Kailuan Energy Chemical or Kailuan Clean Coal Co Ltd, established by Kailuan Limited Liability Corporation and the co sponsors is going to set up a new coal chemical corporation with Chengde Iron and Steel Group.

On June 30th, 2001, Kailuan Clean Coal Co Ltd was established by Kailuan Limited Liability Corporation and the co sponsors including China Cinda Asset Management Corporation, Shanghai Baosteel International Economic & Trading Corporation, China Huarong Assets Management Corporation, China Coal Research Institute and Southeast Jiaotong University.

According to the bulletin, the new company will be founded based on the coke projects of Chengde Iron and Steel Group. CNY 77.8 million will be invested in the new joint venture.

The first-stage project of Chengde Iron and Steel Group has a capacity of 600,000 tonnes per year of coke. The second-stage project will go into production in the end of 2010 which will to form a 1.1 million tonnes per year capacity of coke.

As conditions mature the joint venture will set up the third-stage project with an estimated capacity of 2.1 million tonnes per year. When the three stages of projects are all completed, Chengde Iron and Steel Group will have had a coke project with a total capacity of 3.8 million tonnes per year.

(Sourced from China Security Journal)