Coal production in northwestern China's Xinjiang reached 400 million tonnes last year, up 25% from a year earlier, showed data from the Xinjiang regional development and reform commission.
The region has grown to the fourth largest coal producing base in China. Currently, it has proven coal reserves of 450 billion tonnes, or one-fourth of the country's total, ranking second after Inner Mongolia.
Affected by hefty transport cost among other reasons, outbound shipment only represented a tiny share of its coal output. Even so, Xinjiang's coal products gained increasing attention from outside buyers for its favorable price advantage.
In 2022, a total 80 million tonnes of coal was sold to other regions, nearly doubling the volume in 2021, according to the commission.
"Increasingly more coal mining companies are having their eyes on Xinjiang," said Zhang Kui, deputy general manager of Xinjiang Coal Trading Center Co., Ltd. Despite higher transportation cost, coal from Xinjiang is still competitive, he said.
In the 14th Five-Year Plan period (2021-2025), the region planned to increase its annual coal production capacity by at least 160 million tonnes to 460 million tonnes.
(Writing by Alex Guo Editing by Harry Huo)
For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.