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Business Overview
Coal Mines Overview
 - Xingwu Coal Mine
 - Jinjiazhuang Coal Mine
 - Zhaiyadi Coal Mine
Coal Preparation Plants
Overview
Major Clients
 

The Group is principally engaged in coking coal mining and production and sales of raw and clean coking coal. It is one of the few coal corporations which own the complete production chain ranging from coal resources, coal preparation plants to coke plant. The major businesses of the Group are : Coal mining business / Coal processing business / Coal chemical business

Locations of the Group's Coal Mines

 

Coal mining business : The Group currently owns three coal mines in Liulin County, Shanxi Province. The in-place reserves and recoverable reserves of Xingwu Coal Mine is 63.23 million tons and 46.34 million tons respectively. The in-place reserves and recoverable reserves of Jinjiazhuang Coal Mine is 64.18 million tons and 43.8 million tons respectively. The in-place reserves and recoverable reserves of Zhaiyadi Coal Mine is 78.34 million tons and 52.21 million tons respectively. Currently, the planned raw coal production capacity of each coal mine is 2.1 million tons per annum. The three coal mines are primarily engaged in the production of hard coking coal and semi- hard coking coal with a total production capacity of 6.3 million tons per annum.

Coal processing business : Each of the coal mines currently owned by the Group has installed or is installing independent coal preparation plant. The coal preparation plant of Xingwu Coal Mine has commenced operation with an annual processing volume of 1.2 million tons. The coal preparation plant of Xingwu Coal Mine has commenced operation with an annual processing volume of 1.2 million tons. Jinjiazhuang coal preparation plant, which has an annual processing volume of 3 million tons, has commenced operation in June. Zhaiyadi Mine is also constructing a coal preparation plant with an annual processing volume of 3 million tons. It is expected to commence operation in the end of 2009. In addition, Jinshan coal preparation plant has an annual processing volume of 5 million tons and is expected to complete construction in the second quarter of 2010.

Coal chemical business : The Group's coke plant in Xiaoyi City, Shanxi Province, has commenced production since the end of June 2008. Its planned production capacity is 1 million tons per annum.

The integrated business model of the Group has enhanced its operating efficiency and reduced its production cost. In addition, the Group's coal mines are adjacent to major road and railway network, 4 kilometers away from major expressways, and 10 kilometers away from the Tai-Zhong-Yin (Taiyuan-Zhongwei-Yinchuan) Railway under construction. The Group will construct a 7-kilometer-long railway to connect its three coal mines to the national railway network, with a view to be in line with the Golden Line (namely, the three major railroad lines in Shanxi Province through which coal is transported to five ports, including Da-Qin Line, Shi-Tai Line and Hou-Yue Line) for the coal transportation hub in Shanxi Province. This will not only enhance our transportation capability, but also fortify the competitive edge of the Group.

 

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