A Closer Look at China Natural Resources (CHNR)

First off, I am drooling to short this China Natural Resources (CHNR). It might be the first thing I do on Monday morning. Don't let the name of the company fool you. This is NOT an oil, gas, or precious metal company.

From Yahoo Finance :
CHNR "...provides advertising, promotion, and public relations services in Hong Kong and Mainland China."

I don't think advertising counts as a natural resource.

CHNR is acquiring a mining company that made $5 million in 2004. There is no financial information for 2005 on Feishang Mining. 4,500,000 warrants will be issued along with CHNR common stock to Feishang Mining shareholders. CHNR claims to have 1,250,000 shares outstanding as of 2/4/06 (Source: Yahoo Finance).

CHNR Facts

• No financials for 2005
• Never made a profit in company history
• No company website/investor relations
• No institutional ownership
• "Deal" with Feishang Mining Holdings Ltd will dilute “earnings”