Corporate Presentation Corporate Presentation

New China Ventures Ltd.New China Ventures Ltd. OTCPK: NCVLOTCPK: NCVL

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Important DisclosuresImportant Disclosures

Safe Harbor StatementSafe Harbor Statement

The statement contains forward-looking statements. These The statement contains forward-looking statements. These statements are based on assumptions that management believes statements are based on assumptions that management believes are reasonable based on currently available information, and are reasonable based on currently available information, and include statements regarding the intent, belief or current include statements regarding the intent, belief or current expectations of the Company and its management. Prospective expectations of the Company and its management. Prospective investors are cautioned that any such forward-looking statements investors are cautioned that any such forward-looking statements are not guarantees of future performances, and are subject to a are not guarantees of future performances, and are subject to a wide range of business risks, external factors and uncertainties. wide range of business risks, external factors and uncertainties. Actual results may differ materially from those indicated by such Actual results may differ materially from those indicated by such forward-looking statements. The Company assumes no obligation forward-looking statements. The Company assumes no obligation to update the information contained in this press release, whether to update the information contained in this press release, whether as a result of new information, future events, or otherwise. as a result of new information, future events, or otherwise.

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Company OverviewCompany Overview

Acquire and Operate Clean and Wastewater Treatment Systems in China:Acquire and Operate Clean and Wastewater Treatment Systems in China: 30-50 year Monopoly Concessions30-50 year Monopoly Concessions Offer wide range of ancillary products and servicesOffer wide range of ancillary products and services

China Beijing (CGW) Water Technology Centre-100% Subsidiary Company.China Beijing (CGW) Water Technology Centre-100% Subsidiary Company.

Full range of value-added Consultancy Services for China’s Water IndustryFull range of value-added Consultancy Services for China’s Water Industry• System DesignSystem Design• Project Engineering Project Engineering • Management Consulting Management Consulting • Equipment ProcurementEquipment Procurement• Pipeline Inspection/MaintenancePipeline Inspection/Maintenance

Serve as Foundation to Acquire Municipal Water SystemsServe as Foundation to Acquire Municipal Water Systems

Highly Experienced and Knowledgeable Management in China Water Highly Experienced and Knowledgeable Management in China Water IndustryIndustry

Comprehensive Acquisition and Development Strategy and CapacityComprehensive Acquisition and Development Strategy and Capacity Fast-growing secondary cities and regionsFast-growing secondary cities and regions

Financial HighlightsFinancial Highlights

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Stock Symbol:Stock Symbol: NCVL NCVLRecent Share Price: Recent Share Price: $0.26 $0.2652-Week Range: 52-Week Range: $0.25-$0.60 $0.25-$0.60Market Capitalization:Market Capitalization: $8,424,000 $8,424,000

Capitalization:Capitalization:Primary Shares Outstanding:Primary Shares Outstanding: 32.4 MM shares 32.4 MM sharesFully Diluted:Fully Diluted: 32.4 MM shares 32.4 MM sharesShares in Float: Shares in Float: 12 MM shares 12 MM sharesManagement Ownership:Management Ownership: 46.8% 46.8%

As of 10/01/2008As of 10/01/2008

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China Water CrisisChina Water Crisis

Serious Water Shortages and Wastewater Serious Water Shortages and Wastewater ProblemsProblems Over 50% of China’s Water is unfit to drinkOver 50% of China’s Water is unfit to drink 48 million people lack sufficient drinking water. 48 million people lack sufficient drinking water. Has only 7% of Global Water ResourcesHas only 7% of Global Water Resources

Uneven Distribution of WaterUneven Distribution of Water

Fast Growing Urbanization and Industrialization Fast Growing Urbanization and Industrialization

Pollution, Low Sewage Treatment Decreases Pollution, Low Sewage Treatment Decreases Water QualityWater Quality

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China Water Crisis (cont.)China Water Crisis (cont.)

Serious Water Pollution in ChinaSerious Water Pollution in China

China Water Crisis (cont.)China Water Crisis (cont.)

Macquarie Research Equities-Macquarie Research Equities- February 27, 2008February 27, 2008

““Water is one of the key issues facing China in Water is one of the key issues facing China in the next 20 years as the sustainability of a the next 20 years as the sustainability of a secure water supply system is vital to the well-secure water supply system is vital to the well-being of its 1.3 billion people. Deregulation is being of its 1.3 billion people. Deregulation is providing enormous investment opportunities.”providing enormous investment opportunities.”

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China Water Crisis (cont.)China Water Crisis (cont.)

