Welcome to the WSP Holdings Fourth Quarter and Full Year 2007 Earning Conference Call. (Operator Instructions) I would now like to turn the call over to your host for today’s call Mr. Paul Ludig with CCG Elite Investor Relations.

Good day everyone and welcome to WSP Holdings Fourth Quarter and Fiscal Year Ended December 31, 2007 Earnings Conference Call. With us today are Mr. Longhua Piao the company’s CEO, Mr. Xizhong Xu, Director and Assistant General Manager and Mr. Yip Kok Thi, Chief Financial Officer. Before we get started I would like to remind our listeners that managements prepared remarks in this call contains forward looking statements that are subject to risks and uncertainties and management may make additional forward looking statements in response to your questions. Therefore the company claims the protection of the Safe Harbor for Forward Looking statements that is contained in the Private Securities Litigation Reform Act of 1995. Actual results may differ from those discussed today due to risks such as but not limited to fluctuations in customer demand, management of rapid growth, intensity of competition from other providers of OCTG products and services, general economic conditions, geopolitical events and regulatory changes and other information detailed from time to time in the company’s filings and future filings with the United States Securities and Exchange Commission. Although the company believes that the expectations and such forward looking statements are reasonable there is no assurance that such expectations will prove to be correct. Any projections as to the company’s future performance represent management’s estimates as of today, March 25, 2008. WSP Holdings assumes no obligation to update these projections in the future as market conditions change. I will now turn this call over to Mr. Piao the CEO of WSP Holdings for opening remarks in Chinese.

I would like to thank everyone for joining us for the WSP Holdings fourth quarter and full year 2007 conference call. This is our first earnings conference call with investment community so I would like to take a moment to describe the company and its products before we go on to the business overview and financial results. WSP Holding is a leading Chinese manufacturer of seamless casing, tubing and drill pipes used in oil and natural gas exploration, drilling and extraction. We manufacture and distribute what are commonly called Oil Country Tubular Goods (OCTG). We manufacture products that lead the standards of American Petrol Institute and also non-API products. WSP has a strong focus on research and development of new products and our product mix has shared technology intensive non-API products to meet the needs of our customers. We have a very well established a biometric custom base and we sell OCTG to major oil and gas companies throughout China. We successfully compete against other OCTG companies in China based on the high quality of our product, price and services. WSP’s products have been gaining international recognition and exports account for 58% of our revenue in 2007. In 2008 we plan to develop more export sales along with our manufacturing capabilities in the international market. Two thousand seven was an important year for WSP Holding. We increased our sales revenue, changed our product mix to feature, emphasize sales of high performance non-API products, expanded our manufacturing capabilities and successfully completed an initial public offering and the listing on the New York Stock Exchange. The $212.5 million in net proceeds before deduction of unrealized discounts and commissions an offering expenses from our IPO will allow us to continue to expand both our manufacturing capacity and support international expansion efforts. WSP Holdings looks forward to an exciting 2008 in which we will leverage our high performance products and an efficient manufacturing to grow our share in both domestic and overseas markets. Mr. Paul will now provide you with the rest of my detailed remarks in English. He will be followed by our CFO, Mr. Thi who will discuss our financial performance for the quarter and year ended December 31, 2007 in more detail.

Thank you, 2007 was a landmark year for WSP Holdings. Net revenues grew by 32% over 2006 to $483.8 million. Gross profit grew by 47% to $125.8 million. Gross profit grew by 47% to $125.8 million. The net income for 2007 was $74.6 million or $0.97 per diluted ADS. In addition to this outstanding financial performance the company expanded its presence in the Peoples Republic of China and global OCTG industries. While increasingly positioning ourselves at the high end of value added products in the OCTG industry. WSP Holdings is positioned to take advantage of growing need for high performance products used by the oil and gas exploration companies as they pursue new sources of energy in increasingly challenging operational environments. The oil and gas industry is looking for new sources of oil and gas to meet the worlds increasing demand for energy. China’s surging demand for energy is driving a large part of the world’s growing thirst for oil and gas. Between 1997 and 2006 China’s crude oil consumption grew at an estimated compound annual growth rate or CAGR of 6.5% and natural gas consumption grew at an estimated CAGR of 13% according to the BTU statistical review of world energy in 2007. As existing easy to reach oil and gas fields become depleted exploration drilling and extraction must take place in increasingly high temperature, high pressure and corrosive environments. This in turn requires increasingly sophisticated OCTG products. Higher performance seamless OCTG products accounted for 80% of OCTG expenditures in 2006 up from 69% in 1997. The global seamless OCTG market is expected to grow from $14.5 billion in 1997 to $20.2 billion in 2010. The seamless OCTG market can be broken into two segments. American Petroleum Industry (NYSEMKT:API) standard products and non-API products which are customized solutions that…

