Exhibit 10.7

                      SALES CONTRACT OF INDUSTRIAL PRODUCTS
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                                                                      NO.: 02602
                                                               SIGNED AT: Tai'an
                                                         DATE: December 20, 2002

This contract is made and entered into by and between  Shandong Shengda Chemical
Machinery Co., Ltd (hereinafter  referred to as the Seller) and Shandong Shengda
Chemical  Co., Ltd  (hereinafter  referred to as the Buyer);  whereby the Seller
agree  to sell  and the  Buyer  agree  to buy the  commodity  mentioned  in this
contract subject to the terms and conditions stipulated below:

Article 1: Object, Quantity, Price and Date of Delivery

NAME OF COMMODITY: Grease Tank

UNIT: PIECE

QUANTITY: One

UNIT PRICE: RMB 352,795.21 yuan

TOTAL  AMOUNT:  RMB  352,795.21  (Three  hundred and fifty-two  thousand,  seven
hundred and ninety-five point two one) yuan

DATE OF DELIVERY: February 20, 2003

Article 2: QUALITY STANDARD

Be subject to: 1. The Drawing Sheet provided by the Buyer;  2.The National Trade
Standard.

Article 3: TERMS AND TIME LIMIT OF QUALITY  ASSURANCE  OF THE SELLER:  1 Year of
Quality Warranty

Article 4: TITLE TO THE GOODS SHALL BE PASSED  UPON  DELIVERY;  HOWEVER,  IF THE
BUYER  FAILS TO PERFORM  THE  OBLIGATION  OF PAYING THE FULL  AMOUNT OF PURCHASE
PRICE, TITLE TO THE GOODS SHALL REMAIN WITH THE SELLER.

Article 5: MEANS AND PLACE OF DELIVERY: The site where the buyer uses the goods.





Article  6:  STANDARD,  METHOD,  and PLACE  AND TIME  LIMIT OF  INSPECTION:  The
inspection  will be done  pursuant  to Article 2 at the place of  delivery.  Any
dispute shall be raised within three days.

Article  7:  METHOD,  TIME AND PLACE OF  PAYMENT:  50% shall be paid  after this
contract  becomes  effective.  20% shall be paid after the object has been made;
20% shall be paid after the inspection and acceptance;  and the remaining amount
of money shall be paid off within one year.

Article 8: TERMINATION OF THIS CONTRACT: After the remaining amount of money has
been paid off.

Article 9: BREACH LIABILITY: shall be governed by the provisions of the Contract
Law.

Article 10: METHOD OF SETTLING THE DISPUTE OVER THE CONTRACT:

IN THE PERFORMING OF THIS CONTRACT, IF ANY DISPUTE ARISES, THE TWO PARTIES SHALL
SETTLE IT THROUGH FRIENDLY DISCUSSIONS;  THE DISPUTE CAN ALSO BE MEDIATED BY THE
LOCAL INDUSTRIAL AND COMMERICAL ADMINISTRATION;  IF NO SETTLEMENT COMES FROM THE
DISCUSSIONS OR  MEDIATATIONS,  THE DISPUTE SHALL BE SETTLED BY LAWSUITS  THROUGH
THE PEOPLE'S COURT.

Article 11: THIS CONTRACT SHALL BECOME  EFFECTIVE  after having been  officially
signed by the two parities.

THE SELLER:                                   THE BUYER:
Shandong Shengda Chemical
Machinery Co., Ltd                            Shandong Shengda Chemical Co., Ltd

 /s/ Gong Xingyu                                /s/ Wang Wei
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AUTHORISED SIGNATURE                          AUTHORISED SIGNATURE