China Integrated Energy Signs Letter of Intent with Marine Distributor in Chongqing City

XI'AN, China, Jan. 27, 2011 /PRNewswire-Asia/ -- China Integrated Energy, Inc. (Nasdaq: CBEH) (the "Company"), a leading non-state-owned integrated energy company in the People's Republic of China ("PRC"), today announced that on December 29, 2010, the Company signed a letter of intent to enter into a partnership with Chongqing FengDou Keyu Trade Co., Ltd. ("Chongqing FengDou") to provide petroleum products to marine vessels.

Chongqing FengDou sells petroleum products to marine boats. Chongqing City is intersected by the Jialing River and the upper reaches of the Yangtze River, and serves as a marine transportation center for southwestern China. The Company intends to invest approximately $8.2 million, owning 51% of the partnership. The Company is expected to sell an estimated 50,000 tons of petroleum products to Chongqing FengDou with projected revenues of $45.0 million over the next 12 months. The Company projects it will spend approximately $6.0 million in working capital to support the business. The Company expects to enter a definitive agreement by the end of first quarter of 2011, after all necessary due diligence has been completed.

"This new business relationship with Chongqing FengDou demonstrates our continued success in further penetrating existing territories and developing new business markets," stated Mr. Gao Xincheng, CEO of China Integrated Energy. "With our track record of expanding our distribution business profitably, we believe that this investment will help us solidify our position as a leading integrated energy Company in China."

About China Integrated Energy, Inc.

China Integrated Energy, Inc. is a leading non-state-owned integrated energy company in China engaged in three business segments: the production and sale of biodiesel, the wholesale distribution of finished oil and heavy oil products, and the operation of thirteen retail gas stations. The Company operates a 100,000-ton biodiesel production plant located in Tongchuan City, Shaanxi Province and a 50,000-ton plant in Chongqing City, China. The Company expects to increase the total biodiesel production capacity to 200,000 tons upon completion of a new 50,000-ton production facility adjacent to the 100,000-ton plant in Tongchuan City in January 2011. The Company utilizes a distribution network covering 16 provinces and municipalities, established over the past 11 years, to distribute both heavy oil and finished oil including gasoline, petro-diesel and biodiesel. For additional information on the Company please visit http://www.chinaintegratedenergy.com.

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Safe Harbor Statement

This press release includes statements that may constitute forward-looking statements made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as "will," "expects," "anticipates," "future," "intends," "plans," "believes," "estimates" and similar statements. For example, statements about the future use of the proceeds are forward looking and subject to risks. China Integrated Energy, Inc. may also make written or oral forward-looking statements in its periodic reports to the U.S. Securities and Exchange Commission on forms 10-K, 10-Q and 8-K, in its annual report to shareholders, in press releases and other written materials and in oral statements made by its officers, directors or employees to third parties. Statements that are not historical facts, including statements about the Company's beliefs and expectations, are forward-looking statements. Forward-looking statements involve inherent risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. A number of important factors could cause actual results to differ materially from those contained in any forward-looking statement. Potential risks and uncertainties include, but are not limited to, risks outlined in the Company's filings with the U.S. Securities and Exchange Commission. The Company does not undertake any obligation to update any forward-looking statement, except as required under applicable law.