Company: CHNR
Filing Date: 2025-12-31
Form Type: 6-K
Source: 0001553350-25-000219
Chunk: 16

Company: CHINA NATURAL RESOURCES INC
Filing Date: 2025-12-31
Form: 6-K
Chunk 16
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| CHINA NATURAL RESOURCES, INC. AND SUBSIDIARIESNOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)(Amounts in thousands, except share and per share data) |

| 14. |     | FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (CONTINUED) |

| (a) |     | Credit risk (continued) |

Management also makes periodic collective
assessments for other receivables and amounts due from related companies as well as individual assessments of the recoverability of other
receivables based on historical settlement records, past experience and other factors. The Group classified other receivables and amounts
due from related companies in Stage 1 and continuously monitored their credit risk. Management believes that there is no material credit
risk inherent in the Group’s outstanding balance of other receivables as of December 31, 2024 and June 30, 2025.

The Group does not provide any guarantees
that would expose the Group to credit risk. There are no further quantitative disclosures in respect of the Group’s exposure to
credit risk arising from financial assets as of December 31, 2024 and June 30, 2025.

Cash and cash equivalents

The Group maintains its cash and cash
equivalents primarily with various PRC state-owned banks and Hong Kong based financial institutions, which management believes are of
high credit quality. The Group performs periodic evaluations of the relative credit standing of those financial institutions.

| (b) |     | Foreign currency risk |

Foreign currency risk primarily arises
from certain significant foreign currency deposits denominated in US$ and HK$ and related exposures are disclosed in Note 11. The Group
Treasury closely monitors the international foreign currency market on the change of exchange rates and takes these into consideration
when investing in foreign currency deposits and borrowing loans.

CNY is not freely convertible into foreign
currencies. The State Administration for Foreign Exchange, under the authority of the People's Bank of China, controls the conversion
of CNY into foreign currencies. The value of CNY is subject to changes in PRC government policies and to international economic and political
developments affecting the supply and demand in the China Foreign Exchange Trading System market. All foreign exchange transactions continue
to take place either through the People's Bank of China or other banks authorized to buy and sell foreign currencies at the exchange rates
quoted by the People's Bank of China.

There is no significant exposure to