Chinese power generator, Huadian Power International, has earmarked USD 92.3 million to expand its coal trading unit Fengyuan Co.

Local media said that the exercise aims to beef up its coal distribution side as well as to explore other coal supply channels in order to combat rising thermal coal prices. By diversifying into upstream coal distribution and production, the company also wants to create security for its power houses’ coal supply chain.

In 2008, the Huadian Power International subsidiary, Huarui Energy, acquired stakes to Hebei Power and Hanfeng Power in Fengyuan, making it a wholly-owned subsidiary.

(Sourced from coalportal.com)