Coal companies in Southwest China’s Guizhou province get eager to source capitals to finance mine projects by various channels, such as initial public offering (IPO), amid the province’s campaign to consolidate coal resources, media reported.
With the coal industry expected to be further centralized in Guizhou, the top production base of the fossil fuel in Southwest China, more and more local coal producers attempt to go public to raise enough capital for further deployment of their blueprints.
Guizhou Shuicheng Coal Mining Co. Ltd., jointly established by the state-owned Shuicheng Coal Mining Group Co., Ltd. and ten strategic investors, is busy with its IPO application, hoping to get listed by the end of this year.
With thermal coal, chemical coal and new coal chemical as its main businesses, Shuicheng Coal Mining has nine mines in operation and six others under construction with production capacity at 11.51 million tonnes and 11.25 million tonnes per annum respectively. In addition, the company plans to build nine more mines with annual capacity of 16.5 million tonnes.
Backed up such ambitious drive, coal output is predicted to reach 30 million tonnes and 50 million tonnes by 2015 and 2020 respectively.
Other local mines consolidated by producers from Yun and Hunan are also keen on getting listed to finance their development plans.
Sharpei