Asian Dragon Group Provides Update On Project Luogold-Jinjishan Gold Mine and Expands Scope on Molybdenum, Vanadium, and Silver-Lead Acquisitions.

LUOYANG, CHINA -- Asian Dragon Group Inc., (OTCBB:AADG) (FWB:P2J1) (WKN:A0KE7Z) is pleased to provide an update on activity at its Jinjishan Gold Mine.

In the last three months nearly 1,000 meters of tunneling have been completed. The 770M straight Tunnel at the Huashiya Zone and the 788M slope Tunnel at the Luishugou Zone are scheduled to connect within the next 30 days to form a long corridor intersecting several newly discovered gold veins. Many of the veins are wider than 1m with grades ranging from 3g/t to over 30g/t. As a result the estimated ore reserves from this zone alone total more than 150,000 tonnes with minimum grades of 5 to 8g/t. Asian Dragon plans to mine these veins and commence full operation of the concentration mill running at capacity at three shifts/day.

The two hole drill program at the Zhuyuanmao Zone has also been completed and workers have intercepted five veins at this location. The first drill hole has been completed at a depth of 301m and the second drill hole at a depth of 310m. The two drill holes are 50m apart.

Asian Dragon has commenced work on a 150m sinking shaft at the Jindonggou Zone. At this location Asian Dragon plans to connect three separate existing tunnels with average ore grades of 15g/t. The existing veins in these tunnels are narrower but Asian Dragon expects the veins to widen significantly as they expose them further. The early estimates of the potential ore deposit in this area indicate at least 500,000 tonnes of easily assessable ore with potential average gold content of 10g/t plus.

Asian Dragon is also evaluating the Houyao Zone where high grade gold veins exist near the surface. Asian Dragon plans to complete a geological survey before deciding what action will be taken. This area is similar, though larger, than the Jindongcou Zone and it is anticipated will add significant ore reserves to the mine.

There are still several other large parcels of ground scheduled for exploration work within Asian Dragon's 28.3km2 license. Asian Dragon's current focus at the Jinjishan Gold Mine is on confirming existing ore reserves as economically as possible, expanding its exploration activity and ensuring full operation of its concentration mill.

Asian Dragon is currently conducting due diligence on its acquisition of Fuding Mining Development Co., Ltd. (FMDC) as announced on May 2nd, 2007, where Asian Dragon has agreed to invest US$10 million, plus price based stock commitment, within 1 year, with an ability to increase its interest to 70% by investing a further US$20 million for a total investment of US$30 million within 3 years. FMDC has established partnerships with 3 other Chinese Companies (the "Partner" or collectively "Partners"), in an arrangement that will result in each Partner contributing up to a 70% interest in their best advanced staged properties. These properties all have world class deposit potential including Molybdenum, Vanadium, Lead and Silver, which are all located within a 100km of each other in the prolific Xiaoqinling Region of China.

Asian Dragon has commissioned Mr. Christian Derosier, P.Geo, a world renowned geologist and mining consultant, and independent qualified person to visit and provide detailed reports for all of the properties under option by FMDC. He will make his recommendations to Asian Dragon on which advanced stage properties should be retained and focused on by the company.

Asian Dragon is focused on creating shareholder value by concentrating on significant mineral projects, which will help fast track the company to become a major producer and follow the path of billion dollar market-cap companies in the same region: Silvercorp Metal Inc., Lingbao Gold and China Moly.

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 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.