• Think of it as the Chinese equivalent of a diversified mining company like Teck Resources, but primarily focused on lead and silver.
• It's like a smaller, China-focused version of a global mining giant such as Rio Tinto or BHP, specializing in metals like lead and silver.
• Imagine a company like Barrick Gold, but instead of gold, they primarily mine lead and silver, and their operations are mainly in China.

• Lead: A heavy metal extracted from the company's mining operations.
• Silver: A precious metal obtained through the company's exploration and mining activities.
• Other Metal Deposits: Various other metals that the company extracts or plans to extract from its properties.

Major Customers of China Natural Resources (CHNR)

China Natural Resources, Inc. (CHNR) operates in the exploration and mining of metal properties, primarily for lead and silver deposits. As such, the company operates within a business-to-business (B2B) model, selling its raw metal concentrates to other industrial companies rather than to individual consumers.

While the company's public filings indicate a high concentration of revenue from a limited number of customers (for example, one customer accounted for approximately 78.4% of total revenue in 2022), the specific names of these major customer companies are not publicly disclosed in their SEC filings (such as their Form 20-F).

Therefore, based on the nature of their business, China Natural Resources' major customers would typically fall into the following categories of industrial buyers:

• Metal Smelters and Refiners: Companies that process raw metal concentrates (like lead and silver ores) to extract the pure metals. These are crucial intermediaries in the metal supply chain.
• Metal Traders and Brokers: Firms that specialize in buying and selling raw materials and commodities like metals, connecting miners with downstream manufacturers or other processors.
• Industrial Manufacturers: While less common for raw concentrates, some large manufacturers that directly utilize these metals in their production processes might purchase directly, though often through refiners or traders.

As the specific names of these customer companies are not available in public disclosures, their symbols (if public) cannot be provided.

Wah On Edward Wong, Chairman, President and Chief Executive Officer

Mr. Wong has served as the Chairman, President, and Chief Executive Officer of China Natural Resources, Inc. since August 2016. He previously held the position of Chief Financial Officer for the company. In late 2013/early 2014, he resigned from his officer and director roles at China Natural Resources to take on positions with Feishang Anthracite, a spun-off coal mining subsidiary, before returning to lead CHNR. His compensation in 2024 largely comprised equity, suggesting his wealth is primarily tied to his ownership stake or associated entities.

Yang Hongxia, Chief Financial Officer

Ms. Yang was appointed Chief Financial Officer of China Natural Resources, Inc. in October 2025. Prior to joining the company, she served as the chief financial officer of China Resources Vanguard (Holdings) Company Limited from 2023 to September 2025. From August 2020 to July 2023, she was the vice president, chief financial officer, and general manager of the finance department at China Resources Mixc Lifestyle Services Limited, a company listed on the Hong Kong Stock Exchange. Ms. Yang joined China Resources Group in 2004 and held various senior finance and administration roles within China Resources Land Limited, also a Hong Kong-listed company. She holds bachelor's and master's degrees in accounting.

Cheuk Ho Tam, Executive Vice President and Director

Mr. Tam is an Executive Vice President and Director of China Natural Resources, Inc. He has a long history with the company, having previously served as an Executive Vice President and Director. In 2013/2014, he resigned from these roles to assume positions with Feishang Anthracite, a coal mining subsidiary that was spun off, and has since either rejoined or remained as a director.

Peng Wenlie, Vice President

Mr. Peng serves as a Vice President of China Natural Resources, Inc.

Zou Yu, Vice President

Mr. Zou serves as a Vice President of China Natural Resources, Inc.

The key risks to China Natural Resources' business are primarily financial instability, a highly leveraged and uncertain acquisition strategy, and its reliance on exploration-stage assets with minimal current revenue generation.

1. Financial Instability and Nasdaq Delisting Threat: China Natural Resources operates as a micro-cap company with a very small market capitalization and has reported net losses. The company has explicitly flagged "going concern risk" in its amended 2024 annual report. Furthermore, it has faced notification from the Nasdaq Capital Market for non-compliance with the minimum bid price requirement, indicating a potential delisting risk if its share price does not recover. Its core mining activities contribute minimal revenue, with ¥0.00 total revenue reported in 2024, highlighting a fundamental lack of profitability.
2. High-Leverage and Uncertain Acquisition Strategy: The company is pursuing a substantial acquisition of Williams Minerals, a lithium mine in Zimbabwe, with a proposed consideration of US$1.75 billion. This amount is significantly larger than China Natural Resources' current market capitalization of approximately $4.43 million, making it an "extremely high-leverage move". The success of this acquisition, described as a "textbook Question Mark," is crucial for the company's future but carries immense financial and execution risks, with no guarantee of completion.
3. Reliance on Exploration-Stage Assets and Minimal Revenue from Core Operations: China Natural Resources' current operations are characterized by "exploration-stage activities" with its existing Moruogu Tong mine. Its core mining assets have shown minimal contribution to revenue, evidenced by a negative return profile. This means the company's financial health and future depend heavily on the speculative success of its exploration efforts and the profitable development of new mining projects, which is an inherently risky and uncertain business model.

