Yanzhou Coal wins higher price
24 August 2004
Yanzhou Coal Mining got its maximum 8% allowable increase on its coal price in negotiations on one-year contracts signed with coastal power companies last December, according to the company's head of planning and finance, Zhang Baocai. Coal companies have been lobbying to undo contracts signed before prices soared by 30%, and in some cases refused to honor deliveries. The central government since cleared the way for suppliers to renegotiate agreements with electricity generators but insisted on a cap of 8%. Zhang said negotiations with Shangdong province firms were now in progress.