Company: CHNR
Filing Date: 2025-01-27
Form Type: POS AM
Source: 0001079973-25-000143
Chunk: 225

Company: CHINA NATURAL RESOURCES INC
Filing Date: 2025-01-27
Form: POS AM
Chunk 225
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 is
the Hong Kong dollars. The functional currency of substantially all the operations of the Group is the CNY, the national currency of the
PRC. Transactions denominated in currencies other than the CNY recorded by the entities of the Group are initially recorded using their
respective functional currency rates prevailing at the dates of the transactions. Monetary assets and liabilities denominated in other
currencies have been translated into CNY at the functional currency rates of exchange prevailing at the end of the reporting period. The
resulting exchange gains or losses are credited or charged to the consolidated statements of profit or loss. Non-monetary items that are
measured in terms of historical cost in a foreign currency are translated using the exchange rates at the date of the initial transactions.

The consolidated financial statements of
certain overseas subsidiary operations with a functional currency other than the CNY have been translated into CNY. The assets and liabilities
of these entities have been translated using the exchange rates prevailing at the reporting date and their consolidated statements of
profit or loss have been translated using the weighted average exchange rate for the year. Resulting translation adjustments are reported
as a separate component of other comprehensive income.

On disposal of a foreign operation, the cumulative
amount recognized in equity relating to that particular foreign operation is recognized in the consolidated statements of profit or loss.

| (v) | Convenience translation |

The consolidated financial statements are
stated in CNY. The translation of amounts from CNY into US$ is supplementary information and is included solely for the convenience of
the readers and has been made at the rate of exchange quoted by www.ofx.com on December 31, 2023 of US$1.00 = CNY7.0786. No representation is made that the CNY amounts could have been, or could be, converted into US$ at that rate on December 31,
2023 or at any other date.

| (w) | Provisions |

A provision is recognized when a present
obligation (legal or constructive) has arisen as a result of a past event and it is probable that a future outflow of resources will be
required to settle the obligation, provided that a reliable estimate can be made of the amount of the obligation.

When the Group expects some or all of a provision
to be reimbursed, the reimbursement is recognised as a separate asset, but only when the reimbursement is virtually certain. The expense
relating to a provision is presented in the statement of profit or loss net of any reimbursement.