China Changjiang Mining (PINK:CHJI)

On January 5, 2011, Brock, Schechter & Polakoff, LLP (“BSP”) resigned as the principal independent accountant to audit the consolidated financial statements of China Changjiang Mining & New Energy Company, Ltd. (the “Company”) as of and for the fiscal year ended December 31, 2010. The Company’s Board of Directors accepted BSP’s resignation. During the years ended December 31, 2009 and 2008, and the subsequent interim periods, there was a disagreement between BSP and the Company, arising with regard to the filing by the Company of the September 30, 2010 Quarterly Report on Form 10-Q without prior approval by BSP. Further, BSP advised the Company that

(i) BSP’s report for the year ended December 31, 2008 contained a going concern paragraph and a scope limitation on the value of goodwill;

(ii) BSP’s report for the year ended December 31, 2009 contained a going concern paragraph and scope limitations for the value of goodwill and shares of stock; and

(iii) certain material weaknesses were noted by BSP:

(A) the Company does not have the internal controls necessary to develop reliable financial statements;

(B) the Company does not have sufficient knowledge of all the necessary financial statement disclosures that are required to be made in accordance with U.S. generally accepted accounting principles;

(C) the Company’s Board of Directors contained various members of management and was not independent; and

(D) the Company lacked an independent audit committee to oversee the external financial reporting process and the internal control over financial reporting as required by the Sarbanes-Oxley Act of 2002.

BSP further notified the Company, on January 14, 2011, that BSP believed that the Company’s failure to disclose the matters addressed in this Form 8-K in a timely manner constituted an illegal act.