Company: CHNR
Filing Date: 2025-01-27
Form Type: POS AM
Source: 0001079973-25-000143
Chunk: 26

Company: CHINA NATURAL RESOURCES INC
Filing Date: 2025-01-27
Form: POS AM
Chunk 26
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 “resident enterprise” for PRC enterprise income
tax purposes; such classification could result in unfavorable tax consequences to us and our non-PRC shareholders.” To the extent
cash in the business is in the PRC/Hong Kong or a PRC/Hong Kong entity, the funds may not be available to fund operations or for other
use outside of the PRC/Hong Kong due to interventions in or the imposition of restrictions and limitations on the ability of our Company
or our subsidiaries by the PRC government to transfer cash. For detailed discussions, see “Prospectus Summary-Dividends and Other
Distributions” on the accompanying prospectus and “Risk Factors - Risks Relating to Our PRC Operations and Doing Business
in the PRC - Governmental control of currency conversion may affect payment of any dividends or foreign currency denominated obligations,
and the value of your investment.”

Implications of The Holding Foreign Companies Accountable Act

Pursuant
to the Holding Foreign Companies Accountable Act, as amended by the Consolidated Appropriations Act, 2023, or the HFCAA, if the SEC determines
that we have filed audit reports issued by a registered public accounting firm that has not been subject to inspections by the PCAOB for
two consecutive years, the SEC will prohibit our shares from being traded on a national securities exchange or in the over-the-counter
trading market in the United States. On December 16, 2021, the PCAOB issued a report on its determinations that it was unable to inspect
or investigate completely PCAOB-registered public accounting firms headquartered in mainland China and in Hong Kong, and our auditor was
subject to that determination. On December 15, 2022, the PCAOB issued a report that vacated its December 16, 2021 determination and removed
mainland China and Hong Kong from the list of jurisdictions where it is unable to inspect or investigate completely registered public
accounting firms. Each year, the PCAOB will determine whether it can inspect and investigate completely audit firms in mainland China
and Hong Kong, among other jurisdictions. If PCAOB determines in the future that it no longer has full access to inspect and investigate
completely accounting firms in mainland China or Hong Kong and we continue to use an accounting firm headquartered in one of these jurisdictions
to issue an audit report on our financial statements filed with the SEC, we would be identified as a Commission-Identified Issuer following
the filing of the annual report on Form 20-F