Financial Performance - The company's operating revenue for Q3 2021 reached ¥4,166,140,926.16, representing a year-on-year increase of 45.63%[4] - Net profit attributable to shareholders was ¥1,234,365,916.95, a significant increase of 282.55% compared to the same period last year[4] - The basic earnings per share for the quarter was ¥0.74, reflecting a year-on-year growth of 282.55%[5] - Net profit for Q3 2021 was ¥3,496,896,089.52, compared to ¥1,151,367,252.71 in Q3 2020, indicating a year-over-year increase of about 203.5%[22] - Earnings per share (EPS) for Q3 2021 was ¥1.55, significantly higher than ¥0.46 in Q3 2020, showing an increase of approximately 237%[23] - Operating profit for Q3 2021 was ¥4,488,813,621.60, compared to ¥1,743,540,824.84 in Q3 2020, representing a growth of about 157.5%[22] - Total operating revenue for the first three quarters of 2021 reached ¥11,312,563,941.90, a significant increase from ¥8,027,064,461.07 in the same period of 2020, representing a growth of approximately 41.4%[21] Assets and Liabilities - The total assets at the end of the reporting period amounted to ¥36,472,643,398.55, an increase of 13.94% from the end of the previous year[5] - The total assets of the company are ¥36,472,643,398.55, compared to ¥32,009,125,052.26 at the end of the previous year[18] - Total liabilities as of Q3 2021 amounted to ¥20,057,042,063.50, up from ¥19,396,811,603.75 in the previous year, reflecting an increase of approximately 3.4%[20] - The total equity attributable to shareholders reached ¥10,079,208,384.08 in Q3 2021, compared to ¥7,284,381,272.68 in Q3 2020, marking a growth of around 38.9%[19] - The company's total current assets as of September 30, 2021, amount to ¥16,453,466,887.98, an increase from ¥11,146,029,314.58 in the previous year[16] - The company's total liabilities decreased by 54.52% due to the repayment of maturing loans[9] Cash Flow - The company reported a net cash flow from operating activities of ¥3,838,679,323.65 for the year-to-date period, an increase of 68.55%[5] - Operating cash inflow for the first three quarters of 2021 reached ¥11,979,493,570.45, a 26.7% increase from ¥9,470,910,081.13 in the same period of 2020[25] - Net cash flow from operating activities amounted to ¥3,838,679,323.65, up 68.5% from ¥2,277,497,493.80 year-on-year[25] - Total cash and cash equivalents at the end of Q3 2021 were ¥12,646,951,906.43, compared to ¥9,529,736,544.28 at the end of Q3 2020, reflecting a 32.5% increase[26] Investment and Shareholder Information - The company’s investment income surged by 388.69% due to increased earnings from joint ventures[9] - The company’s investment income for Q3 2021 was ¥698,667,518.23, a substantial increase from ¥142,968,581.73 in Q3 2020, representing a growth of approximately 388%[21] - The total number of common shareholders at the end of the reporting period is 63,011[11] - The largest shareholder, Jinneng Holding Coal Industry Group Co., Ltd., holds 961,632,508 shares, accounting for 57.46% of total shares[11] Current and Non-Current Assets - The company's cash and cash equivalents are reported at ¥12,800,282,873.75, up from ¥9,233,113,606.05 year-over-year[16] - The accounts receivable amount to ¥748,766,053.88, an increase from ¥704,378,780.19 in the previous year[16] - The company's inventory stands at ¥530,355,594.93, down from ¥549,608,232.02 year-over-year[18] - The total non-current assets are reported at ¥20,019,176,510.57, a decrease from ¥20,863,095,737.68 in the previous year[18] - The short-term borrowings amount to ¥4,180,000,000.00, down from ¥4,409,640,166.67 in the previous year[18] - The company has a total of 1,025,275,294.25 in contract liabilities, an increase from ¥363,733,176.47 in the previous year[18]

Financial Performance - The company's operating revenue for the first half of 2021 reached ¥7,146,423,015.74, representing a 38.33% increase compared to the same period last year[14]. - The net profit attributable to shareholders of the listed company was ¥1,361,759,524.39, a significant increase of 209.28% year-on-year[14]. - The net cash flow from operating activities amounted to ¥3,755,283,583.16, reflecting a 186.03% increase compared to the previous year[14]. - The total assets of the company at the end of the reporting period were ¥36,002,128,709.96, up 12.47% from the end of the previous year[14]. - The net assets attributable to shareholders of the listed company increased to ¥8,894,006,383.02, a rise of 22.10% year-on-year[14]. - Basic earnings per share for the first half of 2021 were ¥0.81, representing a 211.54% increase compared to the same period last year[15]. - The weighted average return on net assets increased by 10.18 percentage points to 16.83%[15]. - The net profit after deducting non-recurring gains and losses was ¥1,155,643,631.44, which is a 161.79% increase compared to the previous year[14]. - The company reported a significant increase in pre-received coal payments and revenue, contributing to the rise in cash flow from operating activities[17]. Production and Sales - The company produced 16.7176 million tons of raw coal in the first half of 2021, with major contributions from Tashan Coal Mine (13.1715 million tons) and Selian Coal Mine (3.1741 million tons)[24]. - The total sales volume of commercial coal reached 14.4169 million tons, generating sales revenue of 6.827 billion RMB and a gross profit of 2.927 billion RMB[24]. - The coal consumption in China from January to June 2021 was approximately 2.1 billion tons, reflecting a year-on-year increase of 10.7%[20]. - The coal production from large-scale enterprises in China during the same period was 1.95 billion tons, up 6.4% year-on-year[20]. - The coal mining industry in China achieved a revenue of 1.21595 trillion RMB in the first half of 2021, marking a 30.9% year-on-year growth[20]. Environmental Management - The company emphasizes safety management and has implemented a comprehensive safety management system across its operations[23]. - The company has implemented environmental protection measures, being a key pollutant discharge unit, with specific discharge standards for various pollutants[45]. - The company has reported a total sulfur dioxide emission of 22 tons, with a discharge standard of 350 tons per annum[45]. - The company has completed the demolition of all boilers below 10 steam tons as required by environmental authorities, transitioning to centralized heating from the Si Lao Gou boiler room[46]. - The wastewater treatment capacity of the Bai Dong living sewage treatment plant has been upgraded to 5,500 tons per day, accommodating wastewater from three mines[46]. - The company has implemented a self-monitoring plan for air pollutants, with quarterly testing at 8 major emission points and annual testing at 94 general emission points[49]. - The company has achieved zero emissions of boiler flue gas pollutants after the complete elimination of coal-fired boilers in the Taishan coal mine[56]. - The company has invested in ecological restoration and pollution prevention projects, focusing on achieving a balance between resource development and environmental protection[62]. Community Engagement and Social Responsibility - The company invested a total of CNY 25,300 in establishing a "Love Supermarket" in Xue Sandun Village, providing various living and agricultural supplies[64]. - The company assisted in selling 4,000 pounds of cherry tomatoes and 300 pounds of sugar-free millet, generating total sales of CNY 1,800 and CNY 2,500 respectively[64]. - The company has established a work team in Yiquan Town, actively promoting policies related to rural revitalization and medical security[64]. - The company has actively participated in local poverty alleviation efforts, including helping villagers with agricultural activities and providing practical assistance[64]. - The company organized a "100th Anniversary of the Communist Party" themed event, enhancing community engagement and recognition of long-serving party members[64]. Financial Stability and Investments - The company has issued corporate bonds with a total balance of ¥2 billion, with an interest rate of 4.29% and a maturity date of August 13, 2025[99]. - The company has established a dedicated repayment task force to ensure timely payment of bond principal and interest, with a special fund account set up for this purpose[102]. - The company maintains a stable credit rating of AAA, with a stable outlook for its bonds[101]. - The company's EBITDA to total debt ratio improved to 0.16 from 0.11, an increase of 45.45% indicating enhanced profitability[105]. - The debt-to-asset ratio decreased to 58.82%, down 2.94% from the previous year, indicating improved financial stability[104]. Risk Management - The company faces several risks, including safety production risks, market competition risks, and rising cost pressures due to complex mining conditions[34]. - The company has limited cash of ¥153,510,967.32 and fixed assets of ¥692,651,902.31 due to financing leases and performance guarantees[31]. - The company has ongoing management contracts with its controlling shareholder for various coal mining assets, indicating continued operational collaboration[81]. Corporate Governance - The company has appointed new management, including Wang Cunquan as chairman and Li Juping as board secretary[40]. - The integrity status of the company and its major stakeholders remained good, with no records of failing to fulfill court judgments or significant debts due[73]. - There were no significant lawsuits or arbitration matters during the reporting period, indicating a stable legal environment for the company[72].

Financial Performance - The company's total revenue for 2020 was CNY 10,905,049,548.67, a decrease of 3.99% compared to CNY 11,358,049,184.90 in 2019[15]. - The net profit attributable to shareholders for 2020 was CNY 875,710,875.67, down 2.42% from CNY 897,462,176.08 in 2019[15]. - The basic earnings per share for 2020 were CNY 0.52, a decrease of 3.70% compared to CNY 0.54 in 2019[17]. - The weighted average return on net assets for 2020 was 12.78%, down 2.28 percentage points from 15.06% in 2019[17]. - The company reported a net profit attributable to ordinary shareholders of approximately RMB 875.71 million for 2020, a decrease from RMB 897.46 million in 2019[65]. - The company reported a significant increase in revenue, achieving a total of 10 billion RMB for the fiscal year, representing a 15% year-over-year growth[140]. - The company provided a positive outlook for the next fiscal year, projecting a revenue growth of 12% to 15%[140]. Cash Flow and Investments - The net cash flow from operating activities increased by 39.14% to CNY 3,749,281,932.86 in 2020, compared to CNY 2,694,562,554.93 in 2019[15]. - The company reported a net cash inflow from operating activities of CNY 12,802,319,060.02, compared to CNY 12,682,607,519.33 in the previous year[198]. - Cash inflow from financing activities amounted to ¥7,396,750,000.00, up from ¥3,700,000,000.00 in 2019, showing an increase of about 99.5%[200]. - The net cash flow from financing activities was ¥986,901,116.57, a recovery from a negative cash flow of -¥1,192,379,851.06 in the previous year[199]. - The company received ¥78,438,308.63 in investment income, down from ¥200,000,000.00 in 2019, indicating a decrease of about 60.8%[200]. Assets and Liabilities - The total assets as of the end of 2020 were CNY 32,009,125,052.26, reflecting a 16.44% increase from CNY 27,489,175,723.66 at the end of 2019[16]. - Total liabilities amounted to CNY 19,396,811,603.75 in 2020, an increase from CNY 16,212,383,986.42 in 2019, indicating a rise of about 13.5%[188]. - The company's cash and cash equivalents reached CNY 9,233,113,606.05 in 2020, up from CNY 8,091,721,505.50 in 2019, showing an increase of about 14.1%[186]. - The company's short-term borrowings rose to CNY 4,409,640,166.67 in 2020, compared to CNY 4,075,913,522.37 in 2019, indicating an increase of about 8.2%[187]. Production and Sales - The company produced 3,161.49 thousand tons of coal, achieving a sales volume of 2,741.29 thousand tons and generating sales revenue of RMB 1.04 billion[25]. - Coal production totaled 31.61 million tons, while coal sales amounted to 27.41 million tons, reflecting a strong operational performance despite market challenges[30]. - The production volume of coal was 3,161.49 thousand tons, a decrease of 6.40% year-over-year, while sales volume was 2,741.29 thousand tons, down 2.79%[38]. Strategic Initiatives - The company has established strategic partnerships with several renowned research institutions, leading to significant technological advancements in coal mining[29]. - The company is focused on optimizing its coal industry structure and enhancing resource integration for sustainable high-quality development[60]. - The company plans to produce 31.16 million tons of coal and sell 29.66 million tons in 2021, with projected coal business revenue of RMB 10.9 billion[60]. - The company is investing 300 million RMB in research and development for new technologies to improve operational efficiency[140]. Environmental and Social Responsibility - The company emphasizes its commitment to social responsibility, including safety production, product quality, and environmental protection[105]. - The company has implemented a rainwater and sewage separation system, ensuring all wastewater is treated at the group’s wastewater treatment plant[109]. - The company has established a comprehensive safety management framework to prioritize safety in all operations[105]. - The company reported that it is a key pollutant discharge unit as per environmental protection department announcements[106]. Governance and Compliance - The company has established a comprehensive internal control system, effectively implementing it across various operations, including business, finance, and auditing[6]. - The board of directors consists of 15 members, including 5 independent directors, ensuring compliance with relevant regulations and maintaining a high level of oversight[3]. - The company has maintained an independent operational structure, with the controlling shareholder being Jinneng Holding Coal Industry Group, ensuring autonomy in business operations[4]. - The company has engaged Lixin Accounting Firm for auditing services, with an audit fee of RMB 1.7 million for the year[72].

