Company: CHNR
Filing Date: 2025-01-27
Form Type: POS AM
Source: 0001079973-25-000143
Chunk: 23

Company: CHINA NATURAL RESOURCES INC
Filing Date: 2025-01-27
Form: POS AM
Chunk 23
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 complete such filing.

| 7 |

Transfers of Cash and Assets between Our Company and Our Subsidiaries Cash and asset transfers through the Group are primarily attributed to shareholder loans from us to our subsidiaries. All cash or asset transfers between us and our subsidiaries for each of the three years ended December 31, 2023, are set forth in the table below. The purpose of the outbound transfers, in the form of shareholder loans, was to pay off the subsidiaries’ expenses and provide working capital for the subsidiaries. The purpose of the inbound transfers, in the form of loan repayments, was to centralize the treasury function of the Company and our subsidiaries. There are no fixed repayment terms and we do not expect there to be any tax implications for such transfers. We did not make any capital contributions to, or receive any dividends from, our subsidiaries during these periods. Other than the deemed contribution of RMB20.38 million (US$2.80 million) from Mr. Li Feilie, our controlling shareholder due to the sale of PST Technology on July 28, 2023, netting off the assets and liabilities of the wastewater treatment business segment transferred to Mr. Li Feilie, which were accounted for as a deemed distribution to the controlling shareholder, no transfers, dividends or distributions have been made to investors during these periods. We currently have not maintained any cash management policies that dictate the purpose, amount and procedure of cash or asset transfers between us and our subsidiaries, or the investors. Rather, the funds can be transferred in accordance with the applicable laws and regulations in the PRC and other jurisdictions. PRC laws and regulations may restrict our ability to make dividends and distributions to investors, including U.S. investors.

| Transferor               |     | Transferee                    |     | Year               
 ended December 31, 
 2021               |        |     | 2022 |        |     | 2023 |         |     | 2023 |        |
|:-------------------------|:----|:------------------------------|:----|:-------------------|-------:|:----|:-----|-------:|:----|:-----|--------:|:----|:-----|-------:|
|                          |     |                               |     | HK$                |        |     | HK$  |        |     | HK$  |         |     | US$  |        |
| Outbound                 
 Transfers                |     |                               |     |                    |        |     |