09:44     SHOUGANG INT'L<00697> - Announcement (5)                            

    "BSFPCL"   Beijing Shougang Firstlevel Power Co., Ltd., an                
    indirect 51% owned subsidiary of the Company and is a Sino-               
    foreign equity joint venture owned as to 51% by SCPPHL and 49%            
    by Shougang Corporation                                                   
                                                                              
    "Company"   Shougang Concord International Enterprises Company            
    Limited, a company incorporated in Hong Kong with limited                 
    liability, the shares of which are listed on the main board of            
    the Stock Exchange                                                        
                                                                              
    "connected person(s)"   has the same meaning as given to it               
    under the Listing Rules                                                   
                                                                              
    "Continuing Connected Transactions"   the transactions                    
    contemplated under the Master Agreement                                   
                                                                              
    "Director(s)"   the director(s) of the Company                            
                                                                              
    "Extraordinary General Meeting"   the extraordinary general               
    meeting of the Company to be convened for the Independent                 
    Shareholders to consider and, if thought fit, approve the                 
    Master Agreement, the respective caps in relation to the                  
    Continuing Connected Transactions or any adjournment thereof              
                                                                              
    "Group"   the Company and its subsidiaries                                
                                                                              
    "HK$"   Hong Kong dollar, the lawful currency of Hong Kong                
                                                                              
    "Hong Kong"   the Hong Kong Special Administrative Region of              
    the PRC                                                                   
                                                                              
    "Independent Shareholders"   the shareholders of the Company              
    other than Shougang Holding and its associates                            
                                                                              
    "Listing Rules"   the Rules Governing the Listing of                      
    Securities on the Stock Exchange                                          
                                                                              
    "PRC"   the People's Republic of China                                    
                                                                              
    "RMB"   Renminbi, the lawful currency of the PRC                          
                                                                              
    "SCPPHL"   Shougang Concord Power Plant Holdings Limited, a               
    limited liability company incorporated in the British Virgin              
    Islands and an indirect wholly-owned subsidiary of the Company            
                                                                              
    "Master Agreement"   the master agreement entered into between            
    BSFPCL and Shougang Corporation on 21 January 2005                        
                                                                              
    "Shougang Corporation"   Shougang Corporation, a state-owned              
    enterprise in the PRC and the holding company of Shougang                 
    Holding                                                                   
                                                                              
    "Shougang Holding"   Shougang Holding (Hong Kong) Limited, a              
    company incorporated in Hong Kong with limited liability and a            
    wholly-owned subsidiary of Shougang Corporation and a                     
    substantial shareholder of the Company                                    
                                                                              
    "Stock Exchange"   The Stock Exchange of Hong Kong Limited                
                                                                              
    "substantial shareholder"   has the same meaning ascribed to              
    it under the Listing Rules                                                
                                                                              
    "%"   per cent.                                                           
                                                                              
    By order of the Board                                                     
    Shougang Concord International                                            
    Enterprises Company Limited                                               
    Cao Zhong                                                                 
    Managing Director                                                         
                                                                              
    24 January 2005