[Important Notice](index=3&type=section&id=Item%20I.%20Important%20Notice) This section contains important declarations regarding the report's accuracy and audit status [Statement by Board of Directors, Supervisory Board, and Senior Management](index=3&type=section&id=1.1%20Statement%20by%20Board%20of%20Directors%2C%20Supervisory%20Board%2C%20and%20Senior%20Management%20on%20the%20Truthfulness%2C%20Accuracy%2C%20and%20Completeness%20of%20the%20Quarterly%20Report) The Board of Directors, Supervisory Board, and senior management affirm the truthfulness, accuracy, and completeness of this quarterly report and assume legal responsibility - The company's Board of Directors, Supervisory Board, and senior management guarantee the truthfulness, accuracy, and completeness of the quarterly report, free from false statements, misleading representations, or major omissions, and assume individual and joint legal responsibility[3](index=3&type=chunk) - Company head Wu Wangguo, chief accountant Yin Jimin, and head of accounting department Yao Dong guarantee the truthfulness, accuracy, and completeness of the financial statements[3](index=3&type=chunk) [Unaudited Financial Statements Declaration](index=3&type=section&id=1.4%20This%20Company's%20First%20Quarterly%20Report%20is%20Unaudited) This company's first quarterly report has not been audited - This company's first quarterly report is unaudited[3](index=3&type=chunk) [Company Basic Information](index=3&type=section&id=Item%20II.%20Company%20Basic%20Information) This section provides an overview of the company's key financial data, non-recurring gains and losses, and shareholder structure [Key Financial Data](index=3&type=section&id=2.1%20Key%20Financial%20Data) The company's total assets and net assets attributable to shareholders increased, with significant growth in operating cash flow, revenue, and net profit year-to-date Overview of Key Financial Data | Metric | As of end of reporting period / Year-to-date | As of end of prior year / Prior year-to-date | Change (%) | | :--- | :--- | :--- | :--- | | **Balance Sheet** | | | | | Total Assets (CNY) | 35,001,283,643.30 | 32,009,125,052.26 | 9.35 | | Net Assets Attributable to Shareholders of Listed Company (CNY) | 7,900,882,490.09 | 7,284,381,272.68 | 8.46 | | **Cash Flow Statement** | | | | | Net Cash Flow from Operating Activities (CNY) | 2,506,240,852.68 | 378,398,536.60 | 562.33 | | **Income Statement** | | | | | Operating Revenue (CNY) | 3,526,419,210.05 | 2,731,603,769.98 | 29.10 | | Net Profit Attributable to Shareholders of Listed Company (CNY) | 505,094,050.35 | 291,778,093.24 | 73.11 | | Net Profit Attributable to Shareholders of Listed Company After Deducting Non-recurring Gains and Losses (CNY) | 508,748,760.29 | 293,340,641.62 | 73.43 | | Weighted Average Return on Net Assets (%) | 6.70 | 4.45 | Increase by 2.25 percentage points | | Basic Earnings Per Share (CNY/share) | 0.30 | 0.17 | 76.47 | | Diluted Earnings Per Share (CNY/share) | 0.30 | 0.17 | 76.47 | [Non-recurring Gains and Losses Items and Amounts](index=4&type=section&id=Non-recurring%20Gains%20and%20Losses%20Items%20and%20Amounts) The company's non-recurring gains and losses totaled negative 3.65 million CNY, primarily from government grants, other non-operating income/expenses, and tax impacts Non-recurring Gains and Losses Items and Amounts | Item | Current Period Amount (CNY) | | :--- | :--- | | Government grants included in current profit/loss | 275,462.46 | | Other non-operating income and expenses apart from the above | -7,260,861.65 | | Impact on minority interests (after tax) | 1,520,537.87 | | Income tax impact | 1,810,151.38 | | **Total** | **-3,654,709.94** | [Key Operating Indicators for the Reporting Period](index=5&type=section&id=Company%202021%20January-March%20Operating%20Indicators) In Q1 2021, the company produced 8.26 million tons of raw coal and sold 7.40 million tons of commercial coal, generating 2.44 billion CNY in revenue Key Operating Indicators for Q1 2021 | Metric | Amount/Quantity | | :--- | :--- | | Raw Coal Production | 8.263 million tons | | Commercial Coal Sales | 7.402 million tons | | Sales Revenue | 2.442 billion CNY | | Sales Cost | 1.142 billion CNY | [Shareholder Holding Status](index=5&type=section&id=2.2%20Total%20Number%20of%20Shareholders%2C%20Top%20Ten%20Shareholders%2C%20and%20Top%20Ten%20Circulating%20Shareholders%20(or%20Shareholders%20with%20No%20Selling%20Restrictions)%20as%20of%20the%20End%20of%20the%20Reporting%20Period) As of the reporting period end, the company had 82,643 shareholders, with Jineng Holding Coal Industry Group Co., Ltd. being the largest shareholder at 57.46% - As of the end of the reporting period, the company had a total of **82,643 shareholders**[7](index=7&type=chunk) Top Ten Shareholders' Holding Status | Shareholder Name | Shares Held at Period End (shares) | Percentage (%) | Shareholder Type | | :--- | :--- | :--- | :--- | | Jineng Holding Coal Industry Group Co., Ltd. | 961,632,508 | 57.46 | State-owned Legal Entity | | Central Huijin Asset Management Co., Ltd. | 31,924,200 | 1.91 | State-owned Legal Entity | | Hebei Port Group Co., Ltd. | 26,592,080 | 1.59 | State-owned Legal Entity | | Hong Kong Securities Clearing Company Limited | 11,192,820 | 0.67 | Other | | Agricultural Bank of China Co., Ltd. - CSI 500 ETF | 8,054,087 | 0.48 | Other | | Wang Shuxia | 4,134,300 | 0.25 | Domestic Natural Person | | Haitong Securities Co., Ltd. - Zhongrong CSI Coal Index Graded Fund | 3,888,685 | 0.23 | Other | | Bank of China Co., Ltd. - China Merchants CSI Coal Equal Weight Index Graded Fund | 3,864,397 | 0.23 | Other | | Datong Xintong Industrial Co., Ltd. | 3,800,000 | 0.23 | State-owned Legal Entity | | Zhang Minhhui | 3,520,006 | 0.21 | Domestic Natural Person | - The company is unaware of any related party relationships or whether the top ten shareholders with no selling restrictions and the top ten shareholders are acting in concert as defined by the 'Measures for the Administration of the Takeover of Listed Companies'[9](index=9&type=chunk) [Significant Events](index=6&type=section&id=Item%20III.%20Significant%20Events) This section details major changes in financial statement items and indicators, along with reasons, and provides a forecast for future performance [Major Changes and Reasons for Key Financial Statement Items and Indicators](index=6&type=section&id=3.1%20Major%20Changes%20and%20Reasons%20for%20the%20Company's%20Key%20Financial%20Statement%20Items%20and%20Financial%20Indicators) Significant changes in various financial indicators were driven by increased sales, new lease accounting standards, higher associate income, increased interest expenses, and accounting adjustments Major Changes and Reasons for Key Financial Statement Items | Item | Period-end Balance / Year-to-date Balance (CNY) | Year-start Balance / Prior Year-to-date Amount (CNY) | Change (%) | Reason for Change | | :--- | :--- | :--- | :--- | :--- | | Cash and Cash Equivalents | 12,110,062,557.20 | 9,233,113,606.05 | 31.16 | Increase in cash received from sales | | Notes Receivable | 173,993,246.73 | 95,000,000.00 | 83.15 | Increase in bank acceptance bills in current period | | Financing for Receivables | 18,434,029.65 | 7,825,913.00 | 135.55 | Increase in acceptance bills in current period | | Other Receivables | 1,404,962,853.35 | 118,347,947.31 | 1087.15 | Dividends receivable from Tongmei Guodian Tongxin Mine | | Other Current Assets | 196,877,912.73 | 354,805,793.43 | -44.51 | Decrease in input VAT to be deducted in current period compared to prior period | | Right-of-use Assets | 374,749,655.32 | 0 | 100.00 | Adjusted according to new lease standards | | Notes Payable | 303,795,715.25 | 37,135,715.25 | 718.07 | Increase in bank acceptance bill payments in current period | | Contract Liabilities | 941,432,909.45 | 363,733,176.47 | 158.83 | Increase in external sales through advance receipts | | Taxes Payable | 461,494,280.80 | 310,976,970.96 | 48.40 | Increase in VAT payable in current period compared to prior period | | Other Payables | 3,184,980,720.24 | 2,065,780,602.24 | 54.18 | Increase in payables in current period | | Other Current Liabilities | 121,603,302.56 | 47,285,312.93 | 157.17 | Increase in accrued output VAT in current period | | Lease Liabilities | 264,272,602.06 | 0 | 100.00 | Adjusted according to new lease standards | | Operating Cost | 2,183,392,816.66 | 1,226,314,725.77 | 78.05 | Primarily due to adjustment of selling expenses under new revenue standards | | Taxes and Surcharges | 237,098,627.76 | 167,767,336.14 | 41.33 | Increase in operating revenue in current period, leading to corresponding increase in taxes and fees | | Selling Expenses | 25,727,979.67 | 542,827,833.43 | -95.26 | Adjusted according to new revenue standards | | Financial Expenses | 105,116,593.75 | 79,730,110.14 | 31.84 | Increase in interest expenses in current period | | Investment Income | 112,629,332.42 | 26,106,198.32 | 331.43 | Increase in income from newly added associates compared to prior period | | Operating Profit | 1,012,188,612.62 | 663,240,620.80 | 52.61 | Increase in revenue and investment income in current period, leading to corresponding increase in profit | | Non-operating Income | 5,000.14 | 0 | 100.00 | Other gains incurred by subsidiary in current period | | Non-operating Expenses | 7,265,861.79 | 2,737,337.92 | 165.44 | Fines and other expenses incurred by subsidiary | | Cash Received from Sales of Goods and Services | 4,502,141,678.23 | 3,076,970,876.77 | 46.32 | Increase in cash received due to increased revenue in current period | | Tax Refunds Received | 83,688.37 | 14,849.72 | 463.57 | Increase in tax refunds received in current period compared to prior period | | Other Cash Received Related to Operating Activities | 82,210,083.57 | 50,783,413.20 | 61.88 | Increase in interest income in current period compared to prior period | | Other Cash Paid Related to Operating Activities | 58,277,487.01 | 181,479,737.35 | -67.89 | Decrease in intercompany payments in current period compared to prior period | | Cash Paid for Acquisition of Fixed Assets, Intangible Assets, and Other Long-term Assets | 155,737,385.95 | 75,438,858.96 | 106.44 | Subsidiary Seilian Mine paid land use rights transfer fees in current period | | Other Cash Received Related to Financing Activities | 175,000,000.00 | 0 | 100.00 | Subsidiary Seilian Mine received funds from the Group Company | | Cash Paid for Debt Repayment | 676,760,000.00 | 1,083,358,302.05 | -37.53 | Decrease in maturing debt in current period compared to prior period | | Cash Paid for Distribution of Dividends, Profits, or Interest Payments | 119,268,500.88 | 76,962,764.22 | 54.97 | Increase in interest-bearing liabilities in current period, leading to corresponding increase in interest expenses | [Future Performance Forecast](index=9&type=section&id=3.4%20Warning%20and%20Explanation%20Regarding%20Potential%20Loss%20or%20Significant%20Change%20in%20Cumulative%20Net%20Profit%20from%20Year-Start%20to%20End%20of%20Next%20Reporting%20Period%20Compared%20to%20the%20Same%20Period%20Last%20Year) The company anticipates significant growth in cumulative net profit from year-start to the end of the next reporting period, driven by rising coal prices and increased investment income from associates - Cumulative net profit from year-start to the end of the next reporting period is expected to show **significant growth** compared to the same period last year[13](index=13&type=chunk) - Reasons for growth include **rising coal prices in 2021** and **increased investment income from newly added associates**[13](index=13&type=chunk) [Appendix](index=9&type=section&id=Item%20IV.%20Appendix) This appendix includes the company's financial statements and details on adjustments made due to the first-time adoption of new lease accounting standards [Financial Statements](index=9&type=section&id=4.1%20Financial%20Statements) This section presents the company's consolidated and parent company balance sheets, income statements, and cash flow statements for Q1 2021 [Consolidated Balance Sheet](index=9&type=section&id=Consolidated%20Balance%20Sheet) The consolidated balance sheet provides a snapshot of the group's assets, liabilities, and equity as of March 31, 2021, compared to December 31, 2020 Key Consolidated Balance Sheet Data (March 31, 2021 vs December 31, 2020) | Item | March 31, 2021 (CNY) | December 31, 2020 (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Total Assets | 35,001,283,643.30 | 32,009,125,052.26 | 9.35 | | Total Liabilities | 21,481,228,835.58 | 19,396,811,603.75 | 10.75 | | Total Owners' Equity | 13,520,054,807.72 | 12,612,313,448.51 | 7.20 | | Cash and Cash Equivalents | 12,110,062,557.20 | 9,233,113,606.05 | 31.16 | | Other Receivables | 1,404,962,853.35 | 118,347,947.31 | 1087.15 | | Right-of-use Assets | 374,749,655.32 | 0 | 100.00 | | Contract Liabilities | 941,432,909.45 | 363,733,176.47 | 158.83 | | Lease Liabilities | 264,272,602.06 | 0 | 100.00 | [Parent Company Balance Sheet](index=12&type=section&id=Parent%20Company%20Balance%20Sheet) The parent company balance sheet details its assets, liabilities, and equity as of March 31, 2021, compared to December 31, 2020 Key Parent Company Balance Sheet Data (March 31, 2021 vs December 31, 2020) | Item | March 31, 2021 (CNY) | December 31, 2020 (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Total Assets | 25,959,552,349.64 | 22,139,326,428.30 | 17.26 | | Total Liabilities | 24,972,364,675.11 | 21,102,646,384.14 | 18.34 | | Total Owners' Equity | 987,187,674.53 | 1,036,680,044.16 | -4.87 | | Cash and Cash Equivalents | 11,057,520,803.39 | 7,438,645,022.97 | 48.66 | | Other Receivables | 2,450,858,726.69 | 1,189,060,004.48 | 106.12 | | Long-term Equity Investments | 10,307,604,563.42 | 11,478,895,246.55 | -10.20 | | Accounts Payable | 13,426,906,419.08 | 11,308,000,825.42 | 18.74 | | Contract Liabilities | 867,708,637.10 | 322,378,157.10 | 169.14 | [Consolidated Income Statement](index=14&type=section&id=Consolidated%20Income%20Statement) The consolidated income statement presents the group's