Securities Code: 600500      Share shortened form: G SINOCHEM       Announcement No.: 2005-027

The Announcement of the SINOCHEM Corporation Increasing Holding of the Shares of This Company issued by SINOCHEM International Corporation 

��Specific Brief��

This company and all the members of the Board ensure the truth, accuracy and integrity of the announcement, and should bear the joint and several obligations to any falsely recorded announcement, misguiding presentation or serious omitted.

According to the Reform Scheme of Shareholding Division in this Company reviewed and approved by this company's board of directors on Aug. 5, 2005 and carried out on Aug. 12, 2005, this company's holding shareholder ----SINOCHEM Corporation (hereafter called SINOCHEM) would carry out the plan of increasing holding of the shares on time from Aug.12 and successively buy this company's shares via the transaction system of Shanghai Stock Exchange. Until the closing of the security exchange on Nov. 12, 2005, the plan of increasing shares of SINOCHEM  had been finished. The held increased shares amount of this company's was up to 66630000.28, i.e. 5.30% of this company's total shares. According to the former promise, SINOCHEM will not sell the above mentioned increased shares before the open quotation on Apr. 13 2006.

Hereby it is specially announced.

SINOCHEM International Corporation