Summary of Key Points from the Conference Call Industry Overview - The conference call focused on the **Greater China Materials** industry, highlighting a **liquidity-driven bull market** supported by **supply disruptions** that are positively impacting commodity prices. The preference is for **gold, copper, and aluminum equities** in this environment [1][4][10]. Core Insights and Arguments - **Commodity Price Forecasts**: - **Aluminum**: Morgan Stanley forecasts $2,659 per ton for 2H2025, which is 6% higher than consensus. For CY2026, the forecast is $2,750, 8% above consensus [10]. - **Copper**: Expected price of $10,047 per ton for 2H2025, 5% above consensus, and $10,650 for CY2026, 9% above consensus [10]. - **Gold**: Projected at $3,719 per ounce for 2H2025, 9% above consensus, and $4,400 for CY2026, 34% above consensus [10]. - **Steel Demand Drivers**: - The **China Steel Demand Drivers** for 2025 include: - **Machinery**: 30% - **Infrastructure**: 17% - **Residential Property**: 14% - **Auto**: 9% [17][19]. - **Copper Consumption Index**: The **China Copper Consumption Index** indicates a significant reliance on sectors such as **Power (47%)**, **White Goods (15%)**, and **Auto (10%)** [21][22]. - **Aluminum Demand Breakdown**: The **China aluminum demand** is driven by: - **Property**: 22% - **Passenger Vehicles**: 20% - **Grid Investment**: 11% [27]. Additional Important Insights - **Infrastructure Spending**: - Infrastructure spending has partially offset the slowdown in new property starts, with a **5.4% YoY increase** in infrastructure spending for the first eight months of 2025 [35][55]. - **Weekly Shipments**: - Weekly cement and rebar shipments in China are being monitored, indicating trends in demand and supply dynamics [55][56]. - **Market Sentiment**: - The overall sentiment in the materials sector remains **attractive**, with Morgan Stanley's research indicating potential conflicts of interest due to business relationships with covered companies [4][5]. - **Analyst Team**: The call featured insights from a team of equity analysts at Morgan Stanley, emphasizing the importance of their research in investment decision-making [3]. This summary encapsulates the key points discussed in the conference call, providing a comprehensive overview of the Greater China Materials industry and its current market dynamics.

Summary of Coal Industry Conference Call Industry Overview - The coal industry is expected to face a tight supply-demand situation in 2025, with domestic production limited and imports decreasing, leading to an overall supply reduction of 100-150 million tons [1][6][18]. - The demand for electricity from urban residents and the tertiary industry is expected to grow strongly, despite a potential slowdown in thermal power growth [1][18]. Key Insights and Arguments - Coal prices have risen approximately 30% in 2025, with short-term peaks expected between 720-750 RMB/ton, followed by a potential second dip [1][10]. - The average coal price is projected to stabilize between 650-680 RMB/ton for the year, with a possible increase of 10%-15% in 2026, reaching 700-720 RMB/ton [1][10]. - High dividend-paying thermal coal companies such as China Shenhua, China Coal Energy, Yanzhou Coal, Shaanxi Coal and Chemical Industry, and Jinneng Holding are recommended for long-term investment due to their strong resource backgrounds [1][12][15]. Supply and Demand Dynamics - Domestic coal production in 2024 is estimated at 4.74 billion tons, with imports reaching a record high of 540 million tons, although historically imports have supplemented domestic production, accounting for less than 10% [2]. - The demand side of the coal industry is divided into thermal coal (60% of consumption) and coking coal (20%), with the remaining 20% split between construction materials and chemicals [3]. Price Trends and Market Sentiment - The coal industry has seen a high capacity utilization rate, with limited potential for new capacity approvals, leading to a weak supply outlook in the medium to long term [4][18]. - The investment logic for coal stocks has shifted from traditional cyclical commodities to a focus on high dividends and stable earnings, particularly in a low-interest-rate environment [15][19]. Performance of Key Companies - China Shenhua is expected to report annual earnings between 48 billion to 49 billion RMB, with a dividend yield of approximately 5%, outperforming other sectors [17]. - The acquisition of assets from the National Energy Group by China Shenhua is viewed positively for long-term stock price and performance enhancement, marking a significant step in state-owned enterprise reform [13]. Future Outlook - The coal price cycle is anticipated to continue upward, driven by strong demand from urban residents and the tertiary sector, alongside potential impacts from AI and extreme weather [4][18]. - The coal sector is expected to experience a new historical configuration peak after a second dip in prices, with high dividend stocks remaining attractive [19]. Additional Considerations - The coal industry's investment logic has evolved since 2022, focusing more on dividend stability and less on cyclical price movements [15]. - The overall market sentiment indicates a shift towards high dividend-paying stocks as a preferred investment strategy in the current economic climate [19].

