Sec Form 4 Filing - CD INTERNATIONAL ENTERPRISES, INC. @ Ziyang Ceramics Corp - 2011-06-30

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FORM 4
Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).
UNITED STATES SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP
Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940
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1. Name and Address of Reporting Person
CD INTERNATIONAL ENTERPRISES, INC.
2. Issuer Name and Ticker or Trading Symbol
Ziyang Ceramics Corp [ ZYCI]
5. Relationship of Reporting Person(s) to Issuer
(Check all applicable)
_____ Director X __ 10% Owner
_____ Officer (give title below) _____ Other (specify below)
(Last) (First) (Middle)
431 FAIRWAY DRIVE, SUITE 200
3. Date of Earliest Transaction (MM/DD/YY)
06/30/2011
(Street)
DEERFIELD BEACH, FL33441
4. If Amendment, Date Original Filed (MM/DD/YY)
6. Individual or Joint/Group Filing (Check Applicable Line)
_____ Form filed by One Reporting Person
__ X __ Form filed by More than One Reporting Person
(City) (State) (Zip)
Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned
1.Title of Security
(Instr. 3)
2. Transaction Date (MM/DD/YY) 2A. Deemed Execution Date, if any (MM/DD/YY) 3. Transaction Code
(Instr. 8)
4. Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4 and 5)
5. Amount of Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 3 and 4)
6. Ownership Form: Direct (D) or Indirect (I)
(Instr. 4)
7. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V Amount (A) or (D) Price
Common Stock 01/06/2012 S 2,367,245 D $ 0.008 65,522,147 I See footnote ( 1 )
Common Stock 01/27/2012 C( 2 ) 698,223 ( 2 ) ( 6 ) A 862,028 ( 2 ) ( 6 ) I See footnote ( 3 )
Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
( e.g. , puts, calls, warrants, options, convertible securities)
1. Title of Derivative Security
(Instr. 3)
2. Conversion or Exercise Price of Derivative Security 3. Transaction Date (MM/DD/YY) 3A. Deemed Execution Date, if any (MM/DD/YY) 4. Transaction Code
(Instr. 8)
5. Number of Derivative Securities Acquired (A) or Disposed of (D)
(Instr. 3, 4, and 5)
6. Date Exercisable and Expiration Date
(MM/DD/YY)
7. Title and Amount of Underlying Securities
(Instr. 3 and 4)
8. Price of Derivative Security
(Instr. 5)
9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s)
(Instr. 4)
10. Ownership Form of Derivative Security: Direct (D) or Indirect (I)
(Instr. 4)
11. Nature of Indirect Beneficial Ownership
(Instr. 4)
Code V (A) (D) Date Exercisable Expiration Date Title Amount or Number of Shar es
3% Convertible Note $ 7.2 ( 2 ) 06/30/2011 J( 2 ) 1,538,223 ( 2 ) ( 4 ) ( 4 ) Common Stock 1,538,223 ( 2 ) ( 2 ) 1,538,223 ( 2 ) I See footnote ( 5 )
3% Convertible Note $ 7.2 ( 2 ) 01/27/2012 C( 2 ) 1,538,223 ( 2 ) ( 6 ) 01/27/2012 01/27/2012 Common Stock 1,538,223 ( 2 ) ( 6 ) ( 2 ) 0 ( 2 ) D
Reporting Owners
Reporting Owner Name / Address Relationships
Director 10% Owner Officer Other
CD INTERNATIONAL ENTERPRISES, INC.
431 FAIRWAY DRIVE
SUITE 200
DEERFIELD BEACH, FL33441
X
China Direct Investments, Inc.
431 FAIRWAY DRIVE, SUITE 200
DEERFIELD BEACH, FL33441
X
Capital One Resource Co., Ltd.
ROOM 804, SINO CENTRE, 582-592 NATHAN RD
HONG KONG, K3852
X
CDI Shanghai Management Co.,Ltd.
59 MAOMING RD. (S)
W6351, JINJIANG JUNLING MANSION
SHANGHAI, F4200020
X
Signatures
Lazarus Rothstein (See signatures of other Reporting Persons on the attached Exhibit 99.1) 06/21/2012
Signature of Reporting Person Date
Explanation of Responses:
( 1 )Shares are owned directly by subsidiaries of CD International Enterprises, Inc. as follows: China Direct Investments, Inc. 61,522,147 shares and CDI Shanghai Management Co. 4,000,000 shares. CD International Enterprises, Inc. is an indirect beneficial owner of the reported securities.
( 2 )Reporting Person received a 3% Convertible Note in the principal amount of $11,075,206 (the "Convertible Note") as compensation under a June 13, 2011 consulting agreement with the Issuer that was payable upon completion of the Issuer's acquisition of China Ziyang Technology Co., Ltd. Of the 1,538,223 Issuer's shares issuable under the Convertible Note, after giving effect to the 400 for 1 reverse stock split completed on January 27, 2012, 840,000 shares are beneficially owned by a subcontractor to the Reporting Person who is an unrelated third party that provided services to the Reporting Person in connection with the acquisition of China Ziyang Technology. The Reporting Person disclaims beneficial ownership of the 840,000 shares beneficially owned by this contractor and the inclusion of these shares in this report shall not be deemed an admission of beneficial ownership of any of these shares for purposes of Section 16 or any other purpose.
( 3 )Shares are owned directly by subsidiaries of CD International Enterprises, Inc. as follows: China Direct Investments, Inc. 552,917 shares, CDI Shanghai Management Co. 10,000 shares and Capital One Resource Co, Ltd. 299,111 shares. CD International Enterprises, Inc. is an indirect beneficial owner of the reported securities. These share amounts give effect to the 400 for 1 reverse stock split completed on January 27, 2012.
( 4 )Automatically convertible into shares of the Issuer's common stock upon the Issuer's completion of the 400 for 1 reverse stock split on January 27, 2012.
( 5 )The Convertible Note is owned by Capital One Resources, Ltd. (33.3% interest) and China Direct Investments, Inc. (66.7% interest) which are subsidiaries of CD International Enterprises, Inc. CD International Enterprises, Inc. is an indirect beneficial owner of the reported securities.
( 6 )All share amounts as of January 27, 2012 and later give effect to the 400 for 1 reverse stock split completed on January 27, 2012.

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