operating results for Q1 2021, compared to the same period in 2020 Key Consolidated Income Statement Data (Q1 2021 vs Q1 2020) | Item | 2021 First Quarter (CNY) | 2020 First Quarter (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 3,526,419,210.05 | 2,731,603,769.98 | 29.10 | | Operating Cost | 2,183,392,816.66 | 1,226,314,725.77 | 78.05 | | Investment Income | 112,629,332.42 | 26,106,198.32 | 331.43 | | Operating Profit | 1,012,188,612.62 | 663,240,620.80 | 52.61 | | Total Profit | 1,004,927,750.97 | 660,503,282.88 | 52.15 | | Net Profit | 748,029,093.16 | 447,668,860.75 | 67.09 | | Net Profit Attributable to Parent Company Shareholders | 505,094,050.35 | 291,778,093.24 | 73.11 | | Basic Earnings Per Share (CNY/share) | 0.30 | 0.17 | 76.47 | [Parent Company Income Statement](index=16&type=section&id=Parent%20Company%20Income%20Statement) The parent company income statement outlines its operating results for Q1 2021, compared to the same period in 2020 Key Parent Company Income Statement Data (Q1 2021 vs Q1 2020) | Item | 2021 First Quarter (CNY) | 2020 First Quarter (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 165,152,162.95 | 133,229,225.93 | 23.96 | | Operating Cost | 203,228,444.46 | 164,536,144.50 | 23.52 | | Selling Expenses | 22,455,948.18 | 38,857,185.40 | -42.21 | | Financial Expenses | 67,637,545.01 | 52,762,477.60 | 28.18 | | Investment Income | 112,629,332.42 | 26,106,198.32 | 331.43 | | Net Profit | -57,661,298.89 | -133,690,569.72 | 56.99 (Loss narrowed) | [Consolidated Cash Flow Statement](index=17&type=section&id=Consolidated%20Cash%20Flow%20Statement) The consolidated cash flow statement details the group's cash inflows and outflows from operating, investing, and financing activities for Q1 2021 Key Consolidated Cash Flow Statement Data (Q1 2021 vs Q1 2020) | Item | 2021 First Quarter (CNY) | 2020 First Quarter (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 2,506,240,852.68 | 378,398,536.60 | 562.33 | | Cash Received from Sales of Goods and Services | 4,502,141,678.23 | 3,076,970,876.77 | 46.32 | | Cash Paid for Acquisition of Fixed Assets, Intangible Assets, and Other Long-term Assets | 155,737,385.95 | 75,438,858.96 | 106.44 | | Net Cash Flow from Investing Activities | -155,737,385.95 | -75,438,858.96 | -106.44 | | Net Cash Flow from Financing Activities | 526,445,484.42 | -108,206,562.70 | 586.51 | | Net Increase in Cash and Cash Equivalents | 2,876,948,951.15 | 194,753,114.94 | 1377.70 | | Cash and Cash Equivalents at Period End | 12,089,202,714.63 | 8,270,498,858.97 | 46.17 | [Parent Company Cash Flow Statement](index=19&type=section&id=Parent%20Company%20Cash%20Flow%20Statement) The parent company cash flow statement presents its cash inflows and outflows from operating, investing, and financing activities for Q1 2021 Key Parent Company Cash Flow Statement Data (Q1 2021 vs Q1 2020) | Item | 2021 First Quarter (CNY) | 2020 First Quarter (CNY) | Change (%) | | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 3,832,829,573.05 | -348,909,063.23 | 1200.00 (Turned positive) | | Cash Received from Sales of Goods and Services | 4,788,646,682.67 | 2,608,885,457.03 | 83.55 | | Net Cash Flow from Investing Activities | 96,668,986.05 | -25,714,602.89 | 476.00 (Turned positive) | | Net Cash Flow from Financing Activities | -310,622,778.68 | -49,979,307.61 | -521.50 (Loss widened) | | Net Increase in Cash and Cash Equivalents | 3,618,875,780.42 | -424,602,973.73 | 953.50 (Turned positive) | | Cash and Cash Equivalents at Period End | 11,057,520,803.39 | 6,638,281,701.13 | 66.58 | [Adjustments for First-time Adoption of New Lease Standards](index=20&type=section&id=4.2%20Adjustments%20to%20Financial%20Statements%20at%20the%20Beginning%20of%20the%20First%20Year%20of%20Adoption%20of%20New%20Lease%20Standards%20Starting%20from%202021) Effective January 1, 2021, the company adopted new lease standards, adjusting initial financial statements by recognizing right-of-use assets and lease liabilities - Effective **January 1, 2021**, the company adjusted its financial statements in accordance with the new lease standards[36](index=36&type=chunk)[39](index=39&type=chunk) - The adoption of new lease standards resulted in the addition of **'Right-of-use Assets'** and **'Lease Liabilities'** items to both consolidated and parent company balance sheets[34](index=34&type=chunk)[38](index=38&type=chunk) - Following the consolidated balance sheet adjustment, both total assets and total liabilities increased by **159,992,079.77 CNY**[34](index=34&type=chunk)[35](index=35&type=chunk)[36](index=36&type=chunk) - Following the parent company balance sheet adjustment, both total assets and total liabilities increased by **159,992,079.77 CNY**[38](index=38&type=chunk)[39](index=39&type=chunk) [Consolidated Balance Sheet Adjustments](index=20&type=section&id=Consolidated%20Balance%20Sheet%20Adjustments) This section details the adjustments made to the consolidated balance sheet as of January 1, 2021, due to the adoption of new lease accounting standards Consolidated Balance Sheet Adjustments (December 31, 2020 vs January 1, 2021) | Item | December 31, 2020 (CNY) | January 1, 2021 (CNY) | Adjustment Amount (CNY) | | :--- | :--- | :--- | :--- | | Fixed Assets | 10,490,694,725.39 | 10,372,121,132.23 | -118,573,593.16 | | Right-of-use Assets | 0 | 278,565,672.93 | 278,565,672.93 | | Lease Liabilities | 0 | 159,992,079.77 | 159,992,079.77 | | Total Assets | 32,009,125,052.26 | 32,169,117,132.03 | 159,992,079.77 | | Total Liabilities | 19,396,811,603.75 | 19,556,803,683.52 | 159,992,079.77 | [Parent Company Balance Sheet Adjustments](index=23&type=section&id=Parent%20Company%20Balance%20Sheet%20Adjustments) This section details the adjustments made to the parent company balance sheet as of January 1, 2021, due to the adoption of new lease accounting standards Parent Company Balance Sheet Adjustments (December 31, 2020 vs January 1, 2021) | Item | December 31, 2020 (CNY) | January 1, 2021 (CNY) | Adjustment Amount (CNY) | | :--- | :--- | :--- | :--- | | Right-of-use Assets | 0 | 159,992,079.77 | 159,992,079.77 | | Lease Liabilities | 0 | 159,992,079.77 | 159,992,079.77 | | Total Assets | 22,139,326,428.30 | 22,299,318,508.07 | 159,992,079.77 | | Total Liabilities | 21,102,646,384.14 | 21,262,638,463.91 | 159,992,079.77 |

[Key Disclosures](index=3&type=section&id=Item%20I.%20Key%20Disclosures) The company's board, supervisors, and senior management ensure the accuracy and completeness of this unaudited quarterly report - The company's Board of Directors, Supervisory Board, and all senior management guarantee the truthfulness, accuracy, and completeness of this quarterly report and assume corresponding legal responsibilities[4](index=4&type=chunk) - The company's principal officer, head of accounting, and head of accounting department ensure the truthfulness, accuracy, and completeness of the financial statements[4](index=4&type=chunk) - This company's Q3 2020 report is unaudited[4](index=4&type=chunk) [Company Profile](index=3&type=section&id=Item%20II.%20Company%20Profile) This section provides an overview of the company's key financial and operational data, along with shareholder information [Key Financial and Operational Data](index=3&type=section&id=2.1%20Key%20Financial%20Data) In the first three quarters of 2020, the company's operating revenue decreased by 8.24% year-over-year, while net profit attributable to shareholders increased by 12.68%, with operating cash flow growing by 16.69% despite slight declines in coal production and sales Key Financial Data for Q1-Q3 2020 | Metric | Year-to-Date (Jan-Sep) (CNY) | Prior Year-to-Date (Jan-Sep) (CNY) | YoY Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 8,027,064,461.07 | 8,747,955,634.16 | -8.24% | | Net Profit Attributable to Shareholders | 762,973,521.02 | 677,144,572.38 | 12.68% | | Net Cash Flow from Operating Activities | 2,277,497,493.80 | 1,951,711,976.22 | 16.69% | | Basic Earnings Per Share (CNY/share) | 0.46 | 0.40 | 15.00% | | Weighted Average Return on Net Assets | 11.24% | 11.58% | Decrease of 0.34 percentage points | Key Operational Data for Q1-Q3 2020 | Item | Jan-Sep Cumulative | Prior Period Jan-Sep Cumulative | Change (%) | | :--- | :--- | :--- | :--- | | Coal Production (million tons) | 23.34 | 25.19 | -7.33% | | Coal Sales Volume (million tons) | 20.58 | 21.27 | -3.22% | | Coal Sales Revenue (million CNY) | 7,505.38 | 8,242.05 | -8.94% | - During the reporting period, non-recurring gains and losses totaled **-3.18 million CNY**, primarily from government subsidies and other non-operating income and expenses[8](index=8&type=chunk) [Shareholder Information](index=6&type=section&id=2.2%20Total%20Shareholders%2C%20Top%20Ten%20Shareholders%2C%20and%20Top%20Ten%20Circulating%20Shareholders%20as%20of%20the%20End%20of%20the%20Reporting%20Period) As of the end of the reporting period, the company had 84,549 shareholders, with Datong Coal Mine Group Co., Ltd. remaining the largest shareholder at 57.46% - As of the end of the reporting period, the company had **84,549** common shareholders[10](index=10&type=chunk) Top Five Shareholders' Holdings | Shareholder Name | Holding Percentage (%) | Share Nature | | :--- | :--- | :--- | | Datong Coal Mine Group Co., Ltd. | 57.46 | State-owned Legal Person | | Central Huijin Asset Management Co., Ltd. | 1.91 | State-owned Legal Person | | Hebei Port Group Co., Ltd. | 1.59 | State-owned Legal Person | | Hong Kong Securities Clearing Company Limited | 1.03 | Other | | Wang Shuxia | 0.24 | Domestic Natural Person | [Significant Matters](index=7&type=section&id=Item%20III.%20Significant%20Matters) This section details significant changes in key financial statement items and financial indicators, along with updates on other important matters [Analysis of Significant Changes in Key Financial Statement Items and Financial Indicators](index=7&type=section&id=3.1%20Analysis%20of%20Significant%20Changes%20in%20Key%20Financial%20Statement%20Items%20and%20Financial%20Indicators) During the reporting period, the company experienced significant changes across various financial statement items, including a 99.48% decrease in notes receivable and substantial increases in notes payable and contract liabilities Major Balance Sheet and Income Statement Item Changes and Reasons | Item | Change (%) | Primary Reason | | :--- | :--- | :--- | | **Assets** | | | | Notes Receivable | -99.48% | Increase in cash collection | | Accounts Receivable | 32.39% | Untimely customer payments | | Prepayments | 51.25% | Increase in prepaid railway freight | | **Liabilities** | | | | Notes Payable | 2525.00% | Subsidiaries increased bank acceptance bill payments | | Contract Liabilities | 124.17% | Increase in sales with prepayment method | | Non-current Liabilities Due Within One Year | -66.93% | Repayment of maturing debt and long-term borrowings | | Long-term Borrowings | 100.83% | Increase in current period credit borrowings | | **Profit** | | | | Investment Income | 49.02% | Increase in income from investments in associates and joint ventures | | Asset Impairment Losses | 8409.49% | Increase in provision for inventory depreciation in current period | [Analysis of Progress, Impact, and Solutions for Significant Matters](index=9&type=section&id=3.2%20Analysis%20of%20Progress%2C%20Impact%2C%20and%20Solutions%20for%20Significant%20Matters) During the reporting period, the company had no significant matter progress, overdue unfulfilled commitments, or major performance change warnings - During the reporting period, the company had no important matter progress, overdue unfulfilled commitments, or warnings of significant performance changes from the beginning of the year to the end of the next reporting period[14](index=14&type=chunk) [Appendix](index=10&type=section&id=Item%20IV.%20Appendix) This appendix provides the company's unaudited consolidated and parent company financial statements for the third quarter of 2020, along with explanations for accounting standard changes [Financial Statements](index=10&type=section&id=4.1%20Financial%20Statements) This chapter provides the company's unaudited 2020 third-quarter consolidated and parent company financial statements, including balance sheets, income statements, and cash flow statements [Consolidated Balance Sheet](index=10&type=section&id=Consolidated%20Balance%20Sheet) As of September 30, 2020, the company's total assets increased by 5.82% to 29.09 billion CNY, while total liabilities slightly increased by 0.70% to 16.33 billion CNY, and equity attributable to parent company owners grew by 15.57% to 7.40 billion CNY Consolidated Balance Sheet Key Items (Unit: billion CNY) | Item | Sep 30, 2020 | Dec 31, 2019 | Change | | :--- | :--- | :--- | :--- | | Total Assets | 29.09 | 27.49 | +5.82% | | Total Liabilities | 16.33 | 16.21 | +0.70% | | Equity Attributable to Parent Company Owners | 7.40 | 6.40 | +15.57% | [Parent Company Balance Sheet](index=13&type=section&id=Parent%20Company%20Balance%20Sheet) As of September 30, 2020, the parent company's total assets increased by 6.95% to 20.02 billion CNY, with total liabilities rising by 9.45% to 18.87 billion CNY, resulting in a high asset-liability ratio Parent Company Balance Sheet Key Items (Unit: billion CNY) | Item | Sep 30, 2020 | Dec 31, 2019 | Change | | :--- | :--- | :--- | :--- | | Total Assets | 20.02 | 18.72 | +6.95% | | Total Liabilities | 18.87 | 17.24 | +9.45% | | Owners' Equity | 1.15 | 1.48 | -22.08% | [Consolidated Income Statement](index=15&type=section&id=Consolidated%20Income%20Statement) In the first three quarters of 2020, the company's total operating revenue decreased by 8.24% to 8.03 billion CNY, yet net profit attributable to the parent company increased by 12.68% to 763 million CNY, driven by cost control and increased investment income Consolidated Income Statement Key Items (Jan-Sep 2020) | Item | Jan-Sep 2020 (CNY) | Jan-Sep 2019 (CNY) | YoY Change | | :--- | :--- | :--- | :--- | | Total Operating Revenue | 8,027,064,461.07 | 8,747,955,634.16 | -8.24% | | Total Operating Costs | 6,390,595,261.25 | 7,060,685,908.53 | -9.49% | | Total