Company: GURE
Filing Date: 2025-05-13
Form Type: 10-Q
Source: 0001193805-25-000638
Chunk: 35

Company: GULF RESOURCES, INC.
Filing Date: 2025-05-13
Form: 10-Q
Item: Part I, Item 1
Chunk 35
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 bromine and natural gas, respectively. Pursuant to the Opinions of the Ministry of Natural Resources on Several Issues
in Promoting the Reform of Mineral Resources Management (Trial) promulgated by the Ministry of Natural Resources of PRC on January 9,
2020, which came into effect on May 1, 2020, privately owned enterprises are allowed to participate in the natural gas production. The
Company plans to proceed with its applications for the natural gas and brine project approvals with related government departments after
the governmental planning has finalized the land and resource planning for Sichuan Province.

In April 2022, Shouguang Hengde Salt Industry
Co. Ltd（“ SHSI”）, our subsidiary, was incorporated in Shandong Province, China, for crude salt production and
trading.

On January 28, 2020 we
completed a 1-for-5 reverse stock split of our common stock, such that for each five shares outstanding prior to the stock split there
was one share outstanding after the reverse stock split. All shares of common stock referenced in this report have been adjusted
to reflect the stock split figures.

Acquisition Agreements

In June 2024, a wholly owned
subsidiary of the Company, Shouguang Hengde Salt Industry Co. Ltd ( “ SHSI”) entered into crude salt field acquisition agreements
with Shouguang Qingshuibo Farm Co., LTD. (“ Seller A”), Shouguang city Yangkou town Dingjia Zhuangzi village stock economic
cooperative (“ Seller B”), Shouguang city Yangkou town Shanjia Zhuangzi village stock economic cooperative (“ Seller C”),
Shouguang City Yangkou town Zhengjia Zhuangzi village stock economic cooperative (“ Seller D”), and Shouguang city Yangkou
town Renjia Zhuangzi village stock economic cooperative (“ Seller E”), respectively, as amended in December 2024. A summary
of these agreements are set forth below:

On June 26, 2024, SHSI entered
into an acquisition agreement with Seller A, pursuant to which Seller A agrees to transfer to SHSI, and SHSI agrees to purchase, 2,380,000
square meters of crude salt field (including the land lease fee) for RMB54.40 per square meter, with the total transfer price of RMB129,472,000.
The term of transfer is from