Dallas TX 11/24/2009 3:20:02 AM
News / Business

ECOB, DRLY, OPSY, BMGP, WWPW, SEED, SSTP, MNDP, HMIT, IBAS, SDRG OTCPicks.com Daily Market Movers Digest Midday Report for Monday, November 23rd

Visit http://www.otcpicks.com/microcap.htm to register for our Daily Market Mover’s Digest Newsletter and Email Stock Watch Alerts.

Our Stocks to Watch today include EcoBlu Products Inc. (OTCBB: ECOB), Doral Energy Corp. (OTCBB: DRLY), Optical Systems Inc. (OTC: OPSY), Biomagnetics Diagnostics Corp. (OTC: BMGP), Wind Works Power Corp. (OTCBB: WWPW), Origin Agritech Ltd. (Nasdaq: SEED), Sustainable Power Corp. (OTC: SSTP), Mundus Group Inc. (OTC: MNDP), Hidalgo Mining International Inc. (OTC: HMIT), iBasis Inc. (Nasdaq: IBAS) and Silver Dragon Resources Inc. (OTCBB: SDRG).

 

Visit http://www.otcpicks.com/microcap.htm to register for our Daily Market Mover’s Digest Newsletter and Email Stock Watch Alerts.

 

ECOBLU PRODUCTS INCORPORATED (OTCBB: ECOB)

"Up 2.27% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/ECOB.php 

 

Company Profile: http://www.otcpicks.com/ecoblu-products.htm

 

Biomagnetics Diagnostics Corporation is an advanced medical device and biotechnology company. The Company's revolutionary diagnostic systems, which are based on advanced magnetics, test for any viral or bacterial disease using any body fluid. The Company's technology allows laboratories to perform far more tests in the same amount of time it takes to do a single test. The HTS-MTP platform is designed to detect the actual virus and viral load in body fluids and not just simply screen for the presence of viral antibodies.

 

ECOB News:

 

November 23 - EcoBlu Adds Insulation to Its Product Line

 

New Product Includes Mold and Fire Protection

 

EcoBlu Products, Inc. (OTCBB: ECOB) announced that it has added Cool Blu Insulation, a cellulose based insulation for new construction and retrofits, to its product line. Cool Blu Insulation will contain EcoBlu's mold protection as well as its exclusive FRC™ technology (Fire Retardant Coating) to provide Class A fire protection.

 

Cool Blu Insulation is a natural product made from 85% recycled paper fiber, is safe for the environment, contains no harmful chemicals or irritants, and does not pose off gassing or Volatile Organic Compound (VOC) concerns. When installed, it provides home builders superior thermal performance, sound control and permanent fire resistance. Recent research shows the United States insulation market is $8.5 billion and is expected to grow 5.3% annually through 2012. This is potential positive revenue growth for EcoBlu and is an excellent complement to its wood products.

 

"This addition to our product line gets us closer to offering a complete package of eco-friendly building materials. Our goal is to provide products that save energy, improve indoor air quality, improve the sustainability of our forests and save lives," said Steve Conboy, President and CEO of EcoBlu Products. "Using Cool Blu Insulation along with our BLUWOOD™ coated wood products will allow builders and developers to build safer and more energy efficient homes," added Conboy.

 

Cool Blu Insulation is proven to reduce energy consumption by slowing air infiltration better than other insulation materials due to its density, and outperforms fiberglass insulation products with 57% better fire resistance.

 

The Company will also be demonstrating their exclusive FRC technology (Fire Retardant Coating) on wood structures and new Cool Blu Insulation today at the grand opening of its EcoGreen Exchange, a showplace for green building products and new corporate headquarters for EcoBlu Products. The grand opening will feature TV personality Lisa Ling and her husband Dr. Paul Song who are building an energy neutral home using EcoBlu products and are active in the environmental community.