Profit | 1,736,690,506.23 | 1,693,004,324.93 | +2.58% | | Net Profit Attributable to Parent Company | 762,973,521.02 | 677,144,572.38 | +12.68% | [Parent Company Income Statement](index=20&type=section&id=Parent%20Company%20Income%20Statement) In the first three quarters of 2020, the parent company's operating revenue increased by 5.52% to 401 million CNY, and its net loss narrowed to 331 million CNY from 473 million CNY in the prior year, primarily due to increased investment income and reduced financial expenses - The parent company's net loss for the first three quarters of 2020 was **330.97 million CNY**, a reduction compared to the net loss of **473.38 million CNY** in the same period last year[28](index=28&type=chunk)[29](index=29&type=chunk) [Consolidated Cash Flow Statement](index=22&type=section&id=Consolidated%20Cash%20Flow%20Statement) In the first three quarters of 2020, the company's net cash flow from operating activities increased by 16.69% to 2.28 billion CNY, indicating strong core business cash generation, with a healthy cash and cash equivalents balance of 9.53 billion CNY Consolidated Cash Flow Statement Summary (Jan-Sep 2020) | Item | Amount (CNY) | | :--- | :--- | | Net Cash Flow from Operating Activities | 2,277,497,493.80 | | Net Cash Flow from Investing Activities | -542,409,315.64 | | Net Cash Flow from Financing Activities | -281,097,377.91 | | Net Increase in Cash and Cash Equivalents | 1,453,990,800.25 | [Parent Company Cash Flow Statement](index=24&type=section&id=Parent%20Company%20Cash%20Flow%20Statement) In the first three quarters of 2020, the parent company's net cash flow from operating activities increased by 11.55% to 1.24 billion CNY, with a period-end cash and cash equivalents balance of 8.10 billion CNY - The parent company's net cash flow from operating activities was **1.24 billion CNY**, an **11.55%** increase from **1.11 billion CNY** in the same period last year[34](index=34&type=chunk)[36](index=36&type=chunk) [Adjustments to Financial Statements at the Beginning of the First Year of Adoption of New Revenue and Lease Standards from 2020](index=25&type=section&id=4.2%20Adjustments%20to%20Financial%20Statements%20at%20the%20Beginning%20of%20the%20First%20Year%20of%20Adoption%20of%20New%20Revenue%20and%20Lease%20Standards%20from%202020) Effective January 1, 2020, the company adopted new revenue standards, reclassifying 'Prepayments from Customers' to 'Contract Liabilities' without impacting total assets, liabilities, or net assets - The company adopted new revenue standards effective **January 1, 2020**, primarily reclassifying "Prepayments from Customers" to "Contract Liabilities"[40](index=40&type=chunk)[43](index=43&type=chunk) Accounting Standard Change Adjustments (January 1, 2020) | Statement | Before Adjustment Item | Before Adjustment Amount (CNY) | After Adjustment Item | After Adjustment Amount (CNY) | | :--- | :--- | :--- | :--- | :--- | | Consolidated Balance Sheet | Prepayments from Customers | 145,842,409.35 | Contract Liabilities | 145,842,409.35 | | Parent Company Balance Sheet | Prepayments from Customers | 97,474,259.04 | Contract Liabilities | 97,474,259.04 |

Financial Performance - The company's operating revenue for the first half of 2020 was ¥5,166,298,611.18, a decrease of 9.37% compared to ¥5,700,430,253.64 in the same period last year[16]. - The net profit attributable to shareholders of the listed company was ¥440,304,691.87, down 3.22% from ¥454,938,324.39 in the previous year[16]. - The net cash flow from operating activities was ¥1,312,894,747.93, representing an 18.26% decrease from ¥1,606,115,218.78 in the same period last year[16]. - Basic earnings per share for the first half of 2020 were ¥0.26, a decrease of 3.70% from ¥0.27 in the same period last year[17]. - The weighted average return on net assets was 6.65%, down 1.28 percentage points from 7.93% in the previous year[17]. - The company reported a total comprehensive income attributable to the parent company of approximately ¥440.30 million, a slight decrease from ¥454.94 million in the same period of 2019[92]. - The net profit for the first half of 2020 was a loss of ¥232.02 million, an improvement from a loss of ¥317.69 million in the same period of 2019[95]. Assets and Liabilities - The total assets at the end of the reporting period were ¥27,112,126,110.83, a decrease of 1.37% compared to ¥27,489,175,723.66 at the end of the previous year[16]. - Total liabilities increased by 23.54% to ¥3,417,795,219.29 from ¥2,766,459,100.60[30]. - The company's cash and cash equivalents at the end of the period were approximately 7.725 billion yuan, accounting for 28.49% of total assets[28]. - The total liabilities decreased from CNY 16,212,383,986.42 in December 2019 to CNY 14,907,468,707.56 in June 2020, a reduction of about 8.0%[86]. - The total equity attributable to shareholders increased from CNY 6,404,376,767.73 in December 2019 to CNY 7,015,535,521.40 in June 2020, an increase of approximately 9.5%[86]. Cash Flow - The net cash flow from operating activities for the first half of 2020 was 447,005,277.73, a decrease from 1,522,152,729.57 in the same period of 2019[101]. - Cash inflow from financing activities totaled 2,507,550,000.00, down from 2,600,000,000.00 in the previous year[102]. - The net increase in cash and cash equivalents was -674,990,025.74, a significant decline from an increase of 1,354,184,053.95 in the first half of 2019[102]. Market and Industry Conditions - In the first half of 2020, China's coal production reached 180,541 million tons, a year-on-year increase of 0.6%[21]. - The cumulative import of thermal coal in the first half of 2020 was 75.54 million tons, an increase of 21.39 million tons or 39.5% year-on-year[21]. - The mining industry's main business revenue for the first half of 2020 was ¥1,774.34 billion, a year-on-year decrease of 11.2%[21]. - The coal mining and washing industry achieved a main business revenue of ¥915.8 billion, down 11.8% year-on-year[21]. Operational Efficiency and Cost Management - The company focused on cost control and efficiency improvement, with a net cash flow from operating activities of approximately 1.313 billion yuan, down 18.26% year-on-year[26]. - The company reported a significant reduction in financial expenses by 38.12% to approximately 152.23 million yuan due to decreased borrowing costs[26]. - Operating revenue decreased by 9.37% year-on-year to approximately 5.166 billion yuan, while operating costs decreased by 3.93% to approximately 2.475 billion yuan[26]. Environmental and Safety Measures - The company has installed desulfurization and dust removal equipment on all 10 boilers at the Tashan Baidong Well, ensuring emissions meet standards[58]. - The company has stopped using coal-fired boilers since May 1, 2020, and has ceased the use of associated flue gas treatment facilities[58]. - The company has conducted emergency drills for environmental incidents annually, following the established emergency response plan[60]. Corporate Governance and Compliance - The company reported no non-operating fund occupation by controlling shareholders or related parties[5]. - There were no violations of decision-making procedures for external guarantees[5]. - The company has maintained a good integrity status during the reporting period, with no records of failing to fulfill court judgments or significant debts due[44]. Shareholder Information - The largest shareholder, Datong Coal Mine Group Co., Ltd., holds 961,632,508 shares, accounting for 57.46% of the total shares[68]. - The company has a total of 80,304 common stock shareholders as of the end of the reporting period[67]. Risk Factors - The company faces risks including safety production risks and market competition risks[36]. - The company anticipates rising costs due to complex mining conditions and increased production factors[37]. - The company is under pressure for transformation and upgrading due to slowing economic growth and declining coal consumption[37].

[Part I Definitions](index=4&type=section&id=第一节%20释义) This section provides definitions for key terms used throughout the report, clarifying references to the company, board of directors, and major associated entities, and defines the reporting period [I. Definitions](index=4&type=section&id=一、释义) This section defines frequently used terms in the report, clarifying references for key terms like 'Company,' 'Board of Directors,' and 'Supervisory Board,' along with full names of major affiliates such as 'Datong Coal Group' and 'Tashan Coal Mine,' and specifies the reporting period from January 1, 2019, to December 31, 2019 - The reporting period is defined as **January 1, 2019, to December 31, 2019**[8](index=8&type=chunk) - It clarifies that 'the Company' refers to Datong Coal Industry Co., Ltd., and 'Datong Coal Group' refers to Datong Coal Mine Group Co., Ltd.[8](index=8&type=chunk) [Part II Company Profile and Key Financial Indicators](index=4&type=section&id=第二节%20公司简介和主要财务指标) This section provides the company's basic information, contact details, stock overview, and a summary of key financial data and performance indicators for the past three years [I. Company Information](index=4&type=section&id=一、公司信息) This section discloses the company's basic registration information, including its Chinese name 'Datong Coal Industry Co., Ltd.' and its abbreviation 'Datong Coal Industry,' its English name 'DaTong Coal Industry Co.,Ltd' and its abbreviation 'DTCIC,' and its legal representative Wu Wangguo - The company's Chinese name is Datong Coal Industry Co., Ltd., abbreviated as **Datong Coal Industry**[9](index=9&type=chunk) - The company's legal representative is **Wu Wangguo**[9](index=9&type=chunk) [II. Contact Persons and Information](index=4&type=section&id=二、联系人和联系方式) This section provides contact information for the company's Board Secretary Qian Jianjun and Securities Affairs Representative Li Juping, including address, phone, fax, and email, to facilitate communication with investors and relevant parties - The Board Secretary is **Qian Jianjun**, and the Securities Affairs Representative is **Li Juping**[10](index=10&type=chunk) - The contact address is Datong Coal Industry Co., Ltd., Xinpingwang, Yungang District, Datong City, Shanxi Province[10](index=10&type=chunk) [III. Brief Introduction to Basic Information](index=4&type=section&id=三、基本情况简介) The company's registered and office addresses are both located in Xinpingwang, Mining Area, Datong City, Shanxi Province, with postal code 037003, website http://www.dtmy.com.cn, and email public@dtmy.com.cn - The company's registered and office addresses are both in Xinpingwang, Mining Area, Datong City, Shanxi Province[11](index=11&type=chunk)[12](index=12&type=chunk) - The company's website is **http://www.dtmy.com.cn**[12](index=12&type=chunk) [IV. Information Disclosure and Document Availability](index=5&type=section&id=四、信息披露及备置地点) The company designates China Securities Journal, Shanghai Securities News, and Securities Daily as information disclosure media, publishes its annual report on www.sse.com.cn, and the Board Secretary's office serves as the location for annual report availability - The company designates **China Securities Journal, Shanghai Securities News, and Securities Daily** as its information disclosure media[13](index=13&type=chunk) - The annual report is published on the CSRC-designated website **www.sse.com.cn**[13](index=13&type=chunk) [V. Company Stock Overview](index=5&type=section&id=五、公司股票简况) The company's A-shares are listed and traded on the Shanghai Stock Exchange, with stock abbreviation 'Datong Coal Industry' and stock code 601001 - The company's A-shares are listed on the **Shanghai Stock Exchange**[14](index=14&type=chunk) - The stock abbreviation is **'Datong Coal Industry'** and the stock code is **'601001'**[14](index=14&type=chunk) [VI. Other Relevant Information](index=5&type=section&id=六、其他相关资料) The company's appointed domestic accounting firm is Lixin Certified Public Accountants (Special General Partnership), with its office located on the fourth floor of No. 61 Nanjing East Road, Huangpu District, Shanghai, and the signing accountants are Liu Zhihong and Dong Xinming - The company appointed **Lixin Certified Public Accountants (Special General Partnership)** for auditing[15](index=15&type=chunk) - The signing accountants are **Liu Zhihong and Dong Xinming**[15](index=15&type=chunk) [VII. Key Accounting Data and Financial Indicators for the Past Three Years](index=5&type=section&id=七、近三年主要会计数据和财务指标) In 2019, the company's operating revenue increased by 0.88% to 11.36 billion yuan, net profit attributable to shareholders rose by 36.04% to 897.46 million yuan, basic earnings per share increased to 0.54 yuan/share, and weighted average return on net assets improved by 2.51 percentage points to 15.06%; however, net cash flow from operating activities decreased by 23.63% Key Accounting Data for the Past Three Years | Item | 2019 (yuan) | 2018 (yuan) | Change YOY (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 11,358,049,184.90 | 11,258,568,834.70 | 0.88 | | Net Profit Attributable to Shareholders of Listed Company | 897,462,176.08 | 659,711,219.09 | 36.04 | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-recurring Gains and Losses) | 884,564,845.14 | 656,277,725.93 | 34.79 | | Net Cash Flow from Operating Activities | 2,694,562,554.93 | 3,528,429,730.37 | -23.63 | | Net Assets Attributable to Shareholders of Listed Company (2019 Year-end/2018 Year-end) | 6,404,376,767.73 | 5,510,701,504.97 | 16.22 | | Total Assets (2019 Year-end/2018 Year-end) | 27,489,175,723.66 | 25,367,176,331.03 | 8.37 | Key Financial Indicators for the Past Three Years | Item | 2019 | 2018 | Change YOY (%) | | :--- | :--- | :--- | :--- | | Basic Earnings Per Share (yuan/share) | 0.54 | 0.39 | 38.46 | | Diluted Earnings Per Share (yuan/share) | 0.54 | 0.39 | 38.46 | | Basic Earnings Per Share (Excluding Non-recurring Gains and Losses) (yuan/share) | 0.53 | 0.39 | 35.90 | | Weighted Average Return on Net Assets (%) | 15.06 | 12.55 | Increased by 