China Huaneng to Build No.6 10 Million-Metric-Ton Underground Coal Mine in East Junggar Coal Field

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Researched by Industrial Info Resources (Sugar Land, Texas)--The examination meeting for the feasibility study report of China Huaneng Group's (Beijing) "No. 6" 10 million-metric-ton underground coal mine in the Dajing Mining Zone of East Junggar Coal Field was held recently in Xinjiang.

According to the report, Huaneng Xinjiang Energy Development Company Limited (Urmuchi, Xinjiang), a regional subsidiary of China Huaneng Group, will invest about $440 million to develop the No.6 underground coal mine.

The mine is part of the China Huaneng coal, power and chemical complex planned for East Junggar, with a designed production capacity of 10 million metric tons per year. Upon completion, all coal produced from the coal mine will be supplied to China Huaneng's coal-based natural gas project, which is also proposed for East Junggar.

"East Junggar is an important coal power and coal-based chemical industry base in Xinjiang, and also the main battlefield for China Huaneng's coal resource development and conversion in Xinjiang," said QI Gejun, the deputy general manager of Huaneng Xinjiang Energy. "So far, China Huaneng has acquired the exploration rights for an area of 300.75 square kilometers, with a coal resource reserve of 6.3 billion metric tons in East Junggar, which has created a sound condition for highly efficient mechanical exploitation, as well as the construction of a modernized, large-scale coal mine."

The proposed coal-based natural gas project in East Junggar is the first coal-based chemical project of China Huaneng Group, with a planned capacity of 4 billion cubic meters per year in Phase I. Total investment in the project will be more than $3.36 billion. The feasibility study report had passed examination in early January 2010.

As a key project of China Huaneng Group in 2010, the No.6 mine has completed the exploration for initial mining. According to the schedule, the project will begin construction in 2010.

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