 

DORAL ENERGY CORPORATION (OTCBB: DRLY)

"Up 5.71% in morning trading"

 

Detailed Quote: www.otcpicks.com/quotes/DRLY.php 

 

Company Profile: http://www.otcpicks.com/doral-energy-corp.htm

 

Doral Energy Corp. is an oil and gas exploitation and production company headquartered in Midland, Texas. Doral Energy Corp.'s strategy is to grow a portfolio of under-developed production and exploitation assets with the potential for generating near-term increases in existing production through operational improvements, and longer-term development of proved undeveloped reserves by infill drilling. Doral focuses on identifying acquisitions that generate immediate cash flow from production, but which also have strong proved developed non-producing and proved undeveloped reserves that can be tapped for significant growth. The prolific Permian Basin of Texas and New Mexico is the geographic region of focus for the Company's future acquisition activity. Doral's first producing assets, the Hanson Properties in Eddy County, New Mexico, located in the northwestern Permian Basin of New Mexico.

 

DRLY News:

 

November 23 - Cohen Independent Research Group Issues Long Term Price Index Target Price of $1.21 on Doral Energy Corp.

 

Doral Energy Corp. (OTCBB: DRLY) ("Doral" or "the Company"), announced that Cohen Independent Research Group, Inc., Wall Street's leading independent fundamental research firm, has issued a research report on Doral Energy Corp. with a long-term target price of index of $1.21.

 

For the full report please visit Cohen Independent Research Group's website, www.cohenresearch.com.

 

OPTICAL SYSTEMS INCORPORATED (OTC: OPSY)

 

Detailed Quote: http://www.otcpicks.com/quotes/OPSY.php 

 

Company Profile: http://www.otcpicks.com/optical-systems/optical-systems.htm

 

Optical Systems, Inc., through its operating subsidiary, Automotive Software Designers, Inc., develops technology and services for the automotive retail industry designed to maximize productivity and increase profits at auto dealerships. ASDI's flagship technology solution, Save-a-Deal, is a turnkey customer relationship management (CRM) tool for auto dealerships. Our business development center (BDC) provides a variety of services designed to help auto dealerships drive traffic to their showroom or Web site, retain customers and generate new streams of revenue.

 

OPSY News:

 

November 23 - New Auditing Feature in Save-a-Deal 2010 Designed to Protect Dealerships From Fraud and Theft

 

Automotive Software Designers, Inc., a leading provider of software and services for the automotive retail industry and a wholly owned subsidiary of Optical Systems, Inc. (OTC: OPSY) announced the addition of an all-new fraud and theft audit (FTA) report to the latest version of the Company's flagship, customer relationship management (CRM) software for auto dealerships, Save-a-Deal 2010.

 

"The new FTA report in Save-a-Deal 2010 protects dealerships from fraud, theft, abuse, and waste," said B.J. Grisaffi, Chairman and Chief Executive Officer of Optical Systems, Inc. "Our advanced data mining and security features create an impermeable, detailed audit of inventory and customers that lets dealerships know where fraud occurs, and prevent against any future occurrences."

 

Save-a-Deal is a comprehensive, fully-integrated front office software solution specifically designed to increase auto dealerships' profitability. When properly used, this scalable CRM system is guaranteed to increase unit sales and profit-per-vehicle, while lowering costs through enhanced efficiency. Save-a-Deal 2010 is a more streamlined, cost-effective CRM solution than its predecessor with added capabilities in remote personnel management, customer service, training, and security.

 

New features in Save-a-Deal 2010 include:

 

* Real-time access speeds with normal content loads of more than 200,000 database records from three different states with multiple, concurrent users.

* Added scalability from modular software architecture.

* Significant cost savings on installation and maintenance.

* Three levels of security to ensure protection of dealerships' sensitive data and information.

* More customization for electronic records management.

 

"Finance managers can't afford to have discrepancies in their reporting," said Grisaffi. "The FTA report is designed to provide finance managers with air-tight audits and unparalleled security."