2.51 percentage points | | Weighted Average Return on Net Assets (Excluding Non-recurring Gains and Losses) (%) | 14.85 | 12.48 | Increased by 2.37 percentage points | [VIII. Differences in Accounting Data Under Domestic and Overseas Accounting Standards](index=6&type=section&id=八、境内外会计准则下会计数据差异) During the reporting period, the company reported no differences in net profit and net assets attributable to shareholders of the listed company between financial reports prepared under international accounting standards and Chinese accounting standards, or between overseas accounting standards and Chinese accounting standards - The company has **no differences in accounting data** under domestic and overseas accounting standards[18](index=18&type=chunk) [IX. Key Quarterly Financial Data for 2019](index=6&type=section&id=九、2019%20年分季度主要财务数据) In 2019, quarterly operating revenue remained relatively stable, with the second quarter being the highest at 3.06 billion yuan; net profit attributable to shareholders fluctuated slightly between 218 million yuan and 236 million yuan, and net cash flow from operating activities peaked at 1.12 billion yuan in the second quarter Key Quarterly Financial Data for 2019 | Indicator | Q1 (Jan-Mar) (yuan) | Q2 (Apr-Jun) (yuan) | Q3 (Jul-Sep) (yuan) | Q4 (Oct-Dec) (yuan) | | :--- | :--- | :--- | :--- | :--- | | Operating Revenue | 2,637,363,900.20 | 3,063,066,353.44 | 3,047,525,380.52 | 2,610,093,550.74 | | Net Profit Attributable to Shareholders of Listed Company | 236,055,053.54 | 218,883,270.85 | 222,206,247.99 | 220,317,603.70 | | Net Profit Attributable to Shareholders of Listed Company (Excluding Non-recurring Gains and Losses) | 218,677,743.14 | 234,716,637.76 | 223,969,923.08 | 207,200,541.08 | | Net Cash Flow from Operating Activities | 488,166,553.09 | 1,117,948,665.69 | 345,596,757.44 | 742,850,578.71 | [X. Non-recurring Gains and Losses Items and Amounts](index=6&type=section&id=十、非经常性损益项目和金额) In 2019, the company's total non-recurring gains and losses amounted to 12.90 million yuan, primarily including gains/losses from disposal of non-current assets, government subsidies, entrusted management fee income, and other non-operating income/expenses, showing a significant increase compared to 2018 Non-recurring Gains and Losses Items and Amounts | Non-recurring Gains and Losses Item | 2019 Amount (yuan) | 2018 Amount (yuan) | 2017 Amount (yuan) | | :--- | :--- | :--- | :--- | | Gains/Losses from Disposal of Non-current Assets | 14,217,928.71 | 0 | 514,476,893.67 | | Government Subsidies Included in Current Profit/Loss | 16,280,720.53 | 16,703,311.31 | 41,238,508.52 | | Entrusted Management Fee Income | 1,981,132.08 | 1,981,132.08 | 1,957,870.26 | | Other Non-operating Income and Expenses Apart from the Above | -9,265,535.41 | -18,231,027.39 | -5,501,209.96 | | Impact on Minority Shareholders' Equity | -8,221,484.43 | 2,980,077.16 | -12,444,507.87 | | Income Tax Impact | -2,095,430.54 | 0 | -8,730,258.40 | | Total | 12,897,330.94 | 3,433,493.16 | 530,997,296.22 | [Part III Company Business Overview](index=8&type=section&id=第三节%20公司业务概要) This section outlines the company's primary business activities, operating model, and industry conditions, including detailed analyses of the coal, activated carbon, and kaolin markets, along with an assessment of core competencies [1. Description of Main Business, Operating Model, and Industry Conditions During the Reporting Period](index=8&type=section&id=1.%20报告期内公司所从事的主要业务、经营模式及行业情况说明) The company primarily engages in coal production and sales, along with mechanical manufacturing, kaolin processing and sales, and activated carbon production and sales; its operating model centers on coal and related chemical product production and sales, facing a general decline in coal prices, increased activated carbon output with slowing demand, and kaolin industry overcapacity and price drops in 2019 - The company's main businesses include **coal mining, processing, and sales**, as well as **mechanical manufacturing, kaolin processing and sales, and activated carbon production and sales**[23](index=23&type=chunk) - The operating model primarily focuses on the production and sales of **coal and related chemical products** (thermal coal, activated carbon, kaolin)[23](index=23&type=chunk) [1.1 Coal Market Analysis](index=8&type=section&id=1.1%20煤炭市场分析) In 2019, China's coal prices generally declined by approximately 3.16% due to economic slowdown, low power demand, and increased coal imports; the company produced 33.78 million tons of raw coal, sold 28.20 million tons of commercial coal at 383.62 yuan/ton, generating 10.82 billion yuan in sales revenue - In 2019, China's coal prices generally declined, with the Bohai-Rim Thermal Coal Price Index falling by approximately **3.16%**[23](index=23&type=chunk) Company Coal Production and Operations in 2019 | Product | Raw Coal Output (million tons) | Commercial Coal Sales (million tons) | Sales Price (yuan/ton) | Sales Revenue (million yuan) | Sales Cost (million yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Coal | 33.78 | 28.20 | 383.62 | 1,081,633.28 | 465,830.89 | [1.2 Activated Carbon Market Analysis](index=8&type=section&id=1.2%20活性炭市场分析) In 2019, total activated carbon output reached a record high of 1.28 million tons, a 42.2% increase, but industry expansion slowed significantly in the second half due to economic deceleration and environmental inspections; the company produced 57,100.90 tons and sold 43,610.46 tons of activated carbon, generating 259.39 million yuan in sales revenue - In 2019, total activated carbon output increased by **42.2%**, but industry expansion slowed in the second half[25](index=25&type=chunk) Company Activated Carbon Production and Operations in 2019 | Product | Output (tons) | Sales Volume (tons) | Sales Price (yuan/ton) | Sales Revenue (million yuan) | Sales Cost (million yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Activated Carbon | 57,100.90 | 43,610.46 | 5947.98 | 25,939.41 | 25,615.79 | [1.3 Kaolin Market Analysis](index=8&type=section&id=1.3%20高岭土市场分析) China possesses unique coal-series kaolin resources, but the calcined kaolin industry faces severe overcapacity and continuous price declines due to reduced downstream capacity and formula improvements; the company produced 0.064 million tons and sold 0.194 million tons of kaolin, generating 29.38 million yuan in sales revenue - The calcined kaolin industry faces a severe market situation of **overcapacity and continuous price declines**[27](index=27&type=chunk) Company Kaolin Production and Operations in 2019 | Product | Output (million tons) | Sales Volume (million tons) | Sales Price (yuan/ton) | Sales Revenue (million yuan) | Sales Cost (million yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Kaolin | 0.064 | 0.194 | 1,516.55 | 2,937.95 | 2,046.39 | [2. Explanation of Significant Changes in Company's Major Assets During the Reporting Period](index=9&type=section&id=2.%20报告期内公司主要资产发生重大变化情况的说明) During the reporting period, no significant changes occurred in the company's major assets [3. Analysis of Core Competitiveness During the Reporting Period](index=9&type=section&id=3.%20报告期内核心竞争力分析) The company's core competitiveness stems from its high-quality thermal coal resources, convenient transportation, strong resource reserves from its controlling shareholder, robust technological advantages, and a comprehensive safety production management system - The company is renowned for its **high-quality thermal coal** with low ash, low sulfur, and high calorific value, maintaining a good market reputation and stable customer base[29](index=29&type=chunk) - Located at the starting point of the Daqin Railway, the company benefits from **convenient transportation**; its controlling shareholder, Datong Coal Group, possesses **abundant resource reserves**, indicating potential for asset injection[29](index=29&type=chunk) - The company boasts **strong technological advantages**, collaborating with renowned research institutions and achieving breakthroughs in fully mechanized top-coal caving technology for extra-thick coal seams[29](index=29&type=chunk) - The company places high importance on **safety production**, having established a comprehensive safety production responsibility system[29](index=29&type=chunk) [Part IV Discussion and Analysis of Operations](index=9&type=section&id=第四节%20经营情况讨论与分析) This section discusses the company's operational performance, key financial changes, and future development plans, including an analysis of industry trends, strategic goals, and potential risks [I. Discussion and Analysis of Operations](index=9&type=section&id=一、经营情况讨论与分析) In 2019, the company focused on its core coal business, enhancing production efficiency through refined management and technological innovation, ensuring stable operations with strengthened safety management, and achieving sales growth by actively responding to market changes; significant progress was also made in intelligent mine construction, corporate governance, and high-quality development through optimized capital management, structural adjustments, and equity investments - In 2019, the company achieved **11.12 billion yuan in main business revenue**, **33.78 million tons of coal output**, **28.20 million tons of coal sales**, **2.22 billion yuan in total profit**, **1.37 billion yuan in net profit**, and **897.46 million yuan in net profit attributable to the parent company**[30](index=30&type=chunk) - The company improved the quality and efficiency of its core coal business by **intensifying daily management of fully mechanized mining faces**, strengthening roof management, overcoming on-site operational challenges, and optimizing processes[30](index=30&type=chunk) - The company deepened safety management by **strengthening hazard identification**, increasing special rectification efforts, focusing on key area management, and strictly controlling on-site operations to ensure stable production[31](index=31&type=chunk) - The company actively responded to the market, achieving **steady growth in sales efficiency** through measures such as adjusting customer ratios, differentiated pricing, optimizing coal quality structure, and port coal blending[31](index=31&type=chunk) - Intelligent mine construction progressed smoothly, with the **Tashan 8222 working face successfully deploying 15 million tons-level intelligent top-coal caving technology**, becoming an industry leader[31](index=31&type=chunk) - The company strengthened standardized operations, improved internal control systems, strictly fulfilled information disclosure obligations, and was rated as an **AAA-level credit enterprise in the coal industry**[31](index=31&type=chunk)[32](index=32&type=chunk) - The company promoted high-quality development by **optimizing capital management** (financial expenses decreased by **59.47 million yuan** year-on-year), **optimizing management innovation** (Tashan Mine's approved capacity increased by **10.60 million tons**), implementing **structural adjustments** (activated carbon and kaolin companies reduced losses), and engaging in **equity investments** (Datong Coal Qi Yin Equity Investment Private Fund achieved **65.50 million yuan in income**)[32](index=32&type=chunk) [II. Key Operating Performance During the Reporting Period](index=11&type=section&id=二、报告期内主要经营情况) During the reporting period, the company's operating revenue saw a slight increase, but net cash flow from operating activities decreased; coal business remained core with increased production and sales and improved gross margin, while activated carbon production and sales grew significantly, and kaolin production and sales declined; the company's expense structure changed with the first disclosure of R&D expenses, and its asset-liability structure adjusted with a substantial increase in short-term borrowings and a decrease in taxes payable; Tashan Coal Mine, a major subsidiary, showed strong profitability, while Selian Coal Mine remained at a loss [I) Analysis of Main Business](index=11&type=section&id=(一)%20主营业务分析) In 2019, the company's operating revenue increased by 0.88% while operating costs decreased by 6.86%; sales and administrative expenses both rose, but financial expenses decreased by 9.52%; net cash flow from operating activities declined by 23.63%, while net cash flows from investing and financing activities significantly improved; the gross margin for coal business increased by 3.36 percentage points to 56.93%, and activated carbon gross margin significantly rose by 25.01 percentage points to 1.25% Analysis of Profit Statement and Cash Flow Statement Related Items | Item | Current Period Amount (yuan) | Prior Period Amount (yuan) | Change (%) | | :--- | :--- | :--- | :--- | | Operating Revenue | 11,358,049,184.90 | 11,258,568,834.70 | 0.88 | | Operating Cost | 5,078,072,418.06 | 5,452,123,116.75 | -6.86 | | Selling Expenses | 2,202,472,158.36 | 2,015,054,648.12 | 9.30 | | Administrative Expenses | 478,254,856.40 | 433,262,609.58 | 10.38 | | R&D Expenses | 174,889,708.67 | 0 | - | | Financial Expenses | 565,364,722.65 | 624,841,007.24 | -9.52 | | Net Cash Flow from Operating Activities | 2,694,562,554.93 | 3,528,429,730.37 | -23.63 | | Net Cash Flow from Investing Activities | -269,124,373.17 | -1,262,602,579.74 | 78.68 | | Net Cash Flow from Financing Activities | -1,192,379,851.06 | -3,766,378,721.68 | 68.34 | Main Business by Industry Segment | Industry Segment | Operating Revenue (yuan) | Operating Cost (yuan) | Gross Margin (%) | Operating Revenue Change YOY (%) | Operating Cost Change YOY (%) | Gross Margin Change YOY (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Coal | 10,816,332,783.69 | 4,658,308,936.26 | 56.93% | 1.01 | -6.30 | Increased by 3.36 percentage points | | Activated Carbon | 259,394,075.07 | 256,157,894.25 | 1.25% | 35.05 | 7.76 | Increased by 25.01 percentage points | | Building Materials | 3,795,996.33 | 2,494,569.26 | 34.28% | -79.74 | -86.46 | Increased by 32.62 percentage points | | Kaolin and Coatings | 44,396,757.52 | 30,930,439.06 | 30.33% | -35.34 | -59.28 | Increased by 40.94 percentage points | Production and Sales Volume Analysis Table | Main Product | Unit | Production Volume | Sales Volume | Inventory Volume | Production Volume Change YOY (%) | Sales Volume Change YOY (%) | Inventory Volume Change YOY (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Coal | million tons | 33.78 | 28.20 | 0.23 | 8.76 | 6.87 | 37.02 | | Activated Carbon | tons | 57,100.90 | 43,610.46 | 18,474.79 | 71.38 | 28.37 | 270.32 | | Kaolin | million tons | 0.064 | 0.194 | 0.0025 | -87.76% | -55.61% | -83.77 | Expense Fluctuation | Item | 2019 Annual (yuan) | 2018 Annual (yuan) | Comparison (%) | | :--- | :--- | :--- | :--- | | Business Taxes and Surcharges | 723,645,847.74 | 728,953,076.53 | -0.73 | | Selling Expenses | 2,202,472,158.36 | 2,015,054,648.12 | 9.30 | | Administrative Expenses | 478,254,856.40 | 433,262,609.58 | 10.38 | | R&D Expenses | 174,889,708.67 | 0 | - | | Financial Expenses | 565,364,722.65 | 624,841,007.24 | -9.52 | | Asset Impairment Losses | 67,928,875.84 | 182,733,722.52 | -62.83 | | Credit Impairment Losses | 28,984,265.71 | 0 | - | Cash Flow Fluctuation | Item | 2019 Annual (yuan) | 2018 Annual (yuan) | Comparison (%) | | :--- | :--- | :--- | :--- | | Net Cash Flow from Operating Activities | 2,694,562,554.93 | 3,528,429,730.37 | -23.63 | | Net Cash Flow from Investing Activities | -269,124,373.17 | -1,262,602,579.74 | 78.68 | | Net Cash Flow from Financing Activities | -1,192,379,851.06 | -3,766,378,721.68 | 68.34 | - Sales to the **top five customers accounted for 44.44%** of total annual sales, with **related party sales comprising 13.36%**; purchases from the **top five suppliers accounted for 39.29%** of total annual purchases, with **related party purchases making up 37.65%**[40](index=40&type=chunk) [II) Explanation of Significant Profit Changes Caused by Non-Core Businesses](index=16&type=section&id=(二)%20非主营业务导致利润重大变化的说明) During the reporting period, there were no significant profit changes in the company caused by non-core businesses [III) Analysis of Assets and Liabilities](index=16&type=section&id=(三)%20资产、负债情况分析) At the end of 2019, the company's total assets increased by 8.37% to 27.49 billion yuan; within current assets, monetary funds and notes receivable significantly increased, while short-term borrowings surged by 324.57% to 4.08 billion yuan; long-term borrowings and bonds payable among non-current liabilities decreased, but provisions for liabilities increased by 897.80 million yuan due to the recognition of land reclamation and environmental restoration expenses Asset and Liability Status Changes | Item Name | 2019 Year-end Amount (yuan) | Proportion of Total Assets at Period-end (%) | Prior Period-end Amount (yuan) | Proportion of Total Assets at Prior Period-end (%) | Change from Prior Period-end (%) | Explanation | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Monetary Funds | 8,091,721,505.50 | 29.44 | 6,864,732,503.74 | 27.06 | 17.87 | | | Notes Receivable | 287,689,646.39 | 1.05 | 41,813,392.81 | 0.16 | 588.03 | Increase in bank acceptance bills this period | | Inventories | 450,002,153.57 | 1.64 | 321,640,449.81 | 1.27 | 39.91 | Increase in inventory goods this period | | Short-term Borrowings | 4,075,913,522.37 | 14.83 | 960,000,000.00 | 3.78 | 324.57 | Increase in short-term credit borrowings this period | | Taxes Payable | 488,452,576.46 | 1.78 | 1,034,780,855.85 | 4.08 | -52.80 | Decrease in VAT, corporate income tax, etc., payable this period compared to prior period | | Provisions for Liabilities | 897,795,147.26 | 3.27 | 0 | 0 | 100.00 | Recognition of land reclamation and environmental restoration expenses | | Retained Earnings | 2,513,857,566.13 | 9.14 | 1,616,395,390.05 | 6.37 | 55.52 | Retained earnings attributable to the parent company increased due to higher coal mine sales | [IV) Industry Operating Information Analysis](index=18&type=section&id=(四)%20行业经营性信息分析) The company's coal business primarily focuses on thermal coal, generating 10.82 billion yuan in sales revenue and 6.16 billion yuan in gross profit in 2019; the company possesses abundant coal reserves, with total resources of 5.40 billion tons and recoverable reserves of 2.90 billion tons; Xinzhouyao Mine's capacity changed to 0.60 million tons/year, and Selian Coal Mine's approved capacity is 5.00 million tons/year Key Coal Operating Information | Coal Type | Output (tons) | Sales Volume (tons) | Sales Revenue (billion yuan) | Sales Cost (billion yuan) | Gross Profit (billion yuan) | | :--- | :--- | :--- | :--- | :--- | :--- | | Thermal Coal | 33,776,574.60 | 28,198,296.01 | 10.82 | 4.66 | 6.16 | Coal Reserve Situation | Main Mining Area | Resource Reserves (tons) | Recoverable Reserves (tons) | | :--- | :--- | :--- | | Xinzhouyao Mine | 97,532,000 | 47,508,000 | | Tashan Coal Mine | 4,567,439,000 | 2,519,485,000 | | Selian Mine | 738,860,000 | 330,490,000 | | Total | 5,403,831,000 | 2,897,483,000 | - Xinzhouyao Mine's production capacity was changed to **0.60 million tons/year**, and Selian Coal Mine's approved capacity is **5.00 million tons/year**[49](index=49&type=chunk) [V) Investment Status Analysis](index=19&type=section&id=(五)%20投资状况分析) During the reporting period, the company did not undertake any significant equity investments, non-equity investments, or changes in financial assets measured at fair value [VI) Major Asset and Equity Sales](index=20&type=section&id=(六)%20重大资产和股权出售) During the reporting period, the company did not engage in any major asset or equity sales [VII) Analysis of Major Holding and Participating Companies](index=20&type=section&id=(七)%20主要控股参股公司分析) The company's major holding subsidiary, Tashan Coal Mine, demonstrated strong profitability with a net profit of 2.50 billion yuan in 2019, where the company holds a 72% stake; Selian Coal Mine remained at a loss with a net profit of -469.43 million yuan, with the company holding a 51% stake; the participating company, Finance Company, earned 372.48 million yuan, with the company holding a 20% stake Operating Performance of Major Holding and Participating Companies | Company Name | Registered Address | Business Scope | Registered Capital (million yuan) | Total Assets (million yuan) | Net Assets (million yuan) | Operating Revenue (million yuan) | Net Profit (million yuan) | Shareholding Ratio | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Tashan Coal Mine | Datong City, Shanxi Province | Coal production and sales | 2,072.54 | 17,811.16 | 14,236.43 | 10,328.60 | 2,500.53 | 72% | | Selian Coal Mine | Ordos City, Inner Mongolia Autonomous Region | Mining investment | 1,200.00 | 5,743.73 | 1,806.01 | 3,489.17 | -469.43 | 51% | | Finance Company | Datong City, Shanxi Province | Financial services | 3,000.00 | 23,202.62 | 5,720.25 | 1,009.06 | 372.48 | 20% | [VIII) Information on Structured Entities Controlled by the Company](index=20&type=section&id=(八)%20公司控制的结构化主体情况) During the reporting period, the company had no structured entities under its control [III. Discussion and Analysis of the Company's Future Development](index=20&type=section&id=三、公司关于公司未来发展的讨论与分析) The company faces multiple challenges including slowing global economic growth, weak coal demand, and international oil price drops, alongside internal issues such as mine safety risks, insufficient profitability, slow cultivation of quality assets, and difficulties in divesting non-performing assets; however, national policy support, Shanxi Province's high-quality development strategy, and coal's status as a primary energy source offer favorable opportunities for transformation, with the company aiming for high-quality development by deepening its core coal business, upgrading industrial structure, strengthening capital operations, and advancing technological breakthroughs - The company faces multiple external challenges, including **slowing global economic growth, weak demand for power coal, increased coal imports, plummeting international crude oil prices, and the short-term impact of the COVID-19 pandemic**[53](index=53&type=chunk) - The company's internal challenges include **mine safety risks, insufficient coal profitability, slow progress in cultivating high-quality asset projects, and significant difficulties in debt and personnel disposal for divesting non-performing assets**[54](index=54&type=chunk) - Favorable factors for the company's development include the macro background of **national economic upgrading, technological innovation, deepening reform and opening-up, and green development**, Shanxi Province's high-quality development policies, and coal's **primary role in energy security**[54](index=54&type=chunk) - The company's development strategy revolves around the goals of 'stricter, higher, stronger, and better,' aiming to build a 'new era Datong Coal' that is **innovative, harmonious, prosperous, and revitalized**, committed to consolidating and strengthening its competitive advantages in coal mining and processing, and becoming a **first-class domestic and internationally competitive large-scale modern coal enterprise**[55](index=55&type=chunk) [I) Industry Landscape and Trends](index=20&type=section&id=(一)%20行业格局和趋势) In 2020, the coal industry faces adverse factors such as slowing global economic growth, increased domestic economic downward pressure, growing new energy substitution, and the short-term impact of the COVID-19 pandemic, leading to decreased coal demand; simultaneously, increased coal railway capacity and accelerated production release are expected to gradually shift the market supply and demand towards a looser state, while the company itself faces challenges including safety risks, insufficient profitability, slow cultivation of quality projects, and difficulties in divesting non-performing assets - In 2020, coal consumption growth is expected to be limited, with accelerated domestic coal capacity release and increased transportation capacity, leading to a gradual shift towards a **looser market supply and demand**[53](index=53&type=chunk) - The company faces challenges such as **mine safety risks, insufficient coal profitability, slow progress in cultivating high-quality asset projects, and significant difficulties in debt and personnel disposal for divesting non-performing assets**[54](index=54&type=chunk) [II) Company Development Strategy](index=21&type=section&id=(二)%20公司发展战略) The company will focus on the goals of 'stricter, higher, stronger, and better' to build an 'innovative, harmonious, prosperous, and revitalized' new era Datong Coal, leveraging its strengths and the Datong Coal Group platform to accelerate resource reserves, industrial integration, scaled operations, and industrial deepening strategies, aiming to become a first-class domestic coal mining and deep processing enterprise and a large-scale modern coal enterprise with international competitive advantages - The company's strategic goal is to build an **'innovative, harmonious, prosperous, and revitalized' new era Datong Coal**, consolidating and strengthening its competitive advantages in the coal mining and processing sector[55](index=55&type=chunk) - The company will accelerate the implementation of **resource reserve, industrial integration, scaled operations, and industrial deepening strategies**, striving to become a **first-class domestic coal mining and deep processing enterprise** and a large-scale modern coal enterprise with international competitive advantages[55](index=55&type=chunk) [III) Operating Plan](index=21&type=section&id=(三)%20经营计划) For 2020, the company plans a coal output of 31.20 million tons, commercial coal sales of 25.00 million tons, and coal business revenue of 10.40 billion yuan; it will focus on its core coal business, achieving high-quality development through capacity increases, enhanced single-mine output, green mining, and optimized labor organization, while also strengthening safety, upgrading industrial structure, improving capital operations, promoting precise sales, and vigorously pursuing technological breakthroughs to create an intelligent mining benchmark Key Operating Indicators for 2020 | Indicator | Plan | | :--- | :--- | | Coal Output | 31.20 million tons | | Commercial Coal Sales | 25.00 million tons | | Coal Business Revenue | 10.40 billion yuan | - The company will complete the capacity increase announcement procedures for Tashan Mine, accelerate the cultivation of **super-grade safe and efficient mines**, and comprehensively promote **green coal mining** to maximize resource recovery[56](index=56&type=chunk) - The company will strengthen **precise governance of accident hazards**, emphasize dynamic construction of safety production standardization, and enhance the implementation of safety production responsibilities to improve risk prevention and control capabilities[57](index=57&type=chunk) - The company plans to **upgrade its industrial structure**, vigorously promote circular economy and new energy projects, and gradually advance the establishment of industrial funds to leverage social capital for mergers and acquisitions[57](index=57&type=chunk) - The company will **strengthen its capital operation capabilities**, actively expand channels for asset restructuring and project mergers and acquisitions, and vigorously pursue various financing methods to ensure funding needs[57](index=57&type=chunk) - The company will promote **precise and refined sales**, adjust user and product structures, expand sales channels for high-priced coal, and vigorously promote auction sales[58](index=58&type=chunk) - The company will undertake **technological breakthroughs**, advance the upgrade and transformation of automated and intelligent fully mechanized mining equipment to achieve remote automatic control and intelligent coal discharge, and strive for Tashan Mine to complete the overall construction of a 'smart mine' by 2022[58](index=58&type=chunk) [IV) Potential Risks](index=23&type=section&id=(四)%20可能面对的风险) The company faces safety production risks from natural disasters like roof falls, gas, and water hazards; market competition risks due to coal oversupply; rising cost