Puda Coal’s subsidiary, Shanxi Puda Coal
(Shanxi Coal), entered into coal mining
rights and mining assets transfer agreements
with Da Wa Coal and Guanyao Coal
in Pinglu County during December. Mining
premium high grade metallurgical coking
coal in China, Puda currently possesses
3.5 million metric tons (mt) of annual coking
coal capacity. During September, the
Shanxi provincial government appointed
Shanxi Coal as a consolidator of eight coal
mines in Yucheng City, Pinglu County.
Upon closing of the deal valued at $27.8
million, Puda Coal plans to expand the two
coal mines from current annual capacities of
300,000 mt and 150,000 mt to 600,000
mt and 300,000 mt, respectively. The company
expects to complete the restructuring
projects within a year, without disrupting
existing capacity and operations of the coal
mines. Both Da Wa Coal and Guanyao Coal
have reserves of high quality thermal coal.
As featured in Womp 2010 Vol 01 - www.womp-int.com