Three Dimension Power Engineering Co., Ltd. ("FTD"), has won a #4.1 million
contract to assist with a thermoelectric engineering project for Shandong Haihua
Group Company Limited ("Shandong Haihua").  The agreement with Shandong Haihua
includes a contract to supply and install a 150MW turbine for #3.55 million as
well as a technology development contract worth #0.55 million.

Incorporated in 1995, FTD is a leading turbine design and refurbishment
technology service provider based in Beijing, specialising in the reconstruction
of old turbines and the development of new products.  Demand for electricity in
China continues to rise and in the last five years has increased by an average
of over 7 per cent. per annum.  Current domestic-made turbines under 200MW were
originally designed for base load applications and as a result struggle to meet
the ever increasing large-scale peak-load adjustments that occur within China.

To satisfy the requirement of these peak-load adjustments, FTD utilising
patented technology, has independently developed and designed a single cylinder,
single shaft 150 MW turbine, which has the capacity to meet the increasing
energy demands in the domestic marketplace.  Compared with the existing same
capacity turbines, this type of turbine has important qualities, such as higher
thermal efficiency, lower investment and maintenance cost, shorter duration of
construction, and better reliability and safety.  The FTD 150MW turbine is
regarded as the most suitable replacement product for the domestic turbine
industry.  Since April 2005, when FTD's first 150MW turbine was put into
operation in Panzhihua Power Plant, a further four 150MW turbines have been
delivered for power generation projects, and this agreement with Shandong Haihua
is the sixth 150MW turbine manufacturing contract for FTD.

China Shoto, which was listed on the AIM market of the London Stock Exchange in
December 2005, purchased an additional 21% stake in FTD and now holds a
controlling stake in FTD.  The transaction was performed on the China Beijing
Equity Exchange (CBEX) on 23 December 2005 and was reported to the market on 6
January 2006.


                                    - Ends -


For further information:
China Shoto plc                             
Cao Guifa, Executive Chairman                          Tel: +44 (0) 20 7398 7700
                                                              www.chinashoto.com


Seymour Pierce Limited
Stuart Lane / John Depasquale                          Tel: +44 (0) 20 7107 8000
jdp@seymourpierce.com                                      www.seymourpierce.com



Media enquiries:
Abchurch
Henry Harrison-Topham                                  Tel: +44 (0) 20 7398 7700
henry.ht@abchurch-group.com                               www.abchurch-group.com




                      This information is provided by RNS
            The company news service from the London Stock Exchange
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