Carbon Finance Report

China’s first comprehensive emissions trading exchange was set up in Tianjin Binhai New Area on September 25.

The Exchange was jointly established by CNPC Assets Management Co., an affiliate of China National Petroleum Corp., Tianjin Property Rights Exchange and the Chicago Climate Exchange, each taking 53 percent, 22 percent and 25 percent stake in the exchange. The Chicago Climate Exchange, which has been trading greenhouse gas emission allowances since 2003, is the world’s first emission trading exchange under a voluntary but legal binding scheme.

The Exchange will principally trade sulfur dioxide emission permits and chemical oxygen demand permits at initial stage, said the Chairman Dai Xiansheng.

This is the first emission permit trading exchange in China established as an integrate part of trial reform of Tianjin Binhai New Area. Tianjin Binhai New Area blazes the way to launch energy conservation and environmental protection management system reform, of which one of the key parts is to strengthen control pollutant emission and set up clean development mechanism and emission trading exchange.

To better manage the Exchange and endure its healthy growth, Tianjin municipal government will work out specific administration rules in line with related supervision rules as well as set up a supervision joint meeting system.

The members of Tianjin Emission Trading Exchange can be divided into three types. One is emission members that are bounded to certain energy conservation and emission reduction requirements.

Another group of members are liquidity providers that are free of the alleged requirements and just provide liquidity on Tianjin Emission Trading Exchange.

Another group of members are bidding members, namely institutions or individuals that independently participate in electronic bidding for emission permits.

CNPC, the country’s largest oil producer, Tianjin Economic Development Area, the Industrial and Commercial Bank of China, China Construction Bank, Bohai Bank, Tianjin TEDA Group, the Bureau of Comprehensive Development Ministry of Water Resources, PetroChina International Co., Northern International Trust & Investment Co., Tianjin Sino-Singapore Ecological City Project Investment and Development Co., First Capital Futures Co., Binhai Venture Capital Investment Management Co., Tianjin Property Right Investment Co. and Arreon Carbon have become original members of Tianjin Comprehensive Emission Trading Exchange.

The Exchange will set up some specific commissions later in line with its development as well as self-disciplined member unions.

(USD 1 = CNY 6.81)

FARMINGDALE, N.Y., May 28 /PRNewswire-FirstCall/ — Cemtrex Inc. (OTC:
CTEI) has become an associate member of the Chicago Climate Exchange
(CCX(R)), the world’s first and North America’s only voluntary, legally
binding integrated greenhouse gas emissions reduction, registry and trading
system.

CCX is a financial institution whose objectives are to apply financial
innovation and incentives to advance social, environmental and economic
goals. CCX operates a cap-and-trade system. Members who beat the targets
have surplus allowances to sell or bank, and those who have emissions above
the targets must purchase CCX Carbon Financial Instrument contracts to
achieve compliance. Third-party verification is provided by the Financial
Industry Regulatory Authority (FINRA), which is the leading financial
regulator in the United States.

By joining the CCX, Cemtrex has further strengthened its commitment to
developing turnkey projects that allow its customers to create and monetize
carbon assets and provide consulting services on projects for generation of
Carbon credits from reduction of greenhouse gases, energy efficiency and
alternative fuels. Cemtrex will now be able to assist project owners in
trading carbon credits globally.

Cemtrex is also engaged in manufacturing and selling the most advanced
instruments for emission monitoring of particulate, opacity, mercury,
sulfur dioxide, nitrogen oxides, etc. and filtration products for the
industry. The Company’s products are sold to power plants, refineries,
chemical plants, cement plants and other industries, including federal and
state governmental agencies.

Safe Harbor Statement

This press release contains forward-looking statements. Actual results
could differ materially from those projected in the forward-looking
statements as a result of a number of risks and uncertainties. Statements
made herein are as of the date of this press release and should not be
relied upon as of any subsequent date.