NetDragon Websoft Inc., a leading game developer and operator in the People's Republic of China, has entered into a new licensing agreement with Electronic Arts Inc., the world's leading interactive entertainment software company.

Under the arrangement, EA would develop NetDragon's first 3D massively multi-player online role playing game (MMORPG) based on Electronic Arts' "Dungeon Keeper(TM)" line of games -- including themes, characters and other game content.

As part of this agreement, NetDragon will develop the game and obtains the exclusive license to operate and distribute Dungeon Keeper Online throughout the Greater China region, including Hong Kong, Taiwan and Macau.

In addition, NetDragon also has three games currently in development, including Way of the Five, Tian Yuan and Disney Game, which are expected to be launched by end of 2008 and 2009.

The scrip of EA closed on Friday at $19.06 on Nasdaq. The company’s stock has made a 52-week-high and low of $60.35 and $16.56 respectively.