• Increasingly stringent environmental regulations and enforcement in China's mining sector. The Chinese government has demonstrated a sustained and escalating commitment to environmental protection, resulting in stricter regulations and more rigorous enforcement within its mining industry. This trend leads to higher operational costs for compliance, potential production suspensions, and even the risk of mine closures if environmental standards are not met, directly impacting a company like China Natural Resources operating in the region.
• Declining long-term demand for lead due to technological shifts and the global energy transition. China Natural Resources explores for lead. A significant global trend is the accelerating adoption of alternative battery technologies, such as lithium-ion, displacing lead-acid batteries in many applications (e.g., electric vehicles, grid-scale energy storage). This ongoing technological shift, driven by the push towards decarbonization and electrification, represents a clear emerging threat to the long-term demand and price stability for lead.

China Natural Resources (CHNR) is primarily engaged in the exploration and mining of lead, silver, and other metal deposits in the Inner Mongolia Autonomous Region of the People's Republic of China.

Addressable Markets for China Natural Resources' Main Products:

• Lead: The lead mining market in China generated a revenue of approximately USD 3,903.5 million in 2022 and is projected to reach USD 4,418.1 million by 2030, growing at a compound annual growth rate (CAGR) of 1.6% from 2023 to 2030. In terms of consumption, China's lead market revenue rose to USD 14.7 billion in 2024 and is expected to reach USD 19 billion by 2035, with a forecasted CAGR of 2.4% from 2024 to 2035. China accounted for 42.2% of the global lead mining market in 2022 and is expected to lead the global market in terms of revenue by 2030.
• Silver: The silver market in China is projected to grow at a CAGR of 5.2% during the period of 2025–2031, driven by increasing demand in electronics, solar energy, and pharmaceuticals. More broadly, the China precious metal market, which includes silver, generated a revenue of USD 124,818.9 million in 2024 and is expected to reach USD 199,349.3 million by 2030, growing at a CAGR of 7.9% from 2025 to 2030. Within this, silver is noted as the most lucrative metal segment with the fastest growth during the forecast period.

Here are 3-5 expected drivers of future revenue growth for China Natural Resources (CHNR) over the next 2-3 years:

1. Acquisition and Operation of Williams Minerals Lithium Mine: China Natural Resources has agreed to acquire Williams Minerals, which operates a lithium mine in Zimbabwe, for a maximum consideration of US$1.75 billion. While there have been delays, the company is actively working to close the deal as soon as possible. Successfully completing this acquisition and bringing the lithium mine into operation would represent a significant expansion into a high-demand commodity market and a substantial driver of future revenue.
2. Increased Exploration and Potential Nickel Discovery at Moruogu Tong Mine: The company plans to accelerate exploration efforts and capital expenditures at its Moruogu Tong Mine in Inner Mongolia, specifically targeting nickel and other minerals in the southern part of the mine area. This increased investment aims to capitalize on high commodity prices and growing demand for raw materials.
3. Expansion into the Healthcare Sector in the PRC: China Natural Resources is actively exploring business opportunities in the healthcare sector within the People's Republic of China. The company views this as a growing and attractive market driven by an aging population, increasing disposable income, and rising health awareness, positioning it as a potential source of increased revenues.
4. Growth in Existing Mineral Exploration Activities: China Natural Resources continues to prudently invest in its core exploration activities at the Wulatehouqi Moruogu Tong Mine for lead, silver, and other nonferrous metals. Further successful exploration and eventual extraction from these deposits are expected to contribute to future revenue as the company works to extract additional value from this mine.
5. Strategic Mergers and Acquisitions (M&A) in Natural Resource and Other Sectors: The company's future development strategy emphasizes continuing its approach of mergers and acquisitions to grow its businesses. This broader strategy of acquiring reserves of natural resources and exploring opportunities in various sectors, including those outside of natural resources, is a key driver for long-term revenue growth.

Share Repurchases

No information available regarding share repurchases over the last 3-5 years.

Share Issuance

• In February 2024, China Natural Resources completed a registered direct placement of approximately US$3.27 million of common shares to certain institutional investors, alongside a concurrent private placement of warrants.
• In May and June 2025, the company announced and implemented an eight-to-one reverse share combination, effective June 12-13, 2025. This was intended to increase the per-share trading price to meet Nasdaq's minimum bid price requirement.

Inbound Investments

No information available regarding large inbound investments in the company by third-parties over the last 3-5 years.

Outbound Investments

• In 2023, China Natural Resources agreed to acquire Williams Minerals, which operates a lithium mine in Zimbabwe, for a maximum consideration of US$1.75 billion.
• The company disposed of Shanghai Onway Environmental Development Co., Limited in July 2023 to streamline resources.

Capital Expenditures

• China Natural Resources has been prudently investing in exploration activities at its Wulatehouqi Moruogu Tong Mine in Inner Mongolia to extract further value.