November 21, 2008

China\'s top two coal firms granted lower export quotas

It is reported that China's top two listed coal firms have received lower coal export quotas for the year from March 2008.

A trader said China Shenhua Energy Co the country's largest coal producer by output will be allowed to export up to 21.85 million tonnes in 2008 down from last year's quota of 23 million tonnes. China Coal Energy Co the country's second largest coal producer after Shenhua has a 2008 coal export quota of 22 million tonnes.

Traders said overall, China's government has cut its 2008 coal export quota by 24% from 2007 to 53.15 million tonnes.

Mr Meng Xuenong the governor of Shanxi province, the country's top coal production hub said China imposed a ban on coal exports at the height of the shortages, although officials repeatedly signaled the move was only temporary.