Financial Performance - For the year ending December 31, 2025, the revenue from continuing operations was RMB 1,839 million, an increase of RMB 709 million compared to 2024[3]. - The net loss for 2025 was RMB 95 million, with a profit from continuing operations of RMB 125 million and a loss from discontinued operations of RMB 220 million[3]. - The profit attributable to equity holders from continuing operations was RMB 77 million, a decrease of RMB 12 million from 2024[3]. - The basic earnings per share from continuing operations for 2025 was RMB 2.84, down from RMB 3.36 in 2024[3]. - The EBITDA from continuing operations for 2025 was RMB 398 million, an increase of RMB 159 million compared to 2024[3]. - The gross profit for continuing operations was RMB 473 million, compared to RMB 338 million in 2024, reflecting a significant improvement[4]. - The operating profit for the year was RMB 204 million, up from RMB 129 million in 2024[4]. - The total comprehensive loss for the year was RMB 291 million, compared to a profit of RMB 584 million in 2024[5]. - The financial costs for 2025 were RMB 91 million, significantly higher than RMB 20 million in 2024, impacting overall profitability[4]. - The basic earnings per share (EPS) from continuing and discontinued operations was RMB (3.91) for the year, compared to RMB 19.91 in the previous year[7]. - The total interest expense on financial liabilities not measured at fair value was RMB 130,914,000 in 2025, up from RMB 77,114,000 in 2024, reflecting an increase of about 70%[24]. - The total tax expense for 2025 was RMB 5,866,000, a decrease from RMB 36,316,000 in 2024, indicating a reduction of about 84%[31]. - The company reported a net finance cost of RMB 74,083 thousand for continuing operations in 2025, an increase from RMB 11,618 thousand in 2024, attributed to increased borrowings[82]. - The net profit after tax for continuing operations rose to RMB 124,604 thousand in 2025 from RMB 81,282 thousand in 2024, despite the decline in average selling price[83]. Assets and Liabilities - Non-current assets decreased to RMB 4,531,623,000 from RMB 6,553,745,000 year-over-year[8]. - Current liabilities were reduced to RMB (1,841,696,000) from RMB (4,170,532,000), indicating improved financial health[9]. - The company's total assets less current liabilities increased to RMB 4,812,950,000 from RMB 4,458,797,000[8]. - The net asset value of the company was reported at RMB 2,693,941,000, down from RMB 3,486,245,000 in the previous year[9]. - The company’s equity attributable to owners increased to RMB 2,069,580,000 from RMB 1,971,799,000[9]. - The group’s total assets as of 2025 are valued at RMB 6,654.646 million, with total liabilities at RMB (3,960.705) million, resulting in a debt-to-asset ratio of 59.5%[98]. - The current ratio improved to 1.15 in 2025, up from 0.5 in 2024, indicating better liquidity management[97]. - The group has cash and cash equivalents totaling RMB 491,335 thousand in 2025, a decrease from RMB 1,025,545 thousand in 2024, indicating a reduction of about 52% due to increased capital expenditures related to coal mining development[104]. - The group completed the acquisition of three Indonesian coal mines (IMJ, VSE, SME), achieving 100% ownership, laying a solid foundation for future development[120]. Acquisitions and Divestitures - The company acquired 100% of PT. Widyanusa Mandiri for IDR 140,260,000,000 (approximately RMB 61,273,000), enhancing its strategic asset portfolio in coal mining[49]. - The acquisition of PT. Widyanusa Mandiri is expected to strengthen the company's market position and profitability in the coal mining sector[50]. - The cash outflow from the acquisition of PT. Widyanusa Mandiri was RMB 61,020,000 after accounting for cash and cash equivalents received[52]. - The company also acquired 100% of Treasure Bay Management Limited for USD 7,900,000 (approximately RMB 56,708,000), which holds a 70% stake in PT. Trisula Sumber Energi[53]. - The company completed the sale of a 40% stake in a subsidiary for RMB 2,950 million, with a net gain of RMB 2,260,806 thousand recognized as equity transaction income[63][64]. - The group sold 100% of a subsidiary holding five coal mines in China for RMB 30,000,000 on June 5, 2025, completing the sale on July 11, 2025[110]. - The company has terminated operations of its subsidiary Perpetual Goodluck Limited, which held significant coal mining licenses in China, with a sale price of RMB 30,000,000[59]. - The acquisition strategy is aimed at expanding the company's business scale and enhancing shareholder returns[54]. Operational Highlights - The coal business reported external customer revenue of RMB 3,110,536 thousand for 2025, a decrease of 33.3% from RMB 4,664,198 thousand in 2024[16]. - The segment's pre-tax profit for 2025 was RMB 331,657 thousand, up 43% from RMB 232,095 thousand in 2024[18]. - Revenue from external customers in China (including Hong Kong) was RMB 1,463,014 thousand in 2025, up 60.3% from RMB 913,523 thousand in 2024[20]. - The company aims to maintain a reasonable asset-liability level and borrowing costs following the sale of the discontinued operations[82]. - The SDE coal mine project is progressing well, with SDE Phase 1 operational since 2023 and Phase 2 expected to commence production on March 28, 2026, significantly boosting overall capacity[89]. - The washing system at SDE Phase 1 has been operational, achieving an annual washing capacity of 8 million tons, which enhances product quality[90]. - The company is focused on optimizing its governance structure and operational efficiency through strategic acquisitions of minority stakes in existing subsidiaries[88]. - The SDE coal mine in Indonesia achieved a historic breakthrough with the successful production launch of the 1103 ultra-long mining face on January 18, 2026, increasing daily production capacity by over 30% compared to traditional methods, with an expected annual benefit of 1 million tons[116]. Employee and Governance - As of December 31, 2025, the group employed 4,089 employees and has implemented a performance-based reward system to incentivize staff[114]. - The independent auditor's report confirms that the consolidated financial statements fairly present the group's financial position as of December 31, 2025, in accordance with International Financial Reporting Standards[126]. Future Outlook - The company plans to continue monitoring and evaluating segment performance and resource allocation on a monthly basis[14]. - The approved coal production quota for SDE coal mine in 2026 is 12.5 million tons, with SDE Mine 1 and Mine 2 allocated 8.95 million tons and 3.55 million tons respectively[118]. - The TSE Mine is designed for an annual production capacity of 8 to 10 million tons, with plans to sign a construction contract in the first half of 2026 to expedite development[121]. - The group aims to deepen relationships with local governments and partners in Indonesia to ensure smooth project development and prioritize funding for capital investments in future projects[122].