 

BIOMAGNETICS DIAGNOSTICS CORPORATION (OTC: BMGP)

"Up 10.37% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/BMGP.php 

 

Company Profile: http://www.otcpicks.com/biomagnetics-diagnostics/biomagnetics-diagnostics.htm

 

Biomagnetics Diagnostics Corporation is an advanced medical device and biotechnology company. The Company's revolutionary diagnostic systems, which are based on advanced magnetics, test for any viral or bacterial disease using any body fluid. The Company's technology allows laboratories to perform far more tests in the same amount of time it takes to do a single test. The HTS-MTP platform is designed to detect the actual virus and viral load in body fluids and not just simply screen for the presence of viral antibodies.

 

BMGP News:

 

November 4 - Biomagnetics Applies for Gates Foundation Grand Challenge Grant

 

Biomagnetics Diagnostics Corp. (OTC: BMGP), a developer of revolutionary diagnostic systems and technology for HIV, hepatitis, tuberculosis, and malaria detection, announced it has submitted an application to the Bill & Melinda Gates Foundation for a grant to further develop the Integrate Optical Biosensor Sensor (IOBS) technology it is plans to bring to market. The topic for the Grand Challenge Grant is Low Cost Diagnostics for Global Priory Health Conditions, which includes both malaria and tuberculosis.

“The availability of low cost diagnostics for malaria and tuberculosis are major concerns for not only health care professions, but also for the Gates Foundation. The technology we plan to introduce reduces the cost of traditional malaria testing by up to two-thirds,” commented Clayton Hardman, CEO of Biomagnetics Diagnostics. “The IOBS platform produces test results measured in only minutes, whereas traditional methodologies often take many days. Additionally, the handheld IOBS platform can be utilized in the field at point of care by relatively untrained personnel. We believe the IOBS platform holds the promise to revolutionize testing for not only malaria, but also for many other diseases including tuberculosis and HIV/AIDS. We believe the Gates Foundation had a device such as IOBS in mind when it devised the specifications for the Challenge Grant.”

 

According to the World Health Organization, some 3.2 billion people, or about half the world's population is at risk of malaria transmission in 107 countries and territories worldwide. While there are between 350 million and 500 million new cases of malaria each year, there are very few reliable and field deployable diagnostic tools available. In the case of malaria, early detection substantially improves treatability and survivability. Field deployable Integrated Optical Biosensor Systems (IBOS), such those Biomagnetics Diagnostics is planning to soon introduce hold the promise to significantly speed the diagnostic testing process and to meaningfully lower costs and improve lives.

 

WIND WORKS POWER CORPORATION (OTCBB: WWPW)

"Up 5.66% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/WWPW.php 

 

Company Profile: http://www.otcpicks.com/wind-works-power.htm

 

Wind Works' mission is to become a leading developer of wind energy projects in North America and Europe.

 

WWPW News:

 

November 19 - Wind Works Power Corp. Submits Application for Power Contract Under the New Feed-In Tariff Program in Ontario

 

Wind Works Power Corp. (OTCBB: WWPW) (Frankfurt: R5E1) (WKN: AOKE72) announced that it is submitting an application for its 10 megawatt (MW) Clean Breeze wind energy project for a power contract under the new Feed-in Tariff program as part of the Ontario Power Authority initial launch period.

 

"We are excited to be submitting our first application for a power contract under the new Feed-in Tariff program in Ontario. We expect to submit a number of additional applications for other projects in our portfolio over the coming days as we approach the November 30th deadline," commented Dr. Ingo Stuckmann, CEO and director of Wind Works. "The granting of a power contract is a big milestone as it provides economic certainty and significantly increases the value and marketability of a project."

