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BUSINESS SEGMENTS | 6 Months Ended
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Jun. 30, 2021
Segment Reporting [Abstract] |
BUSINESS SEGMENTS | NOTE 14 – BUSINESS SEGMENTS An operating segment’s performance is primarily evaluated based on segment operating income, which excludes share-based compensation expense, certain corporate costs and other income not associated with the operations of the segment. These corporate costs (income) are separately stated below and also include costs that are related to functional areas such as accounting, treasury, information technology, legal, human resources, and internal audit. The Company believes that segment operating income, as defined above, is an appropriate measure for evaluating the operating performance of its segments. All the customers are located in PRC.
Three-Month Period Ended June 30, 2021 |  | Bromine* |  | Crude Salt* |  | Chemical Products |  | Natural Gas |  | Segment Total |  | Corporate |  | Total
Net revenue (external customers) |  | $ | 10,025,438 |  |  | $ | 1,122,570 |  |  | $ | — |  |  | $ | — |  |  | $ | 11,148,008 |  |  | $ | — |  |  | $ | 11,148,008 |
Net revenue (intersegment) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Income(loss) from operations before income tax benefit |  |  | 2,682,233 |  |  |  | (578,435 | ) |  |  | (741,312 | ) |  |  | (62,850 | ) |  |  | 1,299,636 |  |  |  | (3,682,445 | ) |  |  | (2,382,809 | )
Income tax benefit |  |  | (672,696 | ) |  |  | 145,070 |  |  |  | 171,146 |  |  |  | — |  |  |  | (356,480 | ) |  |  | — |  |  |  | (356,480 | )
Income (loss) from operations after income tax benefit |  |  | 2,009,537 |  |  |  | (433,365 | ) |  |  | (570,166 | ) |  |  | (62,850 | ) |  |  | 943,156 |  |  |  | (3,682,445 | ) |  |  | (2,739,289 | )
Total assets |  |  | 138,872,887 |  |  |  | 32,840,392 |  |  |  | 122,381,338 |  |  |  | 1,846,367 |  |  |  | 295,940,984 |  |  |  | 484,076 |  |  |  | 296,425,060 |
Depreciation and amortization |  |  | 2,610,442 |  |  |  | 1,403,262 |  |  |  | 68,874 |  |  |  | 37,929 |  |  |  | 4,120,507 |  |  |  | — |  |  |  | 4,120,507 |
Capital expenditures |  |  | — |  |  |  | — |  |  |  | 5,806,435 |  |  |  | — |  |  |  |  |  |  |  | — |  |  |  | 5,806,435 |
Three-Month Period Ended June 30, 2020 |  | Bromine* |  | Crude Salt* |  | Chemical Products |  | Natural Gas |  | Segment Total |  | Corporate |  | Total
Net revenue (external customers) |  | $ | 4,487,017 |  |  | $ | 872,466 |  |  | $ | — |  |  | $ | — |  |  | $ | 5,359,483 |  |  | $ | — |  |  | $ | 5,359,483 |
Net revenue (intersegment) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Income(loss) from operations before income tax benefit |  |  | (1,479,084 | ) |  |  | (611,472 | ) |  |  | (654,652 | ) |  |  | (53,270 | ) |  |  | (2,798,478 | ) |  |  | (155,074 | ) |  |  | (2,953,552 | )
Income tax benefit |  |  | 350,708 |  |  |  | 172,849 |  |  |  | 149,076 |  |  |  | — |  |  |  | 672,633 |  |  |  | — |  |  |  | 672,633 |
Income (loss) from operations after income tax benefit |  |  | (1,128,376 | ) |  |  | (438,623 | ) |  |  | (505,576 | ) |  |  | (53,270 | ) |  |  | (2,125,845 | ) |  |  | (155,074 | ) |  |  | (2,280,919 | )
Total assets |  |  | 115,956,839 |  |  |  | 38,299,428 |  |  |  | 108,862,565 |  |  |  | 1,599,014 |  |  |  | 264,717,846 |  |  |  | 70,367 |  |  |  | 264,788,213 |
Depreciation and amortization |  |  | 3,038,936 |  |  |  | 919,003 |  |  |  | 111,797 |  |  |  | 34,598 |  |  |  | 4,104,334 |  |  |  | — |  |  |  | 4,104,334 |
Capital expenditures |  |  | — |  |  |  | — |  |  |  | 2,443,931 |  |  |  | — |  |  |  | 2,443,931 |  |  |  | — |  |  |  | 2,443,931 |
* Certain common production overheads, operating and administrative expenses and asset items (mainly cash and certain office equipment) of bromine and crude salt segments in SCHC were split by reference to the average selling price and production volume of respective segment.
