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20. RESEARCH AND DEVELOPMENT EXPENSES | 12 Months Ended
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Dec. 31, 2013
Notes to Financial Statements |
20. RESEARCH AND DEVELOPMENT EXPENSES | On September 6, 2007, SYCI and East China University of Science and Technology formally opened a Co-Op Research and Development Center. The research center is equipped with state of the art chemical engineering instruments for the purpose of pursuing targeted research and development of refined bromide compounds and end products. According to the Co-Op Research Agreement, any research achievement or patents will become assets of the Company. Originally, the Company will provide $500,000 annually until June 2012 to East China University of Science and Technology for research. On June 7, 2011, the Company and East China University of Science and Technology mutually agreed to terminate the Co-op Research Agreement due to the successful completion of the cooperative research and development tasks related to the development of bromine-related chemical products for the Company. The total research and development expenses recognized in the income statements during the years ended December 31, 2013 and 2012 were $140,445 and $164,586, respectively, of which the consumption of bromine produced by the company amounted to $36,158 and $41,598, respectively.

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