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Yanzhou Coal gets nod for huge coal project in Ordos
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Yanzhou Coal gets nod for huge coal project in Ordos
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Publish time:
16
th
July, 2015
Source:
www.cnchemicals.com
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YanzhouCoalMiningCo.,Ltd.’ssubsidiaryOrdosEnergyandChemicalCo.,Ltd. has obtained approval from the National Development and Reform Commissionfor Zhuanlongwan
coal
mine and washing plant project, the parent company said late July 14.The mine has a designed production capacity of 5 million tonnes per annum, and a washing plant of the same capacity will also be constructed.Located in Ejin Horo Banner of Ordos, the project is estimated to cost 2.359 billion yuan ($385 million).Ordos Energy and Chemicalproduced 11.19 million tonnes of raw coal in the first quarter, a year-on-year rise of 8.64%, while its commercial coal sales leaped 13.34% on year to 11.3 million tonnes.It was the only subsidiary of Yanzhou Coal that registered a year-on-year rise in average sales prices during the period, which rose4.82% from a year ago to 186.69 yuan/t.The subsidiary is still confident in putting investment into new mines on its high competitiveness. Yet, the chronic supply glut and low prices amid subdued demand may decrease its earnings in the future.The Q1 profit of Yanzhou Coal slumped 17.74% on year to 218 million yuan; the 2014 profit saw 79.68% climb on year to 2.284 billion yuan.Yanzhou Coal has been making efforts to invest in coal projects in coal-rich Inner Mongolia. Its Shiwulasu Mine is expected to come on stream by end-2015, and Yinpanhao Mine is set to commence trial operation in July 2016.
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