Six-Month Period Ended June 30, 2021 |  | Bromine* |  | Crude Salt* |  | Chemical Products |  | Natural Gas |  | Segment Total |  | Corporate |  | Total
Net revenue (external customers) |  | $ | 14,836,428 |  |  | $ | 1,570,823 |  |  | $ | — |  |  | $ | — |  |  | $ | 16,407,251 |  |  | $ | — |  |  | $ | 16,407,251 |
Net revenue (intersegment) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Loss from operations before income tax benefit |  |  | 1,402,668 |  |  |  | (1,588,020 | ) |  |  | (1,487,781 | ) |  |  | (117,637 | ) |  |  | (1,790,770 | ) |  |  | (3,873,463 | ) |  |  | (5,664,233 | )
Income tax benefit |  |  | (353,828 | ) |  |  | 397,466 |  |  |  | 343,591 |  |  |  | — |  |  |  | 387,229 |  |  |  | — |  |  |  | 387,229 |
Loss from operations after income tax benefit |  |  | 1,048,840 |  |  |  | (1,190,554 | ) |  |  | (1,144,190 | ) |  |  | (117,637 | ) |  |  | (1,403,541 | ) |  |  | (3,873,463 | ) |  |  | (5,277,004 | )
Total assets |  |  | 138,872,887 |  |  |  | 32,840,392 |  |  |  | 122,381,338 |  |  |  | 1,846,367 |  |  |  | 295,940,984 |  |  |  | 484,076 |  |  |  | 296,425,060 |
Depreciation and amortization |  |  | 5,531,131 |  |  |  | 2,480,722 |  |  |  | 137,481 |  |  |  | 75,530 |  |  |  | 8,224,864 |  |  |  | — |  |  |  | 8,224,864 |
Capital expenditures |  |  | — |  |  |  | — |  |  |  | 5,806,435 |  |  |  | — |  |  |  |  |  |  |  | — |  |  |  | 5,806,435 |
Six-Month Period Ended June 30, 2020 |  | Bromine* |  | Crude Salt* |  | Chemical Products |  | Natural Gas |  | Segment Total |  | Corporate |  | Total
Net revenue (external customers) |  | $ | 4,949,863 |  |  | $ | 967,290 |  |  | $ | — |  |  | $ | — |  |  | $ | 5,917,153 |  |  | $ | — |  |  | $ | 5,917,153 |
Net revenue (intersegment) |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |  |  |  | — |
Loss from operations before income tax benefit |  |  | (4,345,522 | ) |  |  | (2,125,054 | ) |  |  | (1,365,561 | ) |  |  | (102,116 | ) |  |  | (7,938,253 | ) |  |  | 149,272 |  |  |  | (7,788,981 | )
Income tax benefit |  |  | 1,068,146 |  |  |  | 551,245 |  |  |  | 309,685 |  |  |  | — |  |  |  | 1,929,076 |  |  |  | — |  |  |  | 1,929,076 |
Loss from operations after income tax benefit |  |  | (3,277,376 | ) |  |  | (1,573,809 | ) |  |  | (1,055,876 | ) |  |  | (102,116 | ) |  |  | (6,009,177 | ) |  |  | 149,272 |  |  |  | (5,859,905 | )
Total assets |  |  | 115,956,839 |  |  |  | 38,299,428 |  |  |  | 108,862,565 |  |  |  | 1,599,014 |  |  |  | 264,717,846 |  |  |  | 70,367 |  |  |  | 264,788,213 |
Depreciation and amortization |  |  | 5,236,780 |  |  |  | 2,027,445 |  |  |  | 225,281 |  |  |  | 69,718 |  |  |  | 7,559,224 |  |  |  | — |  |  |  | 7,559,224 |
Capital expenditures |  |  | 3,157,669 |  |  |  | 646,752 |  |  |  | 6,055,721 |  |  |  | — |  |  |  | 9,860,142 |  |  |  | — |  |  |  | 9,860,142 |
* Certain common production overheads, operating and administrative expenses and asset items (mainly cash and certain office equipment) of bromine and crude salt segments in SCHC were split by reference to the average selling price and production volume of the respective segment.
