The Chinese government plans to eventually consolidate the coal industry around big producers, after capping output, over the next four years in order to boost efficiency.
In the restructuring process, the major producers will individually concentrate upon a particular type of coal—Anthracite, Coking or Non Coking—while, the smaller producers will be merged to form large entities.
By 2020, coal production at the Shanxi region, the largest coal producing region in that country, will be lowered to 1 BnT.
Datong Coal Mining Group and China Coal Pingshuo Group will become the top producers of Thermal Coal; each with the annual capacity of 100 MnT.
The central Shanxi region will be the main Coking Coal production base. Shanxi Coking Coal will be the top producer, with the annual capacity of 181 MnT, and will operate 107 mines.
The eastern Shanxi region will be the production hub for the Anthracite Coal. Luan Mining Industry Group and Jincheng Anthracite Mining Group will be the top three miners of the coal.
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