Exploration Rights

The Moruogu Tong Mine, the main property of CHNR’s operating subsidiary Bayannaoer Mining, is located in Wulatehouqi, Bayannaoer City, in the Inner Mongolia Autonomous Region of the PRC. The current exploration permit for Moruogu Tong Mine runs from September 14, 2017 to September 13, 2019 and covers a site area of 10.43 square kilometers. The exploration program at the mine has indicated the presence of a “mid-size” deposit of lead and silver ore and resources sufficient in quantity and quality to warrant further exploration designed to confirm and increase measured resources, with the prospect of identifying other minable metal resources such as copper. Further exploration is underway, and upon completion of exploration works and the application for a mining permit, mine construction will follow.