China Blank Check IPO: China Resources Ltd.

China Resources Ltd. (CRX.U) is a blank check company focusing on natural resources/minerals. Company Chairman, Fuzu Zeng, is founder and co-chair of the leading iridium producer in China, Unionmet, Ltd.

All quotations are from the company’s most recent S-1 filing with links provided.

Business Overview (from prospectus):

We are a blank check company known as a Business Combination Company or BCC. We were formed under the laws of the State of Delaware on June 8, 2007 for the purpose of acquiring, through a merger, capital stock exchange, asset acquisition, stock purchase or similar business combination, an unidentified operating business that has its principal operations in the PRC. While our efforts in identifying a prospective target business will not be limited to a particular industry segment, we intend to focus our initial efforts on acquiring an operating business in the natural resources sector, particularly minerals, whose activities include mining, extracting, smelting, processing and/or fabricating. Opportunities for market expansion have emerged for businesses with operations in the PRC due to certain changes in the PRC's political, economic and social policies, as well as certain fundamental changes affecting the PRC and its neighboring countries.

We believe that China represents both a favorable environment for making business combinations and an attractive operating environment for a target business for several reasons, including increased government focus within the PRC on privatizing assets, improving foreign trade and encouraging business and economic activity leading to the PRC having one of the highest gross domestic product growth rates among major industrial countries in the world, as well as strong growth in many sectors of its economy driven by emerging private enterprises.

Offering: 4 million units (1 share of common stock and 1 warrant) at $10 per unit. Net proceeds of approximately $37.6 million to be deposited in a trust account at Merrill Lynch, Pierce, Fenner & Smith, Inc.

Lead Underwriter: Maxim Group LLC

Financial Highlights: Company has not had any operations to date. Balance sheet data as of June 30, 2007:

• Total Assets, $121,460
• Total Liabilities, $104,000

Competitors:

In identifying, evaluating and selecting a target business, we may encounter intense competition from other entities having a business objective similar to ours. There are approximately 116 similarly structured blank check companies that have completed initial public offerings in the United States with more than $5.3 billion in trust that are seeking to carry out a business plan similar to our business plan. Of these, eight companies with over $270 million in trust are seeking to effectuate a business combination with a company in the PRC. Furthermore, there are a number of additional offerings for blank check companies that are still in the registration process but have not completed initial public offerings and there are likely to be more blank check companies filing registration statements for initial public offerings after the date of this prospectus and prior to our completion of a business combination.

Additionally, we may be subject to competition from entities other than blank check companies having a business objective similar to ours, including venture capital firms, leverage buyout firms and operating businesses looking to expand their operations through the acquisition of a target business.

Many of these entities are well established and have extensive experience identifying and effecting business combinations directly or through affiliates. Many of the competitors possess greater technical, human and other resources than us and our financial resources will be relatively limited when contrasted with those of many of these competitors. While we believe there may be numerous potential target businesses that we could acquire with the net proceeds of this offering, our ability to compete in acquiring certain sizable target businesses will be limited by our available financial resources. This inherent competitive limitation gives others an advantage in pursuing the business combination with a target business.