 

The Feed-in Tariff (FIT) contract program is part of the new Green Energy Act in Ontario and offers a power contract with a guaranteed rate of C$135.00/MWh over a 20-year term to qualified wind energy projects. The Ontario Power Authority (OPA) initial launch period deadline for FIT applications is November 30, 2009. This first launch period is designed for projects that were being developed under the Renewable Energy retired Renewable Energy Standard Offer Program (RESOP program) and are therefore further advanced. Criteria of earlier commercial operation dates is one such factor in obtaining priority access to transmission availability. To be awarded a Power Purchase Agreement (PPA) under the FIT rules, the application has to be submitted in accordance with strict regulations which can be accessed in details via the OPA website at www.powerauthority.on.ca/

 

Clean Breeze is 10MW project located in Ontario, Canada in the Northumberland Hills. This project has been under development for over 3 years and is only 5kms from the north shore of Lake Ontario in an area of high elevation that can optimize the wind resources to a maximum. Annual mean wind speeds are measured at over 6.7 meters per second at an 80 m hub height.

 

ABOUT ZERO EMISSION PEOPLE

 

The vision of Zero Emission People is to provide the opportunity for anyone to invest early in the development of renewable wind energy projects. As an example, as little as a $10,000 investment in a wind park blows away a person's carbon footprint. We believe in making sound, environmentally conscious investments that are good for all shareholders, people and our planet.

 

ORIGIN AGRITECH LIMITED (NASDAQ: SEED)

"Up 78.50% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/SEED.php

 

Founded in 1997 and headquartered in Beijing, Origin Agritech Limited is China’s leading, vertically-integrated agricultural technology company specializing in agri-biotech research, development and production to supply the growing populations of China. Origin develops, grows, processes, and markets crop seeds to farmers throughout China and parts of Southeast Asia via a network of approximately 3,800 first-level distributors and 65,000 second-level distributors and retailers. The hybrid seed industry is estimated at US $2.5 billion and that is expected to double within the next five years. The Company currently operates facilities in 30 of 32 provinces in China. Since Origin launched its first entirely internally developed seed in 2003, the Company has developed 26 proprietary corn seed products, 19 proprietary rice seed products, 5 proprietary cotton seed products and 4 proprietary canola seed products that are in commercial production and distribution as of December 2008.

 

SEED News:

 

November 21 - Origin Agritech Announces Final Approval of World's First Genetically Modified Phytase Corn

 

China’s First Transgenic Corn Introduces the Next Generation of Agricultural Products

 

Origin Agritech Limited (Nasdaq: SEED) (“Origin”), a leading technology-focused supplier of crop seeds and agri-biotech research in China, announced it has received the Bio-safety Certificate from the Ministry of Agriculture as a final approval for commercial approval of the world’s first genetically modified phytase corn. Origin’s phytase corn is the first transgenic corn to officially introduce the next generation of corn product approved and sold commercially into the domestic marketplace.

 

Genetically modified seed products in China must undergo five separate stages of approval beginning with a phase one laboratory approval to the final receipt of the Bio-safety Certificate in phase five. Currently, this GM seed approval process is restricted only to domestic seed producers such as Origin Agritech.

 

Phytase is currently used as an additive in animal feed to breakdown phytic acid in corn, which holds 60% of the phosphorus in corn. Phytase increases phosphorus absorption in animals by 60%. Phosphorus is an essential element for the growth and development of all animals, and plays key roles in skeletal structure and in vital metabolic pathways. Phytase, as an additive for animal feed, is mandatory in Europe, Southeast Asia, South Korea, Japan, and other regions for environmental purposes.

 

Phytase transgenic corn, developed by and licensed from Chinese Academy of Agricultural Science (CAAS) after 7 years of study, will allow animal feed producers the ability to eliminate purchasing phytase and corn separately. It will eliminate the need for mixing the two ingredients together, saving time, machinery, and labor for the animal feed producers.

 

Origin’s GMO phytase-producing corn is expected to reduce the need for inorganic phosphate supplements as animals will directly absorb more phosphate from their feed, reducing animal feed’s high cost. Inorganic phosphates may be contaminated with fluorin and heavy metal residues created in the manufacturing process. These fluorin and heavy metal residues in the feedstuff are toxic to animals, and dangerous to humans. Origin plans to release further details of the development of their phytase product line as this develops.

