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Renhuang Signs Exclusive Purchase Agreement for Siberian Ginseng
Date:7/9/2010

HARBIN, China, July 9 /PRNewswire-Asia-FirstCall/ -- Renhuang Pharmaceuticals, Inc. (NYSE Amex: CBP) ("Renhuang" or the "Company"), a developer, manufacturer and distributor of botanical products, bio-pharmaceuticals and traditional Chinese medicines ("TCM"), today announced that on July 8, 2010, the Company signed an Acquisition Agreement (the "Agreement") with Yichun Red Star Forest Bureau of Heilongjiang Province ("the Forest Bureau") for indefinite exclusive access to 100,000 acres of wild Siberian Ginseng in Heilongjiang Province. Siberian Ginseng is a plant with medically-established anti-depressant and mood regulation qualities and is also an active ingredient in the Company's market-leading line of all-natural anti-depressant medications.

Under the terms of the Agreement, Renhuang will be granted permanent exclusive rights to purchase the wild Siberian Ginseng grown on 100,000 acres. The Siberian Ginseng plant yield is expected to amount to an estimated 500 tons annually. The Siberian Ginseng fields will be maintained and harvested by personnel supervised by the Forest Bureau and the Company will pay a lower than prevailing fair market price for the Siberian Ginseng harvested. Renhuang will be responsible for continued maintenance and protection of wild resources to make this area a professional Siberian Ginseng base that produces additional Ginseng. In addition to generating income for the Forest Bureau, this resource base will provide employment opportunities for local farmers.

"We are excited about securing exclusive access to the world's finest quality wild Siberian G
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SOURCE Renhuang Pharmaceuticals, Inc.
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