China Eastsea Business Software Ltd
28 February 2008



                    China Eastsea Business Software Limited
                                  (AIM: CESG)

                                 Contract gain


China Eastsea Business Software Limited ('China Eastsea'), which provides
information technology and business process outsourcing services, announces that
it has signed a contract to review and upgrade IT systems for the Yinzhou
District Government of Ningbo City ('YDG').

The initial scope of the contract is to form a working group to study the
current YDG IT platforms and to analyse the future IT requirements ahead of any
further implementation of new systems, upgrades and training. In addition, the
working committee will provide analysis of the maintenance procedures that would
need to be established follow the implementation of such systems.

It is expected that this initial contract plus the future implementation
contracts could be worth up to RMB15m (c. £1.06m) annually for the next three
years.

For the year ended 28 February 2007 China Eastsea recorded revenues of £8.79m up
from £4.36m in 2006, with pre-tax profits rising to £2.23m from £1.28m.

The signing of the IT outsourcing contract will take place at a reception in
Ningbo later today. Gao Xinmin, Vice Director of the IT Expert Committee of
State Department; Yu Hongyi, Vice Mayor of Ningbo City; Jane Zhu, the Asia
Pacific CEO of London Stock Exchange; and Eric Zhu, CEO of China Eastsea will
all address the reception which will be attended by senior government officials,
representatives of China Eastsea's major customers such as Sinopec ZRCC,
Yanghong petrochemical, as well as local media.

At the reception China Eastsea will be presented with a government grant of
RMB2m (c. £140,000) by YDG. The one-off grant has been given in support of a
local business and to recognise China Eastsea's contribution to Ningbo City.

Eric Zhu, Chief Executive of China Eastsea, said:

'This contract demonstrates the success of our strategy of diversifying our
client base and expanding into other industry sectors beyond the petrochemical/
petroleum IT outsourcing market. The Yinzhou District Government is a major
government contract for us and we look forward to provide them with our
consulting, outsourcing and software solutions.'


ENDS


Contacts:
                                         
 China Eastsea                        Evolution Securities Ltd          Parkgreen Communications Ltd
 David Tsui, Financial Director/CFO   Stuart Andrews                    Paul McManus
 Tel: +86 574 2880 2289               Tel: 020 7071 4300                Tel: 020 7479 7933
 Mob: +86 138 1668 5470               stuart.andrews@evosecurities.com  Mob: 07980 541 893
 david.tsui@eastseagroup.com                                            paul.mcmanus@parkgreenmedia.com

 Angie Chen, Company Secretary        Evolution Securities China Ltd
 Tel: +86 10 6298 8850                Ian Rice
 angie@eastseagroup.com               Tel: 020 7220 4879
 www.sinobpo.com                      Mob: 07828 951 158
                                      ian.rice@evolutionchina.com


About China Eastsea

China Eastsea provides information technology and business process outsourcing
services (ITO/BPO), IT consulting and a broad range of project work to clients
in the petrochemical, petroleum, power and telecommunications industries, as
well as to ministries, state authorities, municipalities, agencies and other
organisations throughout the government sector in China. China Eastsea has a
leading position in petrochemical/petroleum IT outsourcing market with Sinopec
Zhenhai Refining & Chemical Company, one of the largest oil refining companies
in China, as its biggest client.

The services provided by the Group include strategic planning, gap analysis,
alignment, business and technology transformation, performance management and
technology selection and optimisation according to best practices. The Group
offers design, development, implementation, control and maintenance relating to
the use, creation, installation or integration of software, hardware, networks,
systems and technologies. It also provides total ERP solutions from design to
development, implementation, training and maintenance.

The Group has proprietary technology on a management platform provided over
internet, intranet and corporate portals, as well as on information integration.
The Group has successfully leveraged its expertise in search engines and
information management to build customised products to grow its government and
telecommunications IT outsourcing market share.


                      This information is provided by RNS
            The company news service from the London Stock Exchange