香 港 交易 及 結 算 所 有限 公 司 和 香港 聯 合 交 易 所有 限 公 司 對 本公 佈 的 內 容概 不 負 責， 對 其 準 確 性或 完 整 性 亦不 發 表 任 何 聲明 ， 並 明 確 表示 概 不 就 因本 公 佈 全部 或 任 何 部 分內 容 而 產 生或 因 依 賴 該 等內 容 而 引 致 的任 何 損 失 承擔 任何責任。 （ 於開曼群島註冊成立的有限公司） （股份代號︰00866） 關連交易 供煤協議 供煤協議 董 事 會 欣 然 宣 佈 ， SDE（ 本 公 司 的 非 全 資 附 屬 公 司 ）與 浙 江 能 源 亞 太 訂 立 供煤協議，內容有關浙江能源亞太向SDE購買煤炭。 上市規則的涵義 於 本 公 佈 日 期 ， 由 於 浙 江 能 源 亞 太 為 力 遠（ 本 公 司 的 間 接 非 全 資 附 屬 公 司 ）的主要股東，故其為本公司附屬公司層面的關連人士。因此，供煤協 議的訂立及其項下擬進行的交易構成上市規則第14A章項下本公司的關連 交易。 中 國 秦 發 集 團 有 限 公 司 CHINA QINFA GROUP LIMITED SDE 同 意 出 售 ...

