Asian Dragon Group Provides Update on Major Chinese Silver/Lead Project, Luoning Xiayu Fanggelewan Mine



    LUOYANG, CHINA, October 24 /CNW/ - Asian Dragon Group Inc. (OTCBB:AADG)
(Frankfurt:P2J1) (WKN:A0KE7Z), a precious and base metals exploration,
property acquisition and mining development company, is excited to announce
that its partner "Fuding Mining Development Co., Ltd." ("FMDC") has provided
the first of a series of significant updates on Asian Dragon's newly acquired
interest in the Luoning Xiayu Fanggelewan (FGLW) Mine which will significantly
increase the asset per share value of Asian Dragon stock. The FGLW Property is
located adjacent to TSX-listed Silvercorp Minerals Inc.'s Ying Silver Project
in Luoning County, Henan Province, China. This region exhibits prolific
Silver-Lead mineralization that Silvercorp has compared to the mineral
deposits and mesothermal veins of the Coeur d'Alene District in Idaho, U.S.A.,
where more than 1 billion ounces of silver have been mined in the past 120
years.

    The infrastructure at the FGLW Property is exceptional and ready for full
exploration and production as there are good roads, electricity, and water.
The FGLW Property includes a current 1.75km2 Mining License covering a
northeast-southwest trend with a series of long veins. There are currently 10
tunnels on the FGLW Property with 7 tunnels producing similar grades and
minerals (including pockets of the galena type of deposits sold directly to
smelters) to the nearby Silvercorp and TLP Mines. It is expected that once
exploration and production commence on the FGLW Property, the market value of
Asian Dragon will rival that of Silvercorp. There are several 100 t/d
concentration mills operating nearby, ready to process ore from the FGLW
Property.

    Asian Dragon's partner, FMDC, has taken control of the property and begun
clearing out any illegal mining activities within the license permit area and
a Chinese Government certified Geological Team has been commissioned to begin
preparing a full review of the property. The Geological Team has started
mapping the tunnels and compiling the technical data into a report. This
report will form the basis for the initial work program recommended by Asian
Dragon's Independent Qualified Person, Mr. Christian Derosier, P. Geo, as well
as the NI 43-101 compliant report also being prepared by Mr. Derosier.

    Mr. Derosier visited and obtained grab samples from the FGLW Property
which were sampled and assayed at the CMA-Luoyang laboratory. Initial results
from these samples are as follows:

    
        Au         Ag        Cu        Pb        Zn
        g/T        g/T        %         %        %
       0.38       1300.00     0.040     0.620     0.13
       0.30       1665.00     0.200    13.820     0.18
       0.12        108.00     0.470    14.310     0.45
       0.13          90.1     0.022      1.06     0.27
       0.06          90.2     0.084      10.5     0.21
       0.23         322.0     0.029      17.7     0.31
       0.13          44.9
       0.35          41.6     0.110      6.11     1.22
    

    Chairman Mr. John Karlsson commented, "Asian Dragon is eager and excited
to start the work program to begin proving up this major deposit potential and
move to production and revenue. We are encouraged by the samples we have
obtained so far as they confirm our belief that FGLW contains world class
deposits of Silver and Lead. We are confident this property will dramatically
increase the value of the Company and provide great benefit to our
shareholders."

    About Asian Dragon

    Asian Dragon was established to focus on China's explosive precious and
base metals reserves and markets and to become one of China's largest foreign
metals producers through a series of joint ventures and mine and property
acquisitions.

    Long-standing relationships with the Gold Bureau and other Chinese
Partners have provided Asian Dragon with the exclusive opportunity to commence
due-diligence on several advanced Chinese Mining Projects in one of the
Country's most well-known and prolific mineral production regions, the
Xiaoqinling Region.

    Safe Harbor Statement under the Private Securities Litigation Reform Act
of 1995: The statements contained herein which are not historical are
forward-looking statements that are subject to risks and uncertainties that
could cause actual results to differ materially from those expressed in the
forward-looking statements, including, but not limited to, certain delays
beyond the company's control with respect to market acceptance of new
technologies or products, delays in testing and evaluation of products, and
other risks detailed from time to time in the Company's filings with the
Securities and Exchange Commission.




For further information:

For further information: Asian Dragon Group Inc. Investor Relations: Max
Sioson, 604-338-6281

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ASIAN DRAGON GROUP INC.

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