|  | Three-Month Period Ended June 30, |  | Six-Month Period Ended June 30,
Reconciliations |  | 2021 |  | 2020 |  | 2021 |  | 2020
Total segment operating loss |  | $ | 1,299,636 |  |  | $ | (2,798,478 | ) |  | $ | (1,790,770 | ) |  | $ | (7,938,253 | )
Corporate costs |  |  | (3,193,107 | ) |  |  | (136,956 | ) |  |  | (3,279,313 | ) |  |  | (233,059 | )
Unrealized gain on translation of intercompany balance |  |  | (489,338 | ) |  |  | (18,118 | ) |  |  | (594,150 | ) |  |  | 382,331 |
Loss from operations |  |  | (2,382,809 | ) |  |  | (2,953,552 | ) |  |  | (5,664,233 | ) |  |  | (7,788,981 | )
Other income, net of expense |  |  | 36,069 |  |  |  | 36,300 |  |  |  | 71,660 |  |  |  | 75,528 |
Loss before taxes |  | $ | (2,346,740 | ) |  | $ | (2,917,252 | ) |  | $ | (5,592,573 | ) |  | $ | (7,713,453 | )
The following table shows the major customer(s) (10% or more) for the three-month period ended June 30, 2021. Business Segments - Schedule of Revenue by Major Customers
Number |  | Customer |  | Bromine (000’s) |  | Crude Salt (000’s) |  | Chemical Products (000’s) |  | Total Revenue (000’s) |  | Percentage of Total Revenue (%)
1 |  | Shandong Morui Chemical Company Limited |  | $ | 1,752 |  |  | $ | 420 |  |  | $ | — |  |  | $ | 2,172 |  |  |  | 19.5 | %
2 |  | Shouguang Weidong Chemical Company Limited |  | $ | 1,222 |  |  | $ | 390 |  |  | $ | — |  |  | $ | 1,612 |  |  |  | 14.5 | %
3 |  | Shandong Brother Technology Limited |  | $ | 1,196 |  |  | $ | 313 |  |  | $ | — |  |  | $ | 1,509 |  |  |  | 13.5 | %
The following table shows the major customer(s) (10% or more) for the six-month period ended June 30, 2021.
Number |  | Customer |  | Bromine (000’s) |  | Crude Salt (000’s) |  | Chemical Products (000’s) |  | Total Revenue (000’s) |  | Percentage of Total Revenue (%)
1 |  | Shandong Morui Chemical Company Limited |  | $ | 2,648 |  |  | $ | 589 |  |  | $ | — |  |  | $ | 3,237 |  |  |  | 19.7 | %
2 |  | Shouguang Weidong Chemical Company Limited |  | $ | 1,925 |  |  | $ | 498 |  |  | $ | — |  |  | $ | 2,423 |  |  |  | 14.8 | %
3 |  | Shandong Brother Technology Limited |  | $ | 1,830 |  |  | $ | 485 |  |  | $ | — |  |  | $ | 2,315 |  |  |  | 14.1 | %
The following table shows the major customer(s) (10% or more) for the three-month period ended June 30, 2020.