Investment Rating - The report recommends a "Buy" rating for several companies in the coal mining sector, including China Shenhua, Yanzhou Coal, and Shaanxi Coal [3][7]. Core Insights - The ongoing conflict in the Middle East has disrupted India's LNG supply, leading to increased reliance on coal for power generation, which supports global coal prices [2][3]. - The report highlights that the coal market sentiment is improving due to rising demand for coal in various regions, driven by the high prices of LNG [2][3]. Summary by Sections Energy Price Overview - As of March 27, 2026, Brent crude oil futures settled at $112.57 per barrel, a slight increase of $0.38 (+0.34%) from the previous week. WTI crude oil futures rose to $99.64 per barrel, up $1.41 (+1.44%) [1]. - Northeast Asia's LNG spot price was $19.81 per million British thermal units, down $1.73 (-8.05%) from the previous week [1]. - Coal prices showed mixed trends, with European ARA coal at $123.25 per ton, down $5.75 (-4.46%), while Newcastle coal rose to $135.60 per ton, up $0.25 (+0.18%) [1]. Market Dynamics - The conflict in the Middle East has led to a significant drop in India's gas-fired power generation, forcing the country to rely more heavily on coal, which now accounts for over 70% of its total power generation [2][3]. - The report notes that LNG prices have surged, reinforcing coal's position as a balancing fuel in India's power system, which is expected to see peak electricity demand reach 270 GW this summer [2][3]. Key Investment Targets - The report emphasizes several key stocks for investment, including: - China Shenhua (Buy) - Yanzhou Coal (Buy) - Shaanxi Coal (Buy) - China Qinfa (Buy) - Other notable mentions include Peabody, Jin Coal, and Lu'an Environmental Energy [3][7]. Price Trends - The report provides detailed coal price trends, indicating that Newcastle coal prices increased by $0.25 to $135.60 per ton, while South African Richards Bay coal futures decreased by $1.00 to $109.90 per ton [33]. - The European ARA coal price decreased by $5.75 to $123.25 per ton, reflecting the volatility in the coal market [33].

Investment Rating - The report provides a "Buy" rating for several key stocks in the coal mining sector, including China Qinfa, Yanzhou Coal, and China Shenhua, indicating a positive outlook for these companies [12][14]. Core Insights - The global coal market is expected to see a slight increase in production in 2025, with total coal production projected to reach 9.2 billion tons, a year-on-year growth of approximately 0.5% [19][25]. - Global coal demand is anticipated to grow by about 0.45% in 2025, reaching 884.5 million tons, with regional disparities becoming more pronounced [2][19]. - The international sea trade volume of coal is expected to decline by approximately 5.1% in 2025, totaling 1.468 billion tons [26][34]. Summary by Sections 1. Production and Demand - In 2025, global coal production is projected to slightly increase, with major contributors being China, the U.S., and Kazakhstan, while countries like Indonesia and Germany are expected to see declines [19][23]. - The report highlights that Indonesia's coal production will decrease to 790 million tons in 2025, a drop of 5.5% year-on-year, while Kazakhstan's production is expected to rise by 6.7% [23][28]. 2. Export and Import Trends - Major coal exporting countries include Indonesia, Australia, and Russia, which collectively account for 70-75% of global coal exports [28][32]. - In 2025, Indonesia's coal exports are projected to decline by 6.1% to 524 million tons, while Mongolia's exports are expected to grow by 7.5% to 90 million tons [34][35]. 3. Market Dynamics - The report discusses the impact of geopolitical tensions, such as the ongoing conflict in the Middle East, which is expected to drive up coal prices due to increased demand for coal as a substitute for LNG [11][15]. - The report emphasizes that the tightening of coal supply in Indonesia through policy changes is aimed at stabilizing coal prices and increasing fiscal revenue [10][11]. 4. Investment Recommendations - The report recommends focusing on companies with strong performance in the coal sector, particularly those involved in coal chemical production and those with significant coal reserves [12][15]. - Specific stocks highlighted for investment include Yanzhou Coal, China Shenhua, and companies with a strong presence in the coal chemical sector [12][14].

Core Viewpoints - The coal industry is experiencing price increases due to ongoing geopolitical conflicts, with coal prices expected to remain strong in the near term [2][8][81] - The coal industry profit increased by 5% year-on-year in the first two months of 2026, indicating a positive trend in profitability [8][81] Market Dynamics - The price of thermal coal has significantly increased, with the CCI5500 thermal coal index reporting 763 RMB/ton, a week-on-week increase of 27 RMB/ton [8][14][82] - Domestic coal prices in major production areas have risen by 20-40 RMB/ton, driven by strong non-electric demand and pre-stocking needs ahead of maintenance on the Daqin railway [8][82] - The utilization rate of sample thermal coal mines increased to 91.8%, reflecting a recovery in production [23][42] Industry Perspective - The coal supply-demand balance is shifting from loose to tight, with expectations of limited production growth and increased demand from non-electric sectors [8][81] - The geopolitical situation is expected to continue influencing energy prices, with the potential for increased costs of imported coal due to new export taxes from Indonesia [8][82] - The focus on energy policies, including the 14th Five-Year Plan, emphasizes the transition to cleaner energy while ensuring energy security [8][84][85] Key Companies - Leading companies in the coal sector include China Shenhua, Shaanxi Coal and Chemical Industry, and Yanzhou Coal Mining Company, which are expected to benefit from rising energy prices [8][9][84] - Companies with strong growth potential include Xinji Energy and Baofeng Energy, which are positioned to capitalize on market trends [8][9]

