China-based coking coal producer Puda Coal, consolidator of twelve coal mines in Shanxi Province, announced on December 30 that Shanxi Puda Coal Group Co. Ltd (Shanxi Coal), a 90 percent-owned subsidiary of Puda Coal, has completed the previously announced acquisition of coal mining rights and assets of four coal mines under Phase II of the Pinglu Project on December 23 and December 24 for an aggregate price of $70.95 million.
The company expects to complete the consolidation and restructuring of these four acquired mines over the next 12 months.
Puda Coal chairman Ming Zha said that the Shanxi government permits reduced coal production during the course of construction and production upgrades. "We estimate the target coal mines of Pinglu Project will produce approximately 849,000 metric tons in 2011," he indicated.
Puda Coal is continuing the acquisition and consolidation of coal assets in Shanxi Province.