risks from complex mining conditions and increased production factor costs; transformation and upgrading pressures from economic downturns and traditional industry modernization; and risks related to industrial policies and environmental protection - The company faces **safety production risks** from five major natural disasters in coal mining: roof falls, gas, coal dust, fires, and water hazards[59](index=59&type=chunk) - Market competition is fierce, with structural coal reduction and environmental restrictions leading to **coal oversupply**, making the market outlook not optimistic[59](index=59&type=chunk) - As mine excavation extends deeper, production conditions become more complex, and increased costs for production factors, safety production, and environmental protection lead to **rising costs**[59](index=59&type=chunk) - Slowing global economic growth, increased downward economic pressure, declining coal consumption growth, and the upgrading of traditional industries and enterprise transformation face **immense pressure**[59](index=59&type=chunk) - The company's operating activities are influenced by **national industry regulation policies and environmental protection policies**[59](index=59&type=chunk) [Part V Significant Matters](index=24&type=section&id=第五节%20重要事项) This section covers significant corporate events, including profit distribution plans, fulfillment of commitments, related party transactions, and environmental information, providing insights into the company's governance and social responsibilities [I. Ordinary Share Profit Distribution or Capital Reserve Conversion Plan](index=24&type=section&id=一、普通股利润分配或资本公积金转增预案) The company has revised its articles of association to clarify its cash dividend policy and minimum ratio; for the 2019 fiscal year, due to the parent company's unrecovered losses, no profit distribution or capital reserve conversion to share capital is proposed, and no ordinary share dividends have been distributed in the past three years - The company's **net profit attributable to parent company shareholders for 2019 was 897.46 million yuan**, but due to the parent company's unrecovered losses, it is proposed **not to distribute profits or convert capital reserves into share capital**[4](index=4&type=chunk)[61](index=61&type=chunk) Ordinary Share Dividend Distribution Plans for the Past Three Years | Dividend Year | Bonus Shares per 10 Shares (shares) | Dividend per 10 Shares (yuan) (tax incl.) | Capitalization per 10 Shares (shares) | Cash Dividend Amount (tax incl.) (yuan) | Net Profit Attributable to Ordinary Shareholders of Listed Company in Consolidated Report for Dividend Year (yuan) | Ratio to Net Profit Attributable to Ordinary Shareholders of Listed Company in Consolidated Report (%) | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | 2019 | 0 | 0 | 0 | 0 | 897,462,176.08 | 0 | | 2018 | 0 | 0 | 0 | 0 | 659,711,219.09 | 0 | | 2017 | 0 | 0 | 0 | 0 | 599,170,480.36 | 0 | [II. Fulfillment of Commitments](index=24&type=section&id=二、承诺事项履行情况) The company's controlling shareholder, Datong Coal Group, committed to gradually injecting high-quality coal production and operational assets into Datong Coal Industry and ensuring no substantive horizontal competition; for assets not yet meeting injection conditions, it committed to injecting, transferring control, or selling them within five years of meeting conditions, granting Datong Coal Industry priority purchase rights; during the reporting period, there was no explanation of asset or project profit forecasts or performance commitment fulfillment - Controlling shareholder Datong Coal Group committed to gradually injecting all high-quality coal production and operational assets into Datong Coal Industry, and to making Datong Coal Industry its sole entity operating coal mining and processing businesses within **five to ten years** (no later than 2014) after its initial public offering and listing[64](index=64&type=chunk) - Datong Coal Group further committed that for coal assets not yet meeting injection conditions, it would inject them into Datong Coal Industry, transfer control, or sell them within **five years** from the date conditions are met, and grant the company **priority purchase rights**[64](index=64&type=chunk) - During the reporting period, the company had **no asset or project profit forecasts** and **no performance commitment fulfillment**[65](index=65&type=chunk) [III. Funds Occupied and Debt Clearance Progress During the Reporting Period](index=25&type=section&id=三、报告期内资金被占用情况及清欠进展情况) During the reporting period, there were no instances of funds being non-operationally occupied by the controlling shareholder or its related parties [IV. Explanation of the Auditor's 'Non-Standard Opinion Audit Report'](index=25&type=section&id=四、公司对会计师事务所%22非标准意见审计报告%22的说明) The company's accounting firm, Lixin Certified Public Accountants (Special General Partnership), issued a standard unqualified audit report, indicating no non-standard opinion audit report - Lixin Certified Public Accountants issued a **standard unqualified audit report** for the company[3](index=3&type=chunk) [V. Analysis and Explanation of Reasons and Impact of Changes in Accounting Policies, Accounting Estimates, or Major Accounting Error Corrections](index=25&type=section&id=五、公司对会计政策、会计估计变更或重大会计差错更正原因和影响的分析说明) The company's analysis and explanation of the reasons and impact of changes in accounting policies and estimates are detailed in financial statement notes '39. Other Significant Accounting Policies and Estimates' and '40. Changes in Significant Accounting Policies and Estimates'; there were no major accounting error corrections or communications with the former accounting firm during the reporting period - The company's analysis and explanation of the reasons and impact of changes in accounting policies and estimates are detailed in financial statement notes **'39. Other Significant Accounting Policies and Estimates'** and **'40. Changes in Significant Accounting Policies and Estimates'** sections[66](index=66&type=chunk) [VI. Appointment and Dismissal of Accounting Firms](index=26&type=section&id=六、聘任、解聘会计师事务所情况) The company currently employs Lixin Certified Public Accountants (Special General Partnership) as its domestic accounting firm, with a remuneration of 1.70 million yuan and an audit tenure of four years; Lixin Certified Public Accountants also serves as the internal control audit firm, with a remuneration of 0.50 million yuan, and there were no changes in accounting firms during the reporting period Accounting Firm Appointment Status | Indicator | Content | | :--- | :--- | | Domestic Accounting Firm Name | Lixin Certified Public Accountants (Special General Partnership) | | Domestic Accounting Firm Remuneration | 1,700,000 yuan | | Domestic Accounting Firm Audit Tenure | 4 | | Internal Control Audit Firm | Lixin Certified Public Accountants (Special General Partnership) | | Internal Control Audit Remuneration | 500,000 yuan | [VII. Situation Facing Delisting Risk](index=26&type=section&id=七、面临暂停上市风险的情况) During the reporting period, the company did not face any risk of suspension from listing [VIII. Situation and Reasons for Facing Termination of Listing](index=26&type=section&id=八、面临终止上市的情况和原因) During the reporting period, there were no circumstances or reasons for the company facing termination of listing [IX. Bankruptcy and Reorganization Related Matters](index=26&type=section&id=九、破产重整相关事项) During the reporting period, the company had no matters related to bankruptcy and reorganization [X. Major Litigation and Arbitration Matters](index=26&type=section&id=十、重大诉讼、仲裁事项) During the reporting period, the company had no major litigation or arbitration matters [XI. Penalties and Rectification for Listed Company, its Directors, Supervisors, Senior Management, Controlling Shareholder, Actual Controller, and Acquirer](index=26&type=section&id=十一、上市公司及其董事、监事、高级管理人员、控股股东、实际控制人、收购人处罚及整改情况) During the reporting period, there were no penalties or rectification situations for the listed company, its directors, supervisors, senior management, controlling shareholder, actual controller, or acquirer [XII. Explanation of the Integrity Status of the Company, its Controlling Shareholder, and Actual Controller During the Reporting Period](index=26&type=section&id=十二、报告期内公司及其控股股东、实际控制人诚信状况的说明) During the reporting period, the company, its controlling shareholder, and actual controller maintained good integrity, with no adverse records such as unfulfilled effective court judgments or overdue large debts - During the reporting period, the company, its controlling shareholder, and actual controller maintained **good integrity**, with no adverse records[70](index=70&type=chunk) [XIII. Information and Impact of Company Equity Incentive Plans, Employee Stock Ownership Plans, or Other Employee Incentive Measures](index=26&type=section&id=十三、公司股权激励计划、员工持股计划或其他员工激励措施的情况及其影响) During the reporting period, there were no temporary announcements or subsequent progress regarding the company's equity incentive plans, employee stock ownership plans, or other employee incentive measures [XIV. Major Related Party Transactions](index=27&type=section&id=十四、重大关联交易) The company's routine related party transactions were disclosed in temporary announcements and approved by the Board of Directors and shareholders' meeting; during the reporting period, there were no undisclosed major related party transactions such as asset or equity acquisitions/disposals, joint external investments, or related party creditor-debtor relationships - The company's **2019 routine related party transactions** were approved by the Board of Directors and the shareholders' meeting[72](index=72&type=chunk) [XV. Major Contracts and Their Fulfillment](index=28&type=section&id=十五、重大合同及其履行情况) The company has multiple entrusted management, contracting, and leasing related party transactions involving coal mines, equity, railway assets, and equipment, aimed at optimizing management and reducing costs; the total external guarantee amount is 815.77 million yuan, accounting for 12.74% of net assets, including 544.03 million yuan for the controlling shareholder and its related parties, and 271.74 million yuan for subsidiaries with a debt-to-asset ratio exceeding 70%; the company also provided 483 million yuan in entrusted loans to subsidiaries through its finance company Entrusted Management Status | Entrusting Party Name | Entrusted Party Name | Entrusted Asset Description | Entrustment Start Date | Entrustment End Date | Entrustment Income (yuan) | Is Related Party Transaction | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Datong Coal Group | The Company | Coal Mine | February 24, 2016 | February 24, 2021 | 1,000,000 | Yes | | Shuozhou Coal Power | The Company | Meiyukou Mine | April 1, 2017 | February 24, 2021 | 100,000 | Yes | | Datong Coal Group | The Company | Xuangang Coal Power Equity | April 28, 2016 | June 30, 2021 | 1,000,000 | Yes | | The Company | Datong Coal Mine Group Railway Operations Co., Ltd. | Railway Assets, etc. | July 1, 2019 | June 30, 2022 | Basic management fee (2 million yuan/year) + floating management fee | Yes | | Tashan Coal Mine | Baidong Mining | Baidong Mine Operation & Maintenance | February 1, 2019 | December 31, 2021 | 296.72 million yuan (excl. tax)/year | Yes | | Tashan Coal Mine | Baidong Mining | Coal Preparation Plant | February 1, 2019 | December 31, 2021 | 26 yuan/ton (excl. tax) | Yes | Contracting Status | Contracting-out Party Name | Contracting Party Name | Contracted Asset Description | Contracting Start Date | Contracting End Date | Contracting Income (yuan) | Is Related Party Transaction | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Tashan Coal Mine | Yanya Coal Industry | Coal Mine Third Panel | January 1, 2019 | December 31, 2021 | 300 million yuan (excl. tax)/year, later adjusted to 17.5 million yuan (excl. tax) per month | Yes | Leasing Status | Lessor Name | Lessee Name | Leased Asset Description | Lease Start Date | Lease End Date | Lease Income (yuan) | Is Related Party Transaction | | :--- | :--- | :--- | :--- | :--- | :--- | :--- | | Baidong Mining | Tashan Coal Mine | Machinery, electromechanical equipment, buildings, facilities | February 1, 2019 | | 27.28 million yuan (excl. tax) | Yes | | Datong Coal Group | The Company | Buildings | January 1, 2015 | December 31, 2019 | Annual rent 12,080,268.00 yuan | Yes | | Datong Coal Group | The Company | Land | | | Annual rent 2.46 million yuan | Yes | | Datong Coal Group | Tashan Coal Mine | Land | July 1, 2016 | June 30, 2021 | Annual rent 24.38 million yuan | Yes | | Datong Coal Group | The Company | Land | January 1, 2018 | January 1, 2023 | Annual rent 16 million yuan (tax incl.) | Yes | Company Guarantee Total | Indicator | Amount (yuan) | | :--- | :--- | | Total Guarantees (A+B) | 815,766,968 | | Proportion of Total Guarantees to Company's Net Assets (%) | 12.74% | | Amount of Guarantees Provided for Shareholders, Actual Controllers, and Their Related Parties (C) | 544,026,799 | | Amount of Debt Guarantees Provided Directly or Indirectly for Guaranteed Parties with Debt-to-Asset Ratio Exceeding 70% (D) | 271,740,169 | | Total of the Above Three Guarantee Amounts (C+D+E) | 815,766,968 | Entrusted Loan Status | Type | Source of Funds | Amount Incurred (yuan) | Outstanding Balance (yuan) | | :--- | :--- | :--- | :--- | | Entrusted Loans to Subsidiaries | Own Funds | 483,000,000 | 483,000,000 | [XVI. Explanation of Other Significant Matters](index=34&type=section&id=十六、其他重大事项的说明) During the reporting period, there were no other significant matters requiring explanation from the company [XVII. Work on Actively Fulfilling Social Responsibilities](index=34&type=section&id=十七、积极履行社会责任的工作情况) The company actively fulfills its social responsibilities, encompassing safety production, product quality, environmental protection, employment promotion, and employee rights protection; it balances economic and social benefits, builds a comprehensive safety management framework, drives technological innovation, implements