NEW YORK and BEIJING, March 12 /PRNewswire-FirstCall/ -- China Advanced Construction Materials Group, Inc. ("China ACM") (OTC:CADC) (BULLETIN BOARD: CADC) , a leading provider of ready-mix concrete and related services in China, today announced that it was awarded a $2 million contract to provide concrete manufacturing services for a major section of the Guizhou-Guangzhou railway construction project. China ACM's concrete manufacturing services are a growing and high margin segment of the business, whereby the general contractors supply the raw materials and China ACM produces the ready-mix concrete. The railway will run from Guiyang to Guangzhou and will cover approximately 857 kilometers. China ACM's portion of the project is scheduled to be completed in late-2010. The new line is designed to be a double-track electrified railway and will allow trains to travel at 200 kilometers per hour. The line is expected to have a daily capacity of 100 passenger trains and an annual capacity for goods transportation of 35 million tons. Mr. Xianfu Han, Chairman and Chief Executive Officer, stated, "China ACM is establishing a niche in supplying concrete services for the expansion of China's railway system. In addition to our traditional concrete services in and around Beijing, we have now been involved in numerous high speed railway projects all over the country and continue to bid for others. We believe that our environmentally-friendly methodology for producing ready-mix concrete, our portable concrete manufacturing plants that can be moved from location to location along the railway line and our reputation for quality are all factors in our success for winning this business. We look to further extend our geographic footprint within China as we bid for projects encompassing a wider radius outside Beijing in the months and years ahead. China's stimulus package that was implemented in November of 2008 is concentrated on the build out of China's infrastructure and we have already begun to benefit from this initiative." About China ACM China ACM, founded in 2002 and based in Beijing, China, is a leading producer of advanced construction materials for large scale commercial, residential, and infrastructure developments. The company is primarily focused on producing and supplying a wide range of advanced ready-mix concrete materials for highly technical, large scale, and environmental construction projects. The company also aims to develop and produce new and innovative environmentally conscious construction materials. China ACM provides materials and services through its seven ready-mix concrete plant network covering Beijing metropolitan area. China ACM owns one plant, leases two plants and has technical services and preferred procurement agreements with four other independently-owned plants. China ACM is ISO 9001 (product quality), ISO 14001 (environmental safety), and ISO 18001 (employment environment safety) certified. Additional information about the company is available at http://www.china-acm.com/. This press release contains "forward-looking statements" within the meaning of the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties and other factors that could cause the actual results of the Company to differ materially from the results expressed or implied by such statements, including changes from anticipated levels of sales, future national or regional economic and competitive and regulatory conditions, changes in relationships with customers, access to capital, difficulties in developing and marketing new products, marketing existing products, customer acceptance of existing and new products, and other factors. Additional Information regarding risks can be found in the Company's Annual Report on Form 10K and in the Company's recent report on Form 8K filed with the SEC. Accordingly, although the Company believes that the expectations reflected in such forward-looking statements are reasonable, there can be no assurance that such expectations will prove to be correct. The Company has no obligation to update the forward-looking information contained in this press release. Contact: On-line Investor Contact: Crescendo Communications, LLC AGORACOM Investor Relations David Waldman or Klea Theoharis http://www.agoracom.com/IR/chinaacm Tel: (212) 671-1020 Email: Web: http://www.china-acm.com/ DATASOURCE: China Advanced Construction Materials Group, Inc. CONTACT: David Waldman or Klea Theoharis, both of Crescendo Communications, LLC, +1-212-671-1020, Web Site: http://www.china-acm.com/

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