China Natural Resources (NASDAQ:CHNR) saw its net loss widen in the first half of 2025, even as the company aggressively cut overhead and continued exploration at its lead-silver mine in Inner Mongolia.
For the six months ended June 30, 2025, the company reported a net loss of CNY1.27 million ($0.18 million), compared to a loss of CNY0.12 million in the prior-year period.
While the firm successfully reduced administrative expenses by 21% to CNY3.14 million through tightened expense controls, it was offset by a significant drop in fair value gains from financial instruments, which fell to CNY1.88 million from CNY3.86 million a year ago.
The company’s balance sheet remains under pressure, with cash and cash equivalents sliding to just $0.10 million at the end of June.
Despite the liquidity crunch, management reaffirmed its commitment to the Wulatehouqi Moruogu Tong Mine, where exploration permits are currently active through September 2026.
The primary focus for investors remains the company’s ambitious $1.75 billion planned acquisition of Williams Minerals, which operates a lithium mine in Zimbabwe.
Initially announced in 2023, the deal—which would be a transformational pivot for the tiny holding company—has faced repeated delays.
Management stated it is still "using its best endeavors" to resolve the conditions precedent required to close the transaction.
The company also recently completed an 8-to-1 reverse share split in June 2025 to regain compliance with Nasdaq’s $1.00 minimum bid price rule.
While the split successfully lifted the nominal share price, the stock has remained volatile, ending the year near $3.59 with a market capitalization of approximately $4.3 million.