Water Quality of Rivers in China

Market OpportunitiesMarket Opportunities

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Urbanization + Industrialization = Accelerating Future DemandUrbanization + Industrialization = Accelerating Future Demand

Industrial Product Value affected by Water Shortages: $200+ BillionIndustrial Product Value affected by Water Shortages: $200+ Billion

China’s Water Resources per capita is 1/4 of global averageChina’s Water Resources per capita is 1/4 of global average

30+ million People in rural area have no access to Drinking Water30+ million People in rural area have no access to Drinking Water

1.3 Billion Chinese People need Clean Drinking Water1.3 Billion Chinese People need Clean Drinking Water

Cities with Populations 250,000+ are required to build Water-Cities with Populations 250,000+ are required to build Water-Treatment Plants.Treatment Plants.

In 2002, the Chinese Government Privatized Water Supply and In 2002, the Chinese Government Privatized Water Supply and Sewage Facilities to improve Operating Efficiencies and to raise Sewage Facilities to improve Operating Efficiencies and to raise Capital for ExpansionCapital for Expansion

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Private Participation in Infrastructure in China-Water Private Participation in Infrastructure in China-Water and Sewage Projectsand Sewage Projects

Data Source: World Bank

Total Investment in Water and Sewage Projects in China

(US$ million)

0200400600800

1000

1111

The Potential Growth in China Water InfrastructureThe Potential Growth in China Water Infrastructure

Market Opportunities (cont.)Market Opportunities (cont.)

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Sewage treatment facilities are Desperately Needed.Sewage treatment facilities are Desperately Needed.

Proposed Treatment Rates > than 60% by 2010, according to Proposed Treatment Rates > than 60% by 2010, according to

China’s 11th Five Year Plan.China’s 11th Five Year Plan.

Sewage Treatment Rate in Different Regions of ChinaSewage Treatment Rate in Different Regions of China

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Market TrendsMarket Trends

Major Foreign Companies are Investing in the China Major Foreign Companies are Investing in the China Water Market.Water Market. Substantial Premiums are being Paid for the Acquisitions.Substantial Premiums are being Paid for the Acquisitions.

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Veolia Water Invest in China Veolia Water Invest in China

Veolia Water Signs its 21st Contract in ChinaVeolia Water Signs its 21st Contract in China A 30 year concessionA 30 year concession with the Lanzhou Water Supply Co.with the Lanzhou Water Supply Co. Estimated Investment of 1.6 billion Euros. Estimated Investment of 1.6 billion Euros.

Veolia Operates in:Veolia Operates in: 19 of 34 Provinces19 of 34 Provinces Different Municipalities, Autonomous Areas and Special Different Municipalities, Autonomous Areas and Special

Administrative RegionsAdministrative Regions Serving the water needs of over 21 Million Inhabitants in China.Serving the water needs of over 21 Million Inhabitants in China.

Source: Veolia Water, January 22, 2007

NCVL’s ApproachNCVL’s Approach

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Two Profitable Operating Divisions:Two Profitable Operating Divisions:

Water Equity DivisionWater Equity Division Participate in various Build-Own-Operate arrangementsParticipate in various Build-Own-Operate arrangements

• Usually retain a 30 year water tariff concession rightUsually retain a 30 year water tariff concession right Develop High-Margin Non-Tariff Products and Services Develop High-Margin Non-Tariff Products and Services Construct Water Infrastructure Projects Construct Water Infrastructure Projects Invest at a small premium to Asset Values-10% to 15%Invest at a small premium to Asset Values-10% to 15%

Water Consultancy DivisionWater Consultancy Division Beijing CGW Water Technology Centre (CGW)Beijing CGW Water Technology Centre (CGW)

• Provides steady stream of revenueProvides steady stream of revenue• Offer high-margin value-added water consultancy servicesOffer high-margin value-added water consultancy services• Expertly measures operating metrics of municipal water systems.Expertly measures operating metrics of municipal water systems.• Owns Proprietary Database of target Potential AcquisitionsOwns Proprietary Database of target Potential Acquisitions• Identify New Opportunities in Major Chinese Water ProjectsIdentify New Opportunities in Major Chinese Water Projects

Water Equity DivisionWater Equity Division

Signed MOI to acquire a 20% in Xinyu City Water Supply LtdSigned MOI to acquire a 20% in Xinyu City Water Supply Ltd Center ofCenter of rapidly growing Xinyu County industrial area, Jiangxi rapidly growing Xinyu County industrial area, Jiangxi

Province. Xinyu City has a population of 1,100,000Province. Xinyu City has a population of 1,100,000 Water Production capacityWater Production capacity : 79 Million : 79 Million tons/year tons/year

Increase to 133 Million tons/year (68%) upon completion of Increase to 133 Million tons/year (68%) upon completion of current expansion workcurrent expansion work

Business includesBusiness includes Tap water production & supplyTap water production & supply Sale of water equipment Sale of water equipment Water supply engineeringWater supply engineering Water supply pipelinesWater supply pipelines Facilities installationFacilities installation

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Privatized in 2006.Privatized in 2006. 2008 Revenues of $55 Mil. USD an increase of 360%2008 Revenues of $55 Mil. USD an increase of 360% 2008 Profits of $21 Mil. USD, an increase of 185%2008 Profits of $21 Mil. USD, an increase of 185% Water price increases of 17% per yr. over last 5 years.Water price increases of 17% per yr. over last 5 years. Acquisition Cost based on P/E of 6 (ROI: 16 2/3% per Acquisition Cost based on P/E of 6 (ROI: 16 2/3% per

year).year).