 

Dr. Gengchen Han, Origin’s Chairman said, “With this landmark seed approval, we are not only own the first GM corn seed product in China, but we are actively leading the new genetically modified generation of agricultural products for China, and will continue to do so for the future.”

 

SUSTAINABLE POWER CORPORATION (OTC: SSTP)

"Up 27.00% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/SSTP.php

 

Sustainable Power Corp. is an international green energy total service provider focused on producing environmentally friendly jet fuel, gasoline, diesel and marine fuel meeting all petroleum ASTM standards. The company has developed and manages a portfolio of green, non-food, agricultural feed stock to produce a revolutionary bio-crude which all jet, diesel, and gasoline engines can utilize without any modifications. Visit www.sstp.us for more information.

 

SSTP News:

 

September 3 - Sustainable Power Corp. Shareholder Update

 

Sustainable Power Corp. (OTC: SSTP) presented the following communication from its Chairman, President and Chief Executive Officer, M. Richard Cutler:

 

SHAREHOLDERS AND INVESTORS OF SUSTAINABLE POWER CORP.

 

It has been a few months since our last investor update and over this time the Company has shown promise and made strides toward commercializing its technologies. We continue to seek the financing required to push forward our opportunities despite a difficult economy.

 

Below is a summary of some key developments to-date:

 

Vertroleum™ Biofuels and Electricity

 

The independent review of our green energy process of conversion of biomass into biofuel -- called Vertroleum® that is being conducted by a world-renowned and respected university is near completion. Updates we have received from the university confirm the validity of our technology and its by-products, and are in the process of being finalized. The company eagerly awaits receipt of the final report.

 

Financial Statements and SEC Filings

 

The Company's year-end audited financial statements for 2008, and the first and second quarter financial statements for 2009 are nearing completion. Additionally, we are close to completing our response on comments that were issued by the Securities and Exchange Commission (SEC) on the filed Form 10-SB. The Company anticipates submitting our responses as well as the interim financial statements to the SEC within the next 30 days.

 

Road to Commercialization

 

Since the last shareholder update, the Board of Directors has been seeking out well-respected scientific and technical advisors whose function would be to analyze the University test results upon the company's receipt and disseminate such information to the investment community. The advisor or advisors will aid in the formulation, organization, and compilation of data generated from multiple analyses that have been completed over several years and prepare it in a format that can be presented to shareholders. The function of the advisor or advisors will also be to counsel the Board of Directors and Company management on the best direction to commercialize our green technology. The Company intends to report the status of this advisory program in the near future.

 

MUNDUS GROUP INCORPORATED (OTC: MNDP)

"Up 2.94% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/MNDP.php

 

The Mundus Group, Inc. is an advanced aerospace technology consortium providing patented Vertical Take Off and Landing (VTOL) technology for experimental aircraft and Unmanned Air Vehicles (UAV) since 1990 through its fully owned VTOL division, Roadable Aircraft International (RAI). Mundus is at the cutting edge of jet turbine-ducted fan technology and fuses state of the art design engineering and a prototyping facility with computer assisted auto flight technologies, Remote Controlled (RC) and composite technologies industry segments. From US Navy co-developed UAVs for aerial observation and environmental testing to advanced VTOL aerospace technology for civilian and military uses, Mundus Group, Inc. is developing revolutionary products with global potential for change that offers economic protection and growth opportunities for investors.

 

MNDP News:

 

November 20 - Mundus Group, Inc. Announces Its Subsidiary AirStar International Is Improving Its Prototyping and Production Efficiency by Purchasing a Computer Numerical Code Machine Allowing for Complete In-House Manufacturing

 

AirStar has purchased a CNC machine, which along with Mundus' design and engineering capabilities and use of 3D CAD, will allow in house prototyping/manufacturing of machined aircraft aluminum and steel parts. "The purchase was critical to our expansion and is keeping in step with our ambitious plans to deliver our UAV technology in several key industries," said Keith Michael Field, Chairman for the Mundus Group (OTC: MNDP).

