An official of China's Sichuan-based Panzhihua Coal Co., a subsidiary of Sichuan Coal Group, stated on May 23 that the company has already exported a shipment of 10,000 mt of coking coal to Japan and that another 30,000 mt of coking coal will be exported to the same destination within 2010, with a total export value of around $10.48 million. The official also said that the initial shipment of 10,000 mt marks the resumption of coking coal exports by Panzhihua Coal since it discontinued exports of coking coal two years ago.
Panzhihua Coal is the only company in Sichuan Province which is officially qualified to export coking coal. Before 2008, the company exported about 20,000 mt of coking coal per year to Japan, Turkey and Brazil. However, this business was interrupted by the financial crisis which hit in the latter part of 2008. Since 2008, Panzhihua Coal has invested RMB 856 million in its one million mt capacity coke project so as to boost capacity as well as energy-saving capabilities. With the gradual recovery of the international economy, Panzhihua Coal availed of the opportunity to sign an export contract for 40,000 mt of coking coal with Japanese companies.