Xinyu City WaterworksXinyu City Waterworks

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Xingyu CityXingyu CityWater Quality Improvements Water Quality Improvements

Xinyu City water quality is ranked as Class 1 in the Xinyu City water quality is ranked as Class 1 in the Country.Country.

Low cost of water purification, Greater profitabilityLow cost of water purification, Greater profitability Treatment of wastewater reduces pollution.Treatment of wastewater reduces pollution. Sufficient water sources to meet city expansion plansSufficient water sources to meet city expansion plans 30 year monopoly operations with renewal or buyout30 year monopoly operations with renewal or buyout

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Xinyu City Waterworks Ltd.Xinyu City Waterworks Ltd. Xinyu City population to double in next 5 to 7 years.Xinyu City population to double in next 5 to 7 years. Water infrastructure projects can earn 35% to 45% profits Water infrastructure projects can earn 35% to 45% profits

margins, (Est. 60% to 70% of revenues)margins, (Est. 60% to 70% of revenues) New government policy of 1 water meter per household.New government policy of 1 water meter per household. Water meter installations earns 70% profit margins.Water meter installations earns 70% profit margins. Commercial water rates higher than residential rates by a factor Commercial water rates higher than residential rates by a factor

of 3 to 10 timesof 3 to 10 times

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Xingyu CityXingyu CityWater Offices and OperationsWater Offices and Operations

Strategic water offices located throughout Xinyu CityStrategic water offices located throughout Xinyu City Water tariffs & other gov’t fees collected at water officesWater tariffs & other gov’t fees collected at water offices Potential for prepaid debit cards with new water metersPotential for prepaid debit cards with new water meters Substantial real estate development potentialSubstantial real estate development potential Revenues collection of 99.37%Revenues collection of 99.37% Water permit required prior to any property developmentWater permit required prior to any property development

Xinyu City Waterworks Ltd. Highlight Summary

New China is acquiring a 20% interest in a 30 year monopoly operating concession.

Xinyu City, is a rapidly growing city due to the urbanization as people are seeking new jobs created in the mid-tier cities in China.

2008 revenues of $55 Million USD; an increase of 360% over 2007 revenues of $12 Million USD.

2008 net profits of $20.8 Million USD; an increase of 185% over 2007 profits of $7.3 Million USD.

In 2009, water production capacity is expected to increase to 133 million tons/yr. from 79 million tons/yr.

Xinyu City is expected to double its population size in the next 5 to 7 years thereby significantly increasing the demand for water usage.

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Xinyu City Waterworks Ltd.Highlight Summary

Over the last 5 years, water tariff prices have increased an average of 17% per year in China.

A network of water offices in Xinyu City where revenues are collected directly from both residential and commercial users.

Profits are earned on expanding the existing water distribution network owned by the joint venture.

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Company‘s Growth StrategiesCompany‘s Growth Strategies Build portfolio of water facility assets through series of Acquisitions, Mergers Build portfolio of water facility assets through series of Acquisitions, Mergers

and/or Joint Ventures.and/or Joint Ventures.

Leverage Assets to Increase Return on Investments. Leverage Assets to Increase Return on Investments.

Bring in highly Experienced Management and Operations Staff to implement Bring in highly Experienced Management and Operations Staff to implement aggressive growth strategies and maximize efficiency.aggressive growth strategies and maximize efficiency.

Acquisitions within similar or nearby regions can lead to Synergies in the Acquisitions within similar or nearby regions can lead to Synergies in the following areas: following areas:

Maintenance and management costsMaintenance and management costs Lower operating costs and capital expendituresLower operating costs and capital expenditures Increase ability to negotiate tariffs increases with local governmentsIncrease ability to negotiate tariffs increases with local governments

Leverage CGW’s technical expertise and wealth of experience to win larger Leverage CGW’s technical expertise and wealth of experience to win larger contractscontracts

Deliver High Value-added, Efficient and Profitable Water SolutionsDeliver High Value-added, Efficient and Profitable Water Solutions

Increase Revenues and Operating Margins by offering array of High-Margin Increase Revenues and Operating Margins by offering array of High-Margin Products and Services- water meter installation, tariff collection systemsProducts and Services- water meter installation, tariff collection systems 23

Strategic ObjectivesStrategic Objectives

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Management & Board of Management & Board of DirectorsDirectors

