Mining’s old guard needs strong medicine
A new report details subpar investor returns in the mining industry over the last decade, particularly big cap diversified companies which have not adapted to new realities.
BEIJING – China National Coal Group agreed supply deals for thermal coal with six state power utilities that totalled more than 500 million tonnes to be delivered across five years starting from 2019, according to a report published on the website of the National Energy Administration on Monday
Under the agreements, China National Coal Group will supply in 2019 more than 97 million tonnes of coal to the six utilities, with volumes rising in each subsequent year of the deals, the report said
Prices for the 2019-2021 supplies will be adjusted monthly using 535 yuan ($77) per tonne as a base price, and prices for the 2021-2023 period will be negotiated between the contractual parties based on market trends
The six utilities include Datang Group, Huadian Group, China Resources Power Holdings, Huaneng Group, State Power Investment Corp and SDIC Power Group, the report said
($1 = 6.9424 yuan)
(By Chen Aizhu; Editing by Tom Hogue)
