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5. PROPERTY, PLANT AND EQUIPMENT, NET
 3 Months Ended
Mar. 31, 2016
Property, Plant and Equipment [Abstract]  
5. PROPERTY, PLANT AND EQUIPMENT, NET

Property, plant and equipment, net consist of the following:

 

   

March 31,

2016

    

December 31,

2015

  
At cost:            
Mineral rights   $ 6,161,886     $ 6,131,230  
Buildings     68,968,483       68,510,164  
Plant and machinery     196,272,356       195,295,877  
Motor vehicles     8,892       8,847  
Furniture, fixtures and office equipment     4,888,942       4,864,619  
Construction in process     -       57,596  
Total     276,300,559       274,868,333  
Less: Accumulated depreciation and amortization     (154,589,285 )     (146,997,010 )
Net book value   $ 121,711,274     $ 127,871,323  

 

The Company has certain buildings and salt pans erected on parcels of land located in Shouguang, PRC, and such parcels of land are collectively owned by local townships or the government authority. The Company has not been able to obtain property ownership certificates over these buildings and salt pans. The aggregate carrying values of these properties situated on parcels of the land are $42,097,598 and $42,526,151 as at March 31, 2016 and December 31, 2015, respectively.

 

During the three-month period ended March 31, 2016, depreciation and amortization expense totaled $6,786,400, of which $6,438,140 and $348,260 were recorded as cost of net revenue and administrative expenses, respectively. During the three-month period ended March 31, 2015, depreciation and amortization expense totaled $7,290,364, of which $6,932,259 and $358,105 were recorded as cost of net revenue and administrative expenses, respectively.