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Business

Coal

In 2016, under the continued deepening the supply-side reform of the coal industry, the Group proactively coped with the changes in industrial policies and market conditions to adjust the production volume in time according to regulations, so as to strengthen the profitability of the coal segment by quality enhancement and structural adjustment. During the year, commercial coal production volume of the Group reached 289.8 million tonnes (2015: 280.9 million tonnes), representing a year-on-year increase of 3.2%.

The Group implemented specialized division management. Production enterprises are responsible for production of coal, and Shenhua Trading Group is mainly responsible for sales of coal. Customers have different industry background, such as power, metallurgy, chemical and construction materials. In 2016, the Group adopted various measures to cope with the market volatility, increased the number of channels for coal resources procurement, enhanced the marketing efforts in the region of “the movement towards the shipping route from the northern sea to the Yangtze River” and clean coal market, and proactively promoted coal trading. Thus, the sales volume of coal amounted to 394.9 million tonnes (2015: 370.5 million tonnes), representing a year-on-year increase of 6.6%; among which the domestic sales volume of coal amounted to 386.2 million tonnes, accounting for 12.1% of the domestic sales volume of coal for the same period which amounted to 3.18 billion tonnes.

Coal Product Catalog

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Sort Coke series
Full Name Shenhua Grade Two Metallurgical Coke IV
Abbreviation Grade Two Metallurgical Coke IV
Coal Quality Index Total Moisture Ash Volatile Matter Total Sulfur Fixed Carbon Caking Index Maximum Thickness of Plastic Layer Revolving Drum Particle Size
Mt Ad Vdaf St,d Fc G Y m10 m40 m25  
  mm       mm
≤8 ≤13.5 ≤1.9 ≤0.8 ≥83     ≤8.0 ≥80 ≥90 <10
Year Marketable Coal Reserves(Million tonnes) Recoverable Coal Reserves(Million tonnes) Coal resource(Million tonnes)

2006

5,957

 

14,851

2007

6.982

10,886

16,970

2008

7,139

11,457

17,996

2009

6,638

10,754

16,795

2010

7,282

11,473

17,532

2011

9,350

15,254

25,142

2012

9,042

15,123

24,981

2013

8,725

14,838

24,971

2014

8,420

15,979

24,656

2015

8,140

15,740

24,310

2016

8,850

15,430

24,010

 

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