香 港 交易 及 結 算 所 有限 公 司 及 香港 聯 合 交 易 所有 限 公 司 對 本公 佈 之 內 容概 不 負 責， 對 其 準 確 性或 完 整 性 亦不 發 表 任 何 聲明 ， 並 明 確 表示 概 不 對 因本 公 佈 全部 或 任 何 部 分內 容 而 產 生或 因 倚 賴 該 等內 容 而 引 致 之任 何 損 失 承擔 任何責任。 中 國 秦 發 集 團 有 限 公 司 CHINA QINFA GROUP LIMITED 由於根 據上市規 則第14.07條計算有 關二零 二六年最 高額擔保 協議及二 零 二 六 年 公 司 擔 保 協 議 項 下 最 高 擔 保 金 額 的 適 用 百 分 比 率 超 過 0.1% 但 低 於 5 %，故其項下擬進行的持續關連交易僅須遵守申報、公告及年度審閱規 定，惟獲豁免遵守上市規則第14A章項下的通函、獨立財務意見及獨立股 東批准規定。 緒言 誠如該公佈及通函所披露，由於於買賣協議完成時，Perpetual Goodluck有三 筆 境內 銀 行貸 款（ 本 金總 額最 高 達人 民 幣417,000,000 元 ）仍 由餘 下 集團 若干 成員 ...

Core Viewpoints - The coal prices have stabilized and are on the rise, with demand for thermal power and cement showing positive year-on-year growth in the first two months of 2026 [1][73] Market Dynamics - Thermal coal prices have seen slight increases, with the CCI5500 thermal coal index reported at 736 RMB/ton, remaining stable week-on-week [10][74] - In the production areas, prices for thermal coal have generally increased, with Shanxi region prices rising by 8 RMB/ton and Northern Shaanxi by 10-17 RMB/ton [10] - The utilization rate of sample thermal coal mines is at 89.7%, up by 0.9 percentage points week-on-week, indicating a recovery in production [20] - The inventory of thermal coal at major ports has increased by 2.4% week-on-week, reaching 6,564,000 tons [20] Industry Perspective - The coal industry is expected to shift from a loose supply-demand balance to a tighter one in 2026, with domestic production growth significantly declining and international supply from Indonesia also expected to decrease [4] - The geopolitical situation is anticipated to further support global energy prices and coal demand, with the coal industry’s price-to-earnings ratio (TTM) at 19.6 times and price-to-book ratio at 1.83 times as of March 20 [4] - Key companies in the sector include Yanzhou Coal Mining, China Shenhua Energy, and Shaanxi Coal and Chemical Industry, which are expected to benefit from rising energy prices [4] Focus on Key Companies - China Shenhua Energy (601088.SH) has a target price of 46.85 RMB/share with a current price of 49.55 RMB, rated as "Buy" [5] - Shaanxi Coal and Chemical Industry (601225.SH) has a target price of 26.63 RMB/share with a current price of 27.16 RMB, also rated as "Buy" [5] - Yanzhou Coal Mining (600188.SH) has a target price of 16.79 RMB/share with a current price of 21.06 RMB, rated as "Buy" [5]

香 港 交易 及 結 算 所 有限 公 司 及 香港 聯 合 交 易 所有 限 公 司 對 本公 佈 的 內 容概 不 負 責， 對 其 準 確 性或 完 整 性 亦不 發 表 任 何 聲明 ， 並 明 確 表示 概 不 就 因本 公 佈 全部 或 任 何 部 分內 容 而 產 生或 因 依 賴 該 等內 容 而 引 致 的任 何 損 失 承擔 任何責任。 主席 徐達 香港，二零二六年三月十九日 中 國 秦 發 集 團 有 限 公 司 CHINA QINFA GROUP LIMITED （ 於開曼群島註冊成立的有限公司） （股份代號︰00866） 董事會召開日期 中國秦發集團有限公司（「本公司」）之董事會（「董事會」）謹此宣佈，將於二 零二六年三月三十一日（ 星期二 ）下午三時三十分假座香港灣仔港灣道18號 中環廣場57樓5703室舉行董事會會議，以（ 其中包括 ）批准本公司及其附屬 公 司 截至 二 零 二 五 年十 二 月 三 十一 日 止 年 度 之年 度 業 績 並 考慮 建 議 派 發末 期股息（ 如有 ）。 承董事會命 中國秦發集團有限公司 截 至 本公 佈 日 期 ， 董事 會 成 員 包括 執 ...

