China’s state planner, National Development and Reform Commission (NDRC) has approved the construction of an open-pit mine project in Inner Mongolia.
In a statement provided on its website, the NDRC has approved the Shengli West No. 2 open-pit coal mine project, with a view to promote the construction of a large coal base in Mengdong, ensure the stable supply of energy, optimize the structure of the coal industry, and to facilitate the replacement of coal production capacity.
The total investment of the project is estimated around 1.957 Billion Yuan (excluding the price of mining rights). Out of the total amount, 595 Million Yuan, accounting for 30.4% of the sum, would be funded by the project unit with the company’s own funds; while the remaining capital of 1.362 Billion Yuan, would be settled by Bank loan.
NDRC has instructed the project unit to implement environmental protection measures and strictly abide the relevant laws, regulations and codes of safety production.
The project has been set a production capacity of 10 MnT per year.
Chinese coal production had registered its highest output in the past 3 year during CY18. And with the recent approval by NDRC, the country has set its sight to increase domestic coal supplies for this year as well.
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