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Mr. Yuan Shu Pu – President / Board MemberMr. Yuan Shu Pu – President / Board Member 20+ years management experience in water-related business20+ years management experience in water-related business Director of the Construction Material Laboratory of the Civil Engineering Director of the Construction Material Laboratory of the Civil Engineering

DepartmentDepartment Served as a Supervision Engineer in Zhejiang Province Hydraulic and Served as a Supervision Engineer in Zhejiang Province Hydraulic and

Hydropower Engineering construction Supervision Company since 2000Hydropower Engineering construction Supervision Company since 2000

Mr. Yao Zhen Xian – CFO / Board Member Mr. Yao Zhen Xian – CFO / Board Member 30+ years experience in Water Conservation and Irrigation technology in China30+ years experience in Water Conservation and Irrigation technology in China Former Commander-in-Chief, Three Gorges Reservoir Basin Drip Irrigation Former Commander-in-Chief, Three Gorges Reservoir Basin Drip Irrigation

Construction Construction Former Assistant Chief Engineer, China Irrigation & Drainage Technology Former Assistant Chief Engineer, China Irrigation & Drainage Technology

Development Development

Ms. Liu Gui Mei – Independent DirectorMs. Liu Gui Mei – Independent Director 25+ years experience in water-related businesses25+ years experience in water-related businesses The Dean of Water Conservancy Faculty of North China University of Water The Dean of Water Conservancy Faculty of North China University of Water

Conservancy and Electric Power Conservancy and Electric Power

Mr. Tang Chin-Wan – ConsultantMr. Tang Chin-Wan – Consultant 10 years experience in Water and Environmental Related Businesses10 years experience in Water and Environmental Related Businesses USA Ph D. / M.Sc. in Industrial and Systems EngineeringUSA Ph D. / M.Sc. in Industrial and Systems Engineering B.Sc. in Mechanical EngineeringB.Sc. in Mechanical Engineering

Investment HighlightsInvestment Highlights

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Water Shortages and Clean Water are Key Constraints to Economic Water Shortages and Clean Water are Key Constraints to Economic and Social Development in China.and Social Development in China.

China must depend on Professional Consultancy Companies to China must depend on Professional Consultancy Companies to provide technical expertise to help solve Critical Water and provide technical expertise to help solve Critical Water and Environmental ProblemsEnvironmental Problems

NCVL’s strategy is to be a Leading Water Company as the Chinese NCVL’s strategy is to be a Leading Water Company as the Chinese Government drives to sell and modernize water assetsGovernment drives to sell and modernize water assets

Aggressively pursue portfolio of water assets and ancillary products / Aggressively pursue portfolio of water assets and ancillary products / services by M&A and/or joint venturesservices by M&A and/or joint ventures

Highly visible revenue and income streams via 30-50 year monopoly Highly visible revenue and income streams via 30-50 year monopoly water concessions and offering value-added products and serviceswater concessions and offering value-added products and services

Return on Investment projected at 30%-40% annually from Water Return on Investment projected at 30%-40% annually from Water Tariffs and Higher-Margin Complementary Products and ServicesTariffs and Higher-Margin Complementary Products and Services

Revenues expected to exceed $75 million by 2010Revenues expected to exceed $75 million by 2010

Five Potential Targeted Acquisitions in ChinaFive Potential Targeted Acquisitions in China

NCVL- Significant OpportunitiesNCVL- Significant Opportunities

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Proven Business ModelProven Business Model 30-50 year Monopoly Water Concessions. 30-50 year Monopoly Water Concessions. Selectively acquire Ownership in Water Systems, partnering with local Selectively acquire Ownership in Water Systems, partnering with local

governments.governments. Target Secondary Chinese Cities and Regions.Target Secondary Chinese Cities and Regions. Increase in Water Tariffs + higher-margin consulting, complementary Increase in Water Tariffs + higher-margin consulting, complementary

products and services, will drive revenues and margins.products and services, will drive revenues and margins. Effective water management and solutions will allow China to address Effective water management and solutions will allow China to address

its substantial water crisis.its substantial water crisis.

Large, Under-Served MarketLarge, Under-Served Market China’s per capita water resources is only 1/4 of global averageChina’s per capita water resources is only 1/4 of global average 400+ of 668 cities face tremendous water shortages400+ of 668 cities face tremendous water shortages Pollution and low sewage treatment has dramatically decrease water Pollution and low sewage treatment has dramatically decrease water

quality quality

Proven Management TeamProven Management Team Former officials in the Chinese Ministry of Water with vast experience in Former officials in the Chinese Ministry of Water with vast experience in

water projectswater projects Chinese and international expertise in water management and Chinese and international expertise in water management and

government relationsgovernment relations

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Thank You! Thank You! For Further Information:For Further Information:

http://www.china-waterworks.comhttp://www.china-waterworks.com