Company: CHNR
Filing Date: 2025-05-15
Form Type: 424B5
Source: 0001079973-25-000830
Chunk: 63

Company: CHINA NATURAL RESOURCES INC
Filing Date: 2025-05-15
Form: 424B5
Chunk 63
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 of the RMB
against the U.S. Dollar and other currencies may fluctuate and is affected by, among other things, changes in the PRC’s political
and economic conditions. As most of our operating expenses are denominated in RMB, any significant revaluation of the RMB may materially
and adversely affect our cash flows and financial condition. Additionally, if we convert our RMB into U.S. Dollars, to pay dividends on
our common shares or for other business purposes, depreciation of the RMB against the U.S. Dollar would negatively affect the amount of
U.S. Dollars we convert our RMB into. Conversely, to the extent that we need to convert U.S. Dollars we receive from an offering of our
securities or otherwise into RMB for our operations, the appreciation of the RMB against the U.S. Dollar could have an adverse effect
on our financial condition and result in a charge to our income statement and a reduction in the value of these U.S. Dollar denominated
assets.

In 2022, the U.S. Dollar
appreciated against the RMB by 9.1% over the course of the year.

PRC
SAFE regulations regarding offshore financing activities by PRC residents have undergone changes which may increase the administrative
burden we face and create regulatory uncertainties that could adversely affect us, and a failure by our shareholders who are PRC residents
to make any required applications and filings pursuant to such regulations may prevent us from being able to distribute profits and could
expose us and our PRC resident shareholders to liability under PRC law.

In July 2014, SAFE promulgated
the Circular on Relevant Issues Concerning Foreign Exchange Control on Domestic Residents’ Offshore Investment and Financing and
Roundtrip Investment Through Special Purpose Vehicles (“SAFE Circular 37”). SAFE Circular 37 requires PRC residents (including
PRC individuals and PRC corporate entities as well as foreign individuals that are deemed PRC residents for foreign exchange administration
purposes) to register with SAFE or its local branches in connection with their direct or indirect offshore investment activities. SAFE
Circular 37 further requires an amendment to a SAFE registration in the event of any changes with respect to the basic information of
the offshore special purpose vehicle, such as a change in the PRC shareholders, the names of such special purpose vehicle, and the operation
term of such special purpose vehicle, or any significant changes with respect to the offshore special purpose vehicle, such as an increase
or decrease