 

The CNC machine purchase gives AirStar the ability to physically explore a part before it is approved for manufacturing. This allows us to create, validate, optimize, and manage designs from the conceptual design phase through the manufacturing process. By being able to produce actual physical prototypes in-house, AirStar can visualize and simulate real-world performance of the design, speeding up the process from concept to manufacturing.

 

The CNC machine enables AirStar's manufacturing technicians to machine parts that come directly from the design and engineering department, bridging the gaps that exist between in-house design and outsourced prototyping/manufacturing. By adding the CNC capabilities, Airstar is decreasing design time on rework or work-in-progress for crucial projects, reducing errors on initial designs through better visualization, and eliminating lengthy design to product changes during tight lead times.

 

AirStar's proprietary CamCopter is famous for its major Hollywood films, commercials and documentaries. We also provide assistance to the remote controlled (RC) operator who wants to take their business to the next level with Aerial Photography, Aerial Surveillance, Environmental Testing and Aerial Search & Rescue that will create business through innovative aerial solutions that will generate revenue streams to their business.

 

ABOUT AIRSTAR INTERNATIONAL INC.

 

AirStar, has been an innovator and world leader in Unmanned Air Vehicles and Remote Controlled Vertical Take off and Landing technology for the past 20 years in the design, engineering, development, production and sales of cutting edge remote controlled (RC) unmanned air vehicles (UAVs) for US military, international government and civilian surveillance services, fire and rescue departments as well as world renowned aerial cinematography for movie and commercial production, aerial photography and laboratory / product data testing.

 

HIDALGO MINING INTERNATIONAL (OTC: HMIT)

"Up 66.67% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/HMIT.php

 

Hidalgo Mining International (OTC: HMIT), an innovative mining company headquartered in Port Washington, NY, strives to increase shareholder value, while implementing aggressive plans to continue targeting near term mining production projects on a global scale. HMIT's management, directors, and advisors hold an abundance of experience and knowledge to implement expansion in this rapidly growing industry.

 

HMIT News:

 

October 29 - Hidalgo Mining International Announces Status of Company Projects

 

Hidalgo Mining International (OTC: HMIT), an innovative mining company headquartered in Port Washington, N.Y., announces status of company projects.

 

The Company has suffered numerous setbacks from the very beginning in their attempts, through a local operator, to get the Guinea Projects into production. Those problems, combined with the inability to secure additional financing, and now coupled with a growing political instability within the country, has forced the Company to discontinue the Fifa and Tinkisso Projects in Guinea altogether.

 

Mark Daniel Klok, President of HMIT, stated, "The political environment in Guinea is incredibly unstable. Recently in the Nation's capital of Conakry, over 150 people were killed when troops fired live ammunition into a pro-democracy rally. Thus, at this time, the Company views the country of Guinea as too volatile and has decided to cease all operations there immediately. As a result, the Company recently executed an unwind agreement and has spun-out the licensing rights to the aforementioned Properties to the local operator in return for the forbearance of shares due said operator.

 

The Company, once again due to a lack of funding, is also unable to continue with any of its planned efforts on the North Bay Joint Venture projects due to capital needs which cannot be met at this time.

 

Finally, these events have caused management to move forward and pursue brokering a deal with the Ghana Project. The Final Agreement is currently in the process of being finalized and it is anticipated that the new deal could result in a dividend being paid to Hidalgo and its shareholders once funding is completed. Currently the Company is unable to meet the additional capital contributions that are required to maintain the Ghana Joint Venture in good standing so the brokering of the asset into a company that can pay the capital requirements is the most viable way to bring value to the Hidalgo and its shareholders. Castle Peak Mining is currently completing the necessary steps to finalize a deal that should result in the financing of the Ghana Projects shortly.

