OREANDA-NEWS. August 22, 2011. Presided by Wu Yin, Vice Director of National Energy Administration, the Signing Ceremony of Cooperation and Construction of Shanghai Miao Mining Area between Inner Mongolia and Shanghai was held at Diaoyutai State Guesthouse, which marked a new phrase for the massive development and construction of Shanghai Miao Energy and Coal Chemical Industrial Base. As agreed, Inner Mongolia Weihua Mining Corporation Limited is incorporated by the subsidiaries from Shenhua and CNTC so as to take charge of the development of the coal resources in the eastern part of Shanghai Miao Mining Area, reported the press-centre of Shenhua Group.

Mr. Zhang Yuzhuo, President and CEO of Shenhua and Mr. Li Keming, Vice Director of CNTC Bureau respectively represented the Group and CNTC to sign a Cooperation Memorandum at the ceremony; Mr. Wanjian, Chairman of SNCIG, which is a holding subsidiary of Shenhua Group and Mr. Wu Jianming, President of China Shuangwei Investment Co., Ltd. (CSI) which is a wholly-owned subsidiary of CNTC are respectively on behalf of both sides to sign a Contribution Agreement.

Relying on the current basis of Ningdong Energy and Coal Chemical Industry Base and the advantage of coal resources at Shanghai Miao Mining Area, Inner Mongolia Weihua Mining Corporation Limited will be built into an international environmentally-friendly energy and chemical company integrated with coal mining, coal chemicals and power generation across various regions and in different industries.

The cooperation and development at Shanghai Miao Mining Area is a trans-regional and across-sector resource integrated strategy following our National Great Western Development Strategy. It is understood that greatly supported by National Energy Administration, the Government of Inner Mongolia Autonomous Region and the Government of Ningxia Hui Autonomous Region and led by the leading group of Shanghai Miao Resource Integration, the Group and CNTC have actively fulfilled the spirit of “Quadripartite Agreement” and positively promoted the program implementation since the Cooperation Agreement Concerning the Coal Resource Integration in Miao Mining Area shared between Inner Mongolia and Shanghai has been signed, under the coordination of National Energy Administration, jointly signed by and between Inner Mongolia Autonomous Region, Ningxia Hui Autonomous Region, Shenhua Group and CNTC on March 12. So far, the primary agreements of exploration right transfer concerning 4.9 billion tons of coals possessed by 11 mine owners have been finished, with the contribution agreement and articles of the joint company defined, the industrial and commercial registration formalities concerning joint ventures being processing and the revision to the overall planning of Shanghai Miao Mining Area actively implemented.

Mr. Zhang Guobao, Vice Director of NDRC and Director of National Energy Administration said on the Signing Ceremony, “the Signing Ceremony concerning the cooperation and development in the Miao Mining Area shared between Inner Mongolia and Shanghai as well as the establishment of the joint venture has set an example for the coal resource integration and development of other regions.” Mr. Zhang Guoqiang pointed out, “Next, the parties shall focus on the founding of the joint venture as a new beginning to complete the approval of the mining area plan as soon as possible; Scientific plan, reasonable schedule and an overall consideration to the orderly engagement of Ningdong Energy and Coal Chemical Industry Base as well as the coal conversion planning should be made; Researches and approval related to the aspects such as coal mine, power plant and coal chemical industry as well as the construction and development of the mining area should be initiated as soon as possible. The leading group of Shanghai Miao Energy and Coal Chemical Industry Base continues to play the coordinating role to speed up the other exploration right transfers in Shanghai Miao Mining Area and to complete the resource integration of the whole mining area.”

Mr. Zhang Xiwu, Chairman of Shenhua Group indicated in the speech, “Next, Shenhua Group will further strengthen the overall cooperation with CNTC to continuously extend the cooperation in the areas; Shenhua will push forward the procedure for the joint venture and promote the process of resource integration. We will also make an overall plan and industrial layout of the mining area and actively implement the preparation work of the programs. We will highlight the environment protection, effective utilization and recycling of resource to give play to the operational advantages integrated in mining, electric power, road and port transportation as well as chemistry. We will intensify the communication and contact with local governments, thus realizing the cooperation and win-win practice as well as constructing Shanghai Miao Energy and Chemical Industry base into an international advanced large energy and chemical industry base with high quality, high standard, high benefits, establishing as an example of scientific development, cooperation between state-owned enterprises, regional cooperation and multi-win-win practice.”

Mr. Qi Tongsheng, Member of the Standing Committee of the CPC Leading Group and Vice Governor of Ningxia Hui Autonomous Region, Mr. Wang Junpu, Vice Secretary-General of Inner Mongolia Autonomous Region, and Mr.Jiang Chengkang, Director of National Tobacco Bureau and President of CNTC respectively made the speeches at the Signing Ceremony and expressed their congratulations for the signing of the agreement.

The responsible persons from the departments of Coal Industry Department and Planning Department under National Energy Administration, Development and Reform Committee of Ningxia Hui Autonomous Region, Development and Reform Committee of Inner Mongolia Autonomous Region, Ordos City, Shenhua Group, CNTC, SNCIG and CSI also attended the ceremony.