China Shenhua's restructuring ends with a billion yuan coal production expected to increase by 56.57%

According to the news from China Energy Group on March 22nd, on March 16th, with the completion of the registration of the consideration shares at the Shanghai Branch of China Securities Depository and Clearing Corporation, China Shenhua successfully completed the asset restructuring of acquiring the equity of 12 core enterprises of the controlling shareholder, China National Energy Group, with a price of 133.598 billion yuan. Industry insiders believe that this billion-level restructuring, which lasted only 7 months, has set a new record in the A-share market for issuing shares to purchase assets, and has become a fresh sample of observing the deepening direction of China's capital market registration system reform due to its double labels of "the first transaction using the simplified review process" and "the first transaction with information disclosure quality as a threshold." The most direct benefit of the restructuring is reflected in the significant improvement of China Shenhua's core business capacity and resource reserves. This transaction involves 12 target companies including Guoyuan Power, Xinjiang Energy, and Chemical Company, with business covering coal, pithead coal power, coal chemical industry, and other key areas. After the completion of the transaction, China Shenhua's coal reserves have increased from 415.8 billion tons to 684.9 billion tons, an increase of 64.72%; coal recoverable reserves have increased from about 174.5 billion tons to 345 billion tons, a high increase of 97.71%; and coal production is expected to increase to 512 million tons, a growth of 56.57%. At the same time, the installed capacity for power generation has increased to 60.88 million kilowatts, and polyolefin production capacity has achieved a growth of 213%.