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PROPERTY, PLANT AND EQUIPMENT, NET
 6 Months Ended
Jun. 30, 2021
Property, Plant and Equipment [Abstract]  
PROPERTY, PLANT AND EQUIPMENT, NET

NOTE 4 – PROPERTY, PLANT AND EQUIPMENT, NET

 

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

 

   June 30,
2021		  December 31,
2020
At cost:          
Mineral rights  $2,985,480   $2,955,780 
Buildings   64,668,005    64,024,667 
Plant and machinery   260,997,193    258,400,710 
Motor vehicles   31,724    6,553 
Furniture, fixtures and office equipment   3,353,441    3,318,564 
Construction in process   23,271,504    12,095,565 
Total   355,307,347    340,801,839 
Less: Accumulated depreciation and amortization   (183,189,944)   (173,212,554)
     Impairment   (18,828,910)   (18,641,596)
Net book value  $153,288,493   $148,947,689 

 

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 $18,587,921 and $19,302,600 as at June 30, 2021 and December 31, 2020, respectively.

 

During the three-month period ended June 30, 2021, depreciation and amortization expense totaled $4,119,073 of which $758,445, $163,868 and $3,196,760 were recorded in direct labor and factory overheads incurred during plant shutdown, administrative expenses and cost of net revenue. During the six-month period ended June 30, 2021,depreciation and amortization expense totaled $8,222,022 of which $2,575,227, $327,101 and $5,319,694 were recorded in direct labor and factory overheads incurred during plant shutdown, administrative expenses and cost of net revenue.

 

During the three-month period ended June 30, 2020, depreciation and amortization expense totaled $4,103,026 of which $1,167,114, $198,413 and $2,737,500 were recorded in direct labor and factory overheads incurred during plant shutdown, administrative expenses and cost of net revenue. During the six-month period ended June 30, 2020, depreciation and amortization expense totaled $7,556,589 of which $3,745,884, $399,819 and $3,410,886 were recorded in direct labor and factory overheads incurred during plant shutdown, administrative expenses and cost of net revenue.