 

As part of this necessary and discussed revamping of the Company, management has been aggressively pursuing new directions, opportunities, and potential Projects for the Company. Management is currently in discussions with an operational Company that could potentially bring a new direction, assets, management and significant changes to Hidalgo and its shareholders.”

 

IBASIS INCORPORATED (NASDAQ: IBAS)

"Up 32.30% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/IBAS.php

 

Founded in 1996, iBasis is a leading wholesale carrier of international long distance telephone calls and a provider of retail prepaid calling services and enhanced services for mobile operators. iBasis customers include KPN, KPN Mobile, E-Plus, BASE, TDC and many other large telecommunications carriers such as Verizon, Vodafone, China Mobile, China Unicom, IDT, Qwest, Skype, Telecom Italia, and Telefonica. The Company carried approximately 24 billion minutes of international voice traffic in 2008, placing the Company among the three largest carriers of international voice traffic in the world.

 

IBAS News:

 

November 23 - KPN to Buy Remaining iBasis Shares for $3 Apiece

 

According to MarketWatch, “KPN, the telecom-service provider based in the Hague, agreed to acquire the 44% of iBasis Inc. (Nasdaq: IBAS) that it doesn't already own for $3 a share cash, or $93.3 million.”

 

For more information on the proposed buy-out, visit http://bit.ly/5yf4uM.

 

SILVER DRAGON RESOURCES INCORPORATED (OTCBB: SDRG)

"Up 18.99% in morning trading"

 

Detailed Quote: http://www.otcpicks.com/quotes/SDRG.php

 

Silver Dragon Resources Inc. is a mining and metal company focused on the exploration, acquisition, development and operation of silver mines in proven silver districts globally. Silver Dragon's objective is to acquire silver mining assets that contain promising exploration targets, have highly leveraged, out-of-the-money silver deposits, and/or are producing properties with significant untapped exploration potential. It is management's objective to grow Silver Dragon into a significant silver producer by developing the Cerro las Minitas and Erbahuo projects in Mexico and China, respectively.

 

SDRG News:

 

November 4 - Silver Dragon Discovers 914.8 g/t Silver, 7.58% Lead, and 9.11% Zinc Over 15.30 Meters at its Award-Winning Dadi Silver Polymetallic Project in Northern China

 

Silver Dragon Resources Inc. (OTCBB: SDRG) announced additional results from the 2009 drilling program at its Dadi silver property in Inner Mongolia, Northern China. Dadi is a silver-lead-zinc polymetallic project owned by Sanhe Sino Top Resources & Technologies, Ltd. ("Sino-Top"), of which Silver Dragon Resources Inc. has a 40% equity interest. Sino-Top was recently awarded the prestigious Prospector/Explorer of the Year Award at China Mining 2009 (see press release of October 22, 2009) for the Dadi project.

 

Highlights of the latest discoveries include the following:

 

* Drill hole ZK0401 was completed to a depth of 446 meters and revealed significant silver, lead, and zinc mineralization.

 

* 15 mineralized intervals were identified within drill hole ZK0401.

 

* Mineralized interval No. 1, which extends 15.3 meters, returned the highest average mineralization, at 914.8 g/t silver, 7.58% lead, and 9.11% zinc.

 

* Mineralized body No. II has steady extensions along both dipping and striking directions, which have been proven by drill hole ZK0401, by the previously reported drill hole ZK0801, and by near-surface tunneling.

 

* Many mineralized intervals were discovered at greater depths, which may form new mineralized zones

 

Drill hole ZK0401 is located at exploration line No. 4, the purpose of which was to detect dipping extensions of mineralized body No. II, which were revealed by near-surface tunneling. Drill hole ZK0401 is positioned 100 meters west of drill hole ZK0801, which also hit dipping extensions of mineralized body No. II (see press release dated September 14, 2009). Drill hole ZK0401 reached a depth 446 meters with 80 degree dipping angle and 220 degree azimuth.