I would like to thank all of you for joining us today on this call. Having become a public company in December 2007 this is the first time that WSP is reporting its financial results to the investment community. It is my pleasure to report that company had a successful fourth quarter and full year 2007. Our 2007 results exceeded expectations for revenue, net profit and earnings per EPS. These results were because of the company’s successful expansions of its manufacturing capacity, strengthening its non-API business and increasing OCU’s. For the fourth quarter 2007 our net revenue was $139.9 million an increase of 18.2% from $109.8 million in the fourth quarter of 2006. This increase was mainly executed through the growth of sales volume and selling proportionally more higher priced non-API production. Non-API production accounted for 34.4% of the company’s revenue in the fourth quarter of 2007 up from 17.1% in the fourth quarter of 2006. Here is our Non-API product were $44.7 million in the fourth quarter of 2007 up 137.2% from $18.8 million in the Q4 of 2006. API product sales were $65.6 million in the fourth quarter of 2007 a 20% decrease from $82 million in quarter fourth 2006. Non-API product volume was 24,368 tonnes in the fourth quarter of 2007 up 108.6% from 11,680 tonnes in quarter four of 2006. API product sales volume was 58,406 tonnes in the fourth quarter of 2007 a 19.7% decrease from 72,693 tonnes sold in the fourth quarter of 2006. Sales of other products mostly green pipes were $19.6 million in the fourth quarter of 2007 up 117.8% from $9 million in the fourth quarter of 2006. Gross profit for the quarter was $33.2 million an increase of 33.8% from $24.8 million in the fourth quarter of 2006. Gross profit…

I’d like to quickly note that all tonnes are metric tonnes and everything in terms of money was US Dollar amounts. With that we would be happy to open the call to your questions.

(Operator Instructions) Our first question will come from the line of Alex Harbin with Toll Cross Securities.

My question is specifically on the recent iron ore and steel price rises. Obviously you guys said that this is 80% of your costs. How quickly can you pass through cost increases on to your customers? What’s your ability to maintain the margins that you have got so far and how quickly can you pass on the increases? Is it something where you can do it immediately or does it take time for your customers to adjust?

Mr. Thi perhaps you could talk a little bit about changes in recent steel prices also what’s taken place before answering the question directly.

This year China iron ore and coal and other raw material has increased tremendously. In the past we had no such experience. During the early part of this experience suddenly increasing the R&D line. Part of this price increase we are able to pass to our customer for example our OC export we manage to pass over two thirds price increase of about $140 to our customer. As for the other order those are we got for quarter four to accrue to quarter this year but we expect to pass the cost by increasing the price to our customer in the second or third quarters.

That would be 100% of the cost so that you maintain your targeted gross margins?

You can look at our 2007 results there has been emphasis on margin growth in the medium to long term we expect to maintain the same gross profit margin as well proven in our sale mix but in the near term we are achieving a challenge of trying to maintain the same margin growth.

(Operator Instructions) Our next question will come from the line of [Richard Zafroni] with Wafra Investment Advisors. [Richard Zafroni]: I had a question, is it correct that you are currently in qualification process for Shell?

I don’t know, can you really comment on how that’s going that may be something that may be premature to talk about. [Richard Zafroni]: The other question I had is we’ve seen the government of China impose price controls on a number of different products. For example they’ve put caps on Sinopec. I’m wondering if there is any risk of that filtering down the chain to possible price controls in the field sector in order to control inflation.

The previous question asked about the rises in prices. Are you asking for a general overview of whether there will be increasing price controls in the future? [Richard Zafroni]: Yes, basically that when the government, for example has capped certain prices for Sinopec and I’m wondering if the government tries to cap inflation at different places in the economy if they might also cap prices?

Perhaps the company can tell us a little bit about its view in terms of whether price controls will be instituted?

I want to make clear whether you are asking if the government is going to control the inflation through the control.

Whether price controls will be instituted in the OCTG industry and overall in the oil and gas industry.

The government is definitely trying to control the price so as to control the inflation but whether the government will continue this control it all depends on the coming economy situation. [Richard Zafroni]: One last question regarding your free cash flow, I think you touched on some of the things you may do but when you look at the free cash flow that you projected to generate in the coming years its fairly substantial and when you combine that with the cash that was raised from the IPO you are going to have substantial resources at your disposal. Those resources could go towards acquisitions to share buy backs, dividends. In terms of what you could do with that free cash flow can you give us some idea about what your views are? Will there be a meaningful dividend? Do you have potential acquisitions in looking to consolidate the supply market in China? What are you going to do with that free cash flow, it’s pretty meaningful?

We do have a lot of free cash flow rising from the IPO proceed. We also have planned for our expansions as well as possible integration plan. Right now in our plan is that we would have four things going on; one is we will be spending on the maintainable CapEx, we plan to have a plant in Northeast China producing hot rolling as well as finishing line. We are also going to have a smaller finishing line also in Northeast China. We are going to move on our so called US project though all these will pick up substantially… [Richard Zafroni]: How much are you estimating all that to cost?

It would be close to about 50% of our existing cash. [Richard Zafroni]: You will still be throwing off some meaningful cash flow even after that?

Yes but the management has further plans which is underway plus these plans will be revealed to the general public when the times are right. It all depends on our expansion plan then we will decide when to tell the general public about it.

Generally the company plans to expand manufacturing and become more active in international markets and money will be spent in both areas. How quickly it will be spent will depend on opportunities. Mr. Thi outlined that there are concrete plans to expand manufacturing in China.

(Operator Instructions) At this time we have no questions in queue and I would like to turn the call back over to Paul Ludig for closing remarks.

I’d like to thank everybody on behalf of WSP Holdings management team for your participation in this call. If you have any interest in contacting or visiting WSP Holding please let us know. Contact information is available on the company’s website which is www.WSPHL.com. Thank you for joining us on this call. This concludes WSP Holdings Fourth Quarter 2007 Earnings Conference Call.

Thank you for your participation in today’s conference this concludes your presentation you may now disconnect.