It is reported that Hengchang Coal and Jiangsu Shagang agreed on June 23rd to invest CNY 5 billion to build a CNY 3 million per tonne coking project in Linyi, Shandong in the next three years.

The two phase project will finally create sales revenue of CNY 10 billion per year and a profit and tax of CNY 1.5 billion. Shagang will take a 40% stake in the project and Hengchang Coal will take 60% shares.