 

Assay results from drill hole ZK0401 (Table 1) identify 15 mineralized intervals of high grade silver, lead, and zinc. Mineralized interval No. 1, which extends from a depth of 225.9 meters to a depth of 241.2 meters, returned the highest overall grades, including 2,835 g/t silver, 34.15% lead, and 27.31% zinc over a 0.8 m sample length. Mineralized interval No. 1 also returned the highest average grades, at 914.8 g/t silver, 7.58% lead, and 9.11% zinc over 15.3 meters.

 

Assay results from drill holes ZK0401 and ZK0801, and from near-surface tunneling, indicate the main mineralized body No. II has steady extensions along both dipping and strike directions. In addition, below the main mineralized body No. II are 14 mineralized intervals, having been revealed by drill hole ZK0401, which may represent new mineralized zones.

 

The ongoing drilling and tunneling projects continue to be implemented at Dadi and the new exploration results will be reported as the data becomes available.

 

Dr. Tiebing Liu, P. Geo., a "qualified person" within the meaning of NI 43-101, reviewed and participated in the preparation of the technical information disclosed in this news release.

 

Table 1 - Assay results of drilling hole ZK0401 can be downloaded from the Company's website at:

 

http://www.silverdragonresources.com/Upload/09-11-03-SDRG-TABLE.pdf

 

ABOUT THE DADI SILVER-LEAD-ZINC POLYMETALLIC PROJECT

 

Dadi is one of the eight exploration properties of Sanhe Sino-Top Resources and Technologies Ltd. ("Sino-Top"), a Chinese company which holds exclusive exploration rights to these properties located in the prolific Erbahuo Silver District in Inner Mongolia, China. The Dadi exploration area, covering 12.48 square kilometers, is located in the Mesozoic volcanic basin in Keshiketeng County, Inner Mongolia, China. Geologically, the Dadi property is located in the south edge of the Daxinganling metallogenic belt and at the joint between the Daxinganling mountain chain (with north-east direction) and the Xilamulunhe structure belt which trends in an east-west direction. These two structural belts are also two major ore-forming belts of China. This entire tectonic setting provides a dynamic geologic environment for the development of mineralizing systems. The major exposed rocks in the Dadi Property are Upper Jurassic Baiyinggaolao Formation dacitic tufaceous lava, dacitic tuff, rhyolitic tuff, and tufaceous sandstone and conglomerate, among which dacitic tufaceous lava and dacitic tuff are the main host rocks of mineralization.

 

Dadi is a silver-lead-zinc polymetallic project owned by Sanhe Sino Top Resources & Technologies, Ltd. ("Sino-Top"), of which, Silver Dragon Resources Inc. has a 40% equity interest. Sino-Top was recently awarded the prestigious Prospector/Explorer of the Year Award at China Mining 2009 (see press release of October 22, 2009) for the Dadi project.

 

ABOUT SINO-TOP

 

Sanhe Sino-Top Resources & Technologies, Ltd. ("Sino-Top") was originally incorporated in 2003 as a Chinese company wholly owned by Huaguan Industrial Corp. ("HIC"), a subsidiary of state-owned entity North China Geological Exploration Bureau. Sino-Top became an American-Chinese joint venture in 2005. Silver Dragon Resources Inc. acquired Sino-Top in 2006, and currently owns 40% of Sino-Top after having sold 50% of its ownership interest to its Chinese partner. The Chinese side, including Gansu Shengda Group (52%) and HIC (8%), collectively owns 60% (see press release of December 16, 2008). Sino-Top holds exclusive exploration rights to eight properties and mining rights to one property (Erbahuo Silver Mine) in northern China (Inner Mongolia), covering a total area of 261.25 km2.

 

In 2008, the Erbahuo Silver Mine was spun off from Sino-Top and put under a separate entity, i.e. Chifeng Silver Dragon Resources & Technologies, Ltd. ("Chifeng Silver"), an American-Chinese joint venture that is currently 70% owned by Silver Dragon and 30% owned by HIC.

 

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