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CHINA SILVER GROUP LIMITED

(incorporated in the Cayman Islands with limited liability)

(Stock code: 815) COMPLETION OF ISSUE OF NEW SHARES UNDER GENERAL MANDATE

Reference is made to the announcement of the Company dated 2 November 2014 in relation to, among other things, the issue of new shares under the General Mandate (the "Announcement"). Unless defined otherwise, capitalised terms used herein shall have the same meanings as those defined in the Announcement.

COMPLETION OF THE ISSUE OF NEW SHARES UNDER GENERAL MANDATE

The Board is pleased to announce that the condition of the Subscription as set out in the Subscription Agreements has been fulfilled and the completion of the Subscription took place on 2 January 2015. An aggregate of 180,000,000 Subscription Shares have been successfully issued to the Subscribers at the Subscription Price of HK$1.51 per Subscription Shares pursuant to the terms and conditions of the Subscription Agreements.
To the best of the knowledge, information and belief of the Directors and having made all reasonable enquiries, each of the Subscribers is an Independent Third Party and does not hold any Shares before the date of this announcement. All the net proceeds of the Subscription of approximately HK$272 million will be applied for the expansion of the Company's downstream silver retailing business, its potential upstream acquisitions and general working capital.

CHANGES IN SHAREHOLDING STRUCTURE

The changes of the shareholding structure of the Company as a result of the Subscription are as follows:

1

Immediately before completion of the Subscription

Approximate %

of the

Company's

Immediately after completion of the Subscription

Approximate %

of the

Company's

Shareholder Number of Shares

issued share capital

Number of

Shares

issued share capital

Rich Union Enterprises
Limited
397,080,000 43.82% 397,080,000 36.56%
Mr. Chen Wantian 397,080,000

(Note 1)

43.82% 397,080,000 36.56%
Best Conduct Investments
Limited
96,360,000 10.63% 96,360,000 8.87%
Richwise Capital Group Ltd 96,360,000

(Note 2) Mr. Shi Jinlei 96,360,000 (Note 2)

10.63% 96,360,000 8.87%
10.63% 96,360,000 8.87%
Easy Eight Limited 93,840,000 10.36% 93,840,000 8.64%
Mr. Wu Wenyong 93,840,000

(Note 3)

10.36% 93,840,000 8.64%
Subscribers:
Mr. Luo Shandong - - 160,000,000 14.73% Mr. Zhu Xiaolin - - 20,000,000 1.84% Other public Shareholders 318,906,000 35.19% 318,906,000 29.36% Total 906,186,000 100% 1,086,186,000 100%

Notes:

(1) Mr. Chen Wantian owns 100% of the entire issued share capital of Rich Union Enterprises Limited.

(2) Richwise Capital Group Ltd is deemed to be interested in the Shares owned by Best Conduct Investments Limited as the legal owner of the entire issued share capital of Best Conduct Investments Limited. Mr. Shi Jinlei owns 70% of the entire issued share capital of Richwise Capital Group Ltd.

(3) Mr. Wu Wenyong owns 100% of the entire issued share capital of Easy Eight Limited.

By order of the Board China Silver Group Limited Moy Yee Wo Matthew Company Secretary
Hong Kong, 2 January 2015

As at the date of this announcement, the Board comprises Mr. Chen Wantian, Mr. Song Guosheng and Mr. Chen Guoyu as Executive Directors; Dr. Jiang Tao, Dr. Li Haitao and Dr. Zeng Yilong as Independent Non-executive Directors.

2

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