Investment Rating - The report maintains a "Buy" rating for the coal mining industry, indicating a positive outlook for the sector [6]. Core Insights - The coal production in China is expected to increase only slightly in 2026, with an estimated rise of 20-30 million tons to 3.85 billion tons, reflecting a year-on-year growth of approximately 0.6% [16]. - Coal imports in January-February 2026 increased by 1.5% year-on-year, totaling 77.22 million tons, indicating stable demand [20][21]. - The electricity generation from thermal power plants saw a year-on-year increase of 3.3% in January-February 2026, reversing a previous decline [24]. - The crude steel production in the same period decreased by 3.6% year-on-year, totaling 16.034 million tons, highlighting a contraction in the steel sector [34]. Summary by Sections Production - In January-February 2026, the raw coal production decreased by 0.3% year-on-year, with a total output of 760 million tons [16]. - The daily average production was 12.93 million tons, reflecting a month-on-month decrease of 13.64% [16]. Imports - The coal import volume for January-February 2026 was 77.22 million tons, marking a 1.5% increase compared to the same period last year [20]. - The report anticipates that coal imports will remain stable, with significant attention on potential fluctuations from major exporting countries like the USA and Indonesia [21][23]. Demand - The total industrial electricity generation in January-February 2026 was 1,571.8 billion kWh, showing a 4.1% year-on-year increase [24]. - The thermal power generation specifically increased by 3.3%, contrasting with a decline of 3.2% in December 2025 [24]. - The report notes a decrease in crude steel production, which may impact coal demand from the steel industry [34]. Investment Strategy - The report suggests that the core of the current trading cycle is influenced by overseas market dynamics, particularly the potential for "black swan" events that could lead to significant price increases in coal [4]. - It outlines three phases of expected overseas coal price increases, starting with production cuts in Indonesia, followed by increased demand due to geopolitical tensions, and finally, potential supply reductions from other coal-producing countries due to diesel shortages [5][39]. - Key companies to watch include those with overseas operations, such as China Qinfa (Indonesia), Power Development (South Africa), and Yancoal Australia [43].

Investment Rating - The report maintains an "Overweight" rating for the coal mining industry [4]. Core Views - The geopolitical tensions in the Middle East and logistical bottlenecks in Russia have led to a suspension of coal exports from Russia, significantly impacting global coal trade dynamics and prices [2]. - The report highlights a substantial increase in shipping costs for coal from the Far East to China, with freight rates rising by 17%-27% in the last week of February [2]. - The report emphasizes the importance of performance in annual reports, recommending companies with strong performance such as China Coal Energy, Yanzhou Coal Mining, and China Shenhua Energy [3]. Summary by Sections Global Energy Price Review - As of March 13, 2026, Brent crude oil futures settled at $103.14 per barrel, up $10.45 (+11.27%) from the previous week. WTI crude oil futures settled at $98.71 per barrel, up $7.81 (+8.59%) [1]. - Natural gas prices in Northeast Asia saw a decline, with spot prices at $20.01 per million British thermal units, down $1.17 (-5.50%) [1]. - Coal prices varied, with European ARA port coal at $124.00 per ton, down $5.50 (-4.25%), while Newcastle port coal rose to $138.00 per ton, up $4.60 (+3.45%) [1]. Investment Recommendations - The report recommends focusing on companies such as China Coal Energy (H+A), Yanzhou Coal Mining (H+A), China Shenhua Energy (H+A), and Shaanxi Coal and Chemical Industry [3]. - It also highlights companies in the smart mining sector like Keda Control and those undergoing turnaround like China Qinfa [3]. Market Dynamics - The report notes that global coal prices are reacting strongly to geopolitical tensions, with prices in Western Europe rising from $105 per ton to $125-130 per ton, and Newcastle high-calorific coal prices increasing to $130 per ton [2][3]. - The report indicates that the logistics costs are expected to rise due to rerouting of shipping routes to avoid conflict zones, impacting overall coal supply and pricing [2].