Small business scale with operations in a cyclical and capital intensive industry. Revenue and profitability are vulnerable to highly volatile commodity prices. Diversified business portfolio in various commodity industries with a focus on crude oil. Strong parent support. High debt level. Cash flows highly exposed to volatile commodity prices. Less than adequate liquidity. The stable outlook on CITIC Resources Holdings Ltd. over the next 12 months reflects our expectation that the company will continue to receive strong support from its parent, CITIC Group Corp. We do not expect any material improvement in CITIC Resources' operations even after factoring in a moderate recovery in oil prices. We expect CITIC Resources to remain highly leveraged over the next 12 months. We could
