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Kailuan eyes 50% more coal output in 2010

Kailuan eyes 50% more coal output in 2010

Write: Shari [2011-05-20]

China's coal producer Kailuan Group plans to raise coal output by nearly 20 million tons, or 50 percent, to 60 million tons this year, a top company official said on Tuesday.

The group produced 40.45 million tons of coal in 2009.

Kailuan aims to further increase production to 100 million tons by 2015, Chairman Zhang Wenxue told reporters on the sidelines of a McCloskey coal conference.

The parent of Kailuan Energy Chemical will also increase coal purchases, mainly coking coal, from overseas markets, though the exact volumes are subject to price changes in the second half of the year, Zhang said.

"There will be change in types of imported coal. Imports of hard coking coal will gradually increase," Zhang said.

He said the company had planned two coal reserve bases along the Bohai Bay with handling capacity of 100 million tons per year and construction would start very soon.

"The base at Caofeidian will handle thermal coal, and the one at Jingtang Port to handle coking coal."

Zhang said the firm has accumulated 4.5 billion tons of coal resources in northwestern Xinjiang region, where many other big Chinese firms have also committed huge investments in coal, power, oil and development of other resources.