4. PROPERTY, PLANT AND EQUIPMENT, NET

6 Months Ended

Jun. 30, 2020

Property, Plant and Equipment [Abstract]

4. PROPERTY, PLANT AND EQUIPMENT, NET

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

	June 30, 2020			December 31, 2019
At cost:
Mineral rights	$	2,724,154		$	2,764,462
Buildings		59,007,466			59,880,567
Plant and machinery		231,247,364			234,669,007
Motor vehicles		6,039			6,129
Furniture, fixtures and office equipment		3,188,556			3,235,736
Construction in process		5,562,402			1,204,742
Total		301,735,981			301,760,643
Less: Accumulated depreciation and amortization		(151,706,607	)		(146,330,705	)
Impairment		(17,180,774	)		(17,434,989	)
Net book value	$	132,848,600		$	137,994,949

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 $18,725,141 and $19,894,947as at June 30, 2020 and December 31, 2019, respectively.

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.

During the three-month period ended June 30, 2019, depreciation and amortization expense totaled $3,586,272 of which $2,019,128, $222,444 and $1,344,700were 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, 2019,depreciation and amortization expense totaled $6,898,179 of which $5,086,024, $447,274 and $1,364,881 were recorded in direct labor and factory overheads incurred during plant shutdown, administrative expenses and cost of net revenue.