Number |  | Customer |  | Bromine (000’s) |  | Crude Salt (000’s) |  | Chemical Products (000’s) |  |  | Total Revenue (000’s) |  | Percentage of Total Revenue (%)
1 |  | Shandong Morui Chemical Company Limited |  | $ | 809 |  |  | $ | 321 |  |  | $ | — |  |  | $ | 1,130 |  |  | 21.1 | %
2 |  | Shouguang Weidong Chemical Company Limited |  | $ | 982 |  |  | $ | 251 |  |  | $ | — |  |  | $ | 1,233 |  |  | 23 | %
3 |  | Shandong Brother Technology Limited |  | $ | 550 |  |  | $ | 300 |  |  | $ | — |  |  | $ | 850 |  |  | 15.8 | %
4 |  | Shandong Shouguang Shenrunfa Ocean Chemical Company Limited |  | $ | 711 |  |  | $ | — |  |  | $ | — |  |  | $ | 711 |  |  | 13.3 | %
5 |  | Dongying Bomeite Chemical Company Limited |  | $ | 537 |  |  | $ | — |  |  | $ | — |  |  | $ | 537 |  |  | 10 | %
The following table shows the major customer(s) (10% or more) for the six-month period ended June 30, 2020.
Number |  | Customer |  | Bromine (000’s) |  | Crude Salt (000’s) |  | Chemical Products (000’s) |  | Total Revenue (000’s) |  | Percentage of Total Revenue (%)
1 |  | Shandong Morui Chemical Company Limited |  | $ | 879 |  |  | $ | 321 |  |  | $ | — |  |  | $ | 1,200 |  |  |  | 20.3 | %
2 |  | Shouguang Weidong Chemical Company Limited |  | $ | 1,047 |  |  | $ | 251 |  |  | $ | — |  |  | $ | 1,298 |  |  |  | 21.9 | %
3 |  | Shandong Brother Technology Limited |  | $ | 609 |  |  | $ | 300 |  |  | $ | — |  |  | $ | 909 |  |  |  | 15.4 | %
4 |  | Shandong Shouguang Shenrunfa Ocean Chemical Company Limited |  | $ | 768 |  |  | $ | — |  |  | $ | — |  |  | $ | 768 |  |  |  | 13 | %
5 |  | Dongying Bomeite Chemical Company Limited |  | $ | 607 |  |  | $ | — |  |  | $ | — |  |  | $ | 607 |  |  |  | 10.3 | %

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- Definition The entire disclosure for reporting segments including data and tables. Reportable segments include those that meet any of the following quantitative thresholds a) it's reported revenue, including sales to external customers and intersegment sales or transfers is 10 percent or more of the combined revenue, internal and external, of all operating segments b) the absolute amount of its reported profit or loss is 10 percent or more of the greater, in absolute amount of 1) the combined reported profit of all operating segments that did not report a loss or 2) the combined reported loss of all operating segments that did report a loss c) its assets are 10 percent or more of the combined assets of all operating segments. + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 31 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8924-108599 Reference 2: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 34 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8981-108599 Reference 3: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (a) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 4: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 40 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9031-108599 Reference 5: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (f) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 6: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (e) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 7: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 26 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8844-108599 Reference 8: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 41 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9038-108599 Reference 9: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 32 -Subparagraph (d) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8933-108599 Reference 10: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 22 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8736-108599 Reference 11: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 42 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e9054-108599 Reference 12: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 15 -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8657-108599 Reference 13: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -SubTopic 10 -Section 50 -Paragraph 21 -Subparagraph (b) -URI http://asc.fasb.org/extlink&oid=123359005&loc=d3e8721-108599 Reference 14: http://www.xbrl.org/2003/role/disclosureRef -Publisher FASB -Name Accounting Standards Codification -Topic 280 -URI http://asc.fasb.org/topic&trid=2134510 + Details
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