L & L Energy Announces Acquisition of DaPing Mine

L & L Energy, Inc.,

announced today that it has entered into a contract to acquire a majority controlling interest (60%) of the DaPing coal mine. The acquisition became effective on March 15, 2011. Pursuant to the agreement, L&L and the current owner of DaPing will form a U.S. joint venture company in China. L&L will contribute approximately USD $18 million in exchange for management control and 60% equity of the new joint venture company on a net equity basis. An additional $3 million in capital expenditures is planned to be injected by L&L for the improvement of safety and operational efficiency of the mine. In keeping with the Company's acquisition strategy, payments to the DaPing purchase price will be in installments. The current owner of the Mine will contribute mining rights and all mine-related assets to the JV.