environmental policies, and safeguards employee rights to achieve harmonious development with society and the environment - In its operations, the company strictly fulfills its social responsibilities, including **safety production, product quality, environmental protection, employment promotion, and employee rights protection**[87](index=87&type=chunk) - The company implements the philosophy that 'all work must obey and serve safety production,' establishing a **comprehensive safety management framework** with sound mechanisms and strict measures[87](index=87&type=chunk) - The company adheres to **innovation-driven development**, focusing on technological innovation to promote comprehensive innovation[87](index=87&type=chunk) - The company implements national environmental protection policies, reviews environmental plans, and supervises environmental management work[88](index=88&type=chunk) - The company diligently implements employment management systems, with all employees signing labor contracts, paying social insurance, and reasonably distributing wages according to the **'pay-for-performance' principle**[88](index=88&type=chunk) [I) Listed Company Poverty Alleviation Efforts](index=34&type=section&id=(一)%20上市公司扶贫工作情况) During the reporting period, the company had no poverty alleviation efforts as a listed company [II) Social Responsibility Work](index=34&type=section&id=(二)%20社会责任工作情况) In its operations, the company actively fulfills its social responsibilities, encompassing safety production, product quality, environmental protection, employment promotion, and employee rights protection; it is committed to coordinating economic and social benefits, building a comprehensive safety management framework, driving technological innovation, implementing environmental policies, and safeguarding employee rights to achieve healthy and harmonious development with society and the environment - In its operations, the company strictly fulfills its social responsibilities, including **safety production, product quality, environmental protection, employment promotion, and employee rights protection**[87](index=87&type=chunk) - The company implements the philosophy that 'all work must obey and serve safety production,' establishing a **comprehensive safety management framework** with sound mechanisms and strict measures[87](index=87&type=chunk) - The company adheres to **innovation-driven development**, focusing on technological innovation to promote comprehensive innovation[87](index=87&type=chunk) - The company implements national environmental protection policies, reviews environmental plans, and supervises environmental management work[88](index=88&type=chunk) - The company diligently implements employment management systems, with all employees signing labor contracts, paying social insurance, and reasonably distributing wages according to the **'pay-for-performance' principle**[88](index=88&type=chunk) [III) Environmental Information](index=35&type=section&id=(三)%20环境信息情况) The company's key polluting units, Xinzhouyao Mine and Tashan Mine Baidong Well, were listed as key polluting enterprises in Datong City in 2019, with main pollutants being exhaust gas, wastewater, and solid waste; both mines have installed and operate desulfurization and dust removal equipment and sewage treatment plants, with treated water meeting standards or being reused; the company and its subsidiaries have prepared environmental impact assessment reports, emergency response plans for environmental incidents, and self-monitoring plans, which are filed and monitored as required; during the reporting period, Xinzhouyao Mine and Tashan Baidong Well were fined for boiler emissions and coal gangue stacking, respectively - Xinzhouyao Mine and Tashan Mine Baidong Well are listed as **key polluting enterprises in Datong City**, with major pollutants including **exhaust gas** (sulfur dioxide, nitrogen oxides, particulate matter), **domestic wastewater, and solid waste**[89](index=89&type=chunk) - Xinzhouyao Mine's boiler room is equipped with **desulfurization and dust removal equipment**, all boilers at Tashan Mine Baidong Well have desulfurization and dust removal equipment, and mine water and domestic wastewater are **fully reused or discharged up to standard** after treatment[90](index=90&type=chunk) - The company and its subsidiaries have all prepared **environmental impact assessment reports, emergency response plans for environmental incidents, and environmental self-monitoring plans**, which are filed and monitored as required[91](index=91&type=chunk)[92](index=92&type=chunk)[93](index=93&type=chunk) - In 2019, Xinzhouyao Mine was fined **100,000 yuan and 300,000 yuan** for boiler emissions, and Tashan Baidong Well was fined **50,000 yuan** for coal gangue stacking[94](index=94&type=chunk) - Non-key polluting units such as Tashan Coal Mine, Selian Coal Mine, Activated Carbon Company, Kaolin Company, and Tashan Railway also possess **discharge permits, pollution control facilities, environmental impact assessments, emergency plans, and self-monitoring programs**[95](index=95&type=chunk)[96](index=96&type=chunk)[97](index=97&type=chunk)[98](index=98&type=chunk)[99](index=99&type=chunk)[100](index=100&type=chunk) [XVIII. Convertible Corporate Bonds](index=38&type=section&id=十八、可转换公司债券情况) During the reporting period, the company had no convertible corporate bonds [Part VI Changes in Ordinary Shares and Shareholder Information](index=38&type=section&id=第六节%20普通股股份变动及股东情况) This section details changes in the company's ordinary share capital, securities issuance, and shareholder structure, including information on major shareholders and the actual controller [I. Changes in Ordinary Share Capital](index=38&type=section&id=一、普通股股本变动情况) During the reporting period, there were no changes in the company's total ordinary share capital or share capital structure, thus having no impact on financial indicators such as earnings per share or net assets per share - During the reporting period, there were **no changes in the company's total ordinary share capital or share capital structure**[102](index=102&type=chunk) [II. Securities Issuance and Listing](index=38&type=section&id=二、证券发行与上市情况) As of the reporting period, the company had no securities issuance, and no changes occurred in its total ordinary share capital, shareholder structure, or asset and liability structure, nor were there any existing internal employee shares [III. Shareholders and Actual Controller Information](index=39&type=section&id=三、股东和实际控制人情况) As of the end of the reporting period, the company had 85,064 ordinary shareholders; Datong Coal Mine Group Co., Ltd., as the controlling shareholder, held 57.46% of shares, making it the largest shareholder; state-owned corporate shareholders dominated among the top ten shareholders, while Hong Kong Securities Clearing Company Limited's shareholding decreased - As of the end of the reporting period, the company had a total of **85,064 ordinary shareholders**[103](index=103&type=chunk) Top Ten Shareholders' Shareholding | Shareholder Name | Shares Held at Period-end (shares) | Proportion (%) | Shareholder Nature | | :--- | :--- | :--- | :--- | | Datong Coal Mine Group Co., Ltd. | 961,632,508 | 57.46 | State-owned Legal Person | | Central Huijin Asset Management Co., Ltd. | 31,924,200 | 1.91 | State-owned Legal Person | | Hebei Port Group Co., Ltd. | 26,592,080 | 1.59 | State-owned Legal Person | | Hong Kong Securities Clearing Company Limited | 11,250,564 | 0.67 | Other | | Agricultural Bank of China Co., Ltd. - CSI 500 ETF | 8,646,187 | 0.52 | Other | | Wang Shuxia | 4,006,600 | 0.24 | Domestic Natural Person | | Datong Xintong Industrial Co., Ltd. | 3,800,000 | 0.23 | State-owned Legal Person | | Bank of China Co., Ltd. - China Merchants CSI Coal Equal Weight Index Fund | 3,626,397 | 0.22 | Other | | Shanghai Baosteel International Economic & Trade Co., Ltd. | 3,582,000 | 0.21 | State-owned Legal Person | | Zhang Minhui | 3,520,006 | 0.21 | Domestic Natural Person | [IV. Controlling Shareholder and Actual Controller Information](index=40&type=section&id=四、控股股东及实际控制人情况) The company's controlling shareholder is Datong Coal Mine Group Co., Ltd., holding 57.46% of shares, primarily engaged in coal production and processing, mechanical manufacturing, and engineering construction; the actual controller is the Shanxi Provincial State-owned Assets Supervision and Administration Commission; neither the controlling shareholder nor the actual controller changed during the reporting period Controlling Shareholder Information | Name | Datong Coal Mine Group Co., Ltd. | | :--- | :--- | | Person in Charge or Legal Representative | Guo Jingang | | Date of Establishment | August 4, 1985 | | Main Business Operations | Coal production and processing, mechanical manufacturing, engineering construction, etc. | | Equity Holdings in Other Domestic and Overseas Listed Companies During the Reporting Period | Holds 29.43% shares in Shanxi Zhangze Electric Power Co., Ltd.; holds 0.47% shares in Daqin Railway Co., Ltd.; holds 0.74% shares in Qinhuangdao Port Co., Ltd. | - The company's actual controller is the **Shanxi Provincial State-owned Assets Supervision and Administration Commission**[108](index=108&type=chunk) - During the reporting period, **neither the controlling shareholder nor the actual controller changed**[107](index=107&type=chunk)[108](index=108&type=chunk) [V. Other Corporate Shareholders Holding More Than 10%](index=42&type=section&id=五、其他持股在百分之十以上的法人股东) During the reporting period, the company had no other corporate shareholders holding more than 10% of its shares [VI. Explanation of Shareholding Restriction on Reduction](index=42&type=section&id=六、股份限制减持情况说明) During the reporting period, there was no explanation regarding shareholding restrictions on reduction for the company [Part VII Preferred Share Related Information](index=42&type=section&id=第七节%20优先股相关情况) During the reporting period, the company had no preferred share related information [Part VIII Information on Directors, Supervisors, Senior Management, and Employees](index=43&type=section&id=第八节%20董事、监事、高级管理人员和员工情况) This section details the shareholding and remuneration of directors, supervisors, and senior management, their appointments and changes, and the overall employee structure and training initiatives [I. Shareholding Changes and Remuneration](index=43&type=section&id=一、持股变动情况及报酬情况) During the reporting period, current and former directors, supervisors, and senior management did not hold any company shares, nor did their shareholdings change; some senior executives received remuneration from related parties of the company, and no equity incentives were granted to directors or senior management - During the reporting period, **none of the company's directors, supervisors, or senior management held company shares**, nor were there any changes in their shareholdings[111](index=111&type=chunk) - Some senior executives received **remuneration from the company's related parties**[111](index=111&type=chunk) - During the reporting period, there were **no instances of directors or senior management being granted equity incentives**[115](index=115&type=chunk) [II. Appointments of Current and Former Directors, Supervisors, and Senior Management During the Reporting Period](index=46&type=section&id=二、现任及报告期内离任董事、监事和高级管理人员的任职情况) Several of the company's directors and supervisors hold positions within the controlling shareholder Datong Coal Group and its subsidiaries, or other entities such as Hebei Port Group Co., Ltd. and Shanghai Baosteel International Economic & Trade Co., Ltd., reflecting the company's close ties with related parties - Several directors and supervisors hold positions in the controlling shareholder Datong Coal Group and its subsidiaries, such as **Zhao Jie as Chief Economist and Acting Chief Accountant of Datong Coal Group**, and **Cao Xianqing as Chief Legal Counsel of Datong Coal Group**[116](index=116&type=chunk) - Some independent directors hold positions such as **professors or lawyers** in universities, law firms, and other entities[117](index=117&type=chunk) [III. Remuneration of Directors, Supervisors, and Senior Management](index=47&type=section&id=三、董事、监事、高级管理人员报酬情况) The remuneration for directors and supervisors is approved by the shareholders' meeting, while senior management's remuneration is determined by the Board of Directors, primarily based on duties, responsibilities, and company performance; at the end of the reporting period, the total actual remuneration received by all directors, supervisors, and senior management was 3.27 million yuan - The remuneration for directors and supervisors must be **approved by the shareholders' meeting**, while the remuneration for senior management is **determined by the Board of Directors**[118](index=118&type=chunk) - At the end of the reporting period, the total actual remuneration received by all directors, supervisors, and senior management was **3.27 million yuan**[118](index=118&type=chunk) [IV. Changes in Company Directors, Supervisors, and Senior Management](index=47&type=section&id=四、公司董事、监事、高级管理人员变动情况) During the reporting period, there were multiple changes in the company's Board of Directors, Supervisory Board, and senior management, including the departures of Liu Jing, Li Jingzhong, Xuan Hongbin, Han Jian, Yu Dahai, Zhang Youxi, Zhao Guoxi, Zhang Bin, and Wang Qing, as well as the appointments or elections of Ye Ninghua, Zhu Haiyue, Zhao Jie, Rong Jun, Ma Zhanyuan, Fan Shixing, and Hu Jinyuan - Several directors (Liu Jing, Li Jingzhong, Xuan Hongbin, Han Jian, Yu Dahai, Zhang Youxi) and supervisors (Zhao Guoxi) **resigned due to work changes or age-related reasons**[119](index=119&type=chunk) - Several new directors (Ye Ninghua, Zhu Haiyue, Zhao Jie, Rong Jun, Ma Zhanyuan) and supervisors (Fan Shixing) were elected, and **Hu Jinyuan was appointed as Chief Engineer**[119](index=119&type=chunk) [V. Employee Information of Parent Company and Major Subsidiaries](index=48&type=section&id=五、母公司和主要子公司的员工情况) As of the e