行 业 及 产 业 煤炭/ 煤炭开采 2025 年 10 月 08 日 需求阶段性放缓，但大秦线检修叠 加产地发运倒挂，预计煤价短期震 荡 看好 ——煤炭行业周报（2025.9.27-2025.10.4） 证 券 研 究 证券分析师 严天鹏 A0230524090004 yantp@swsresearch.com 闫海 A0230519010004 yanhai@swsresearch.com 施佳瑜 A0230521040004 shijy@swsresearch.com 研究支持 施佳瑜 A0230521040004 shijy@swsresearch.com 联系人 施佳瑜 (8621)23297818× shijy@swsresearch.com 本研究报告仅通过邮件提供给 中庚基金 使用。1 本期投资提示： ⚫ 动力煤方面，截至 9 月 30 日，据中国煤炭市场网，秦皇岛港口 Q4500、Q5000、 Q5500 动力煤现货价收报 535、607、699 元/吨，环比分别下跌 11、7、7 元/吨。供给 端，据中国煤炭市场网，环渤海四港区本周日均调入量 183.54 万吨，环比上周增加 7.7 万吨 ...

FF301 股份發行人及根據《上市規則》第十九B章上市的香港預託證券發行人的證券變動月報表 截至月份: 2025年9月30日 狀態: 新提交 致：香港交易及結算所有限公司 公司名稱: 中國中煤能源股份有限公司 呈交日期: 2025年9月30日 I. 法定/註冊股本變動 | 1. 股份分類 | 普通股 | 股份類別 | A | | | 於香港聯交所上市 (註1) | | 否 | | | --- | --- | --- | --- | --- | --- | --- | --- | --- | --- | | 證券代號 (如上市) | 601898 | 說明 | | | | | | | | | | | 法定/註冊股份數目 | | | 面值 | | | 法定/註冊股本 | | | 上月底結存 | | | 9,152,000,400 | RMB | | 1 | RMB | | 9,152,000,400 | | 增加 / 減少 (-) | | | | | | | RMB | | | | 本月底結存 | | | 9,152,000,400 | RMB | | | 1 RMB | | 9,152,000,400 | | ...

Investment Rating - The report rates the coal industry as "Overweight" [4]. Core Viewpoints - Coal prices are expected to rebound in the off-season, with pressure anticipated in the first half of 2026, but the year-on-year decline compared to 2025 will ease. It is projected that coal prices could exceed 800 RMB/ton in the second half of 2026 [2]. Summary by Sections Investment Highlights - The report recommends maintaining positions in key companies such as China Shenhua, Shaanxi Coal and Chemical Industry, and China Coal Energy, while also continuing to recommend Yanzhou Coal Mining and Jinneng Holding. The investment opportunities arising from state-owned enterprise reforms should be emphasized, which may create a sector-wide effect [4]. - The demand side shows a significant recovery, with total electricity consumption in August growing by 4.6%, compared to only 2.5% in Q1, and is expected to exceed a 5% growth rate for the year. This contradicts previous market pessimism [4]. - On the supply side, the output of raw coal in August was 390 million tons, a year-on-year decrease of 3.2%, but a month-on-month increase of 10 million tons. The total coal production for the year is expected to be stable at around 475-480 million tons, with a slight decline in H2 due to "overproduction checks" [4]. Coal Price Tracking - As of September 26, 2025, the price of Q5500 coal at Huanghua Port was 713 RMB/ton, up 0.6% from the previous week. The price of Q5000 coal at the same port was 622 RMB/ton, up 0.5% [7][10]. - The price of coking coal at Jingtang Port was 1710 RMB/ton, an increase of 6.2% from the previous week [35]. Inventory and Supply Chain - The inventory at Qinhuangdao decreased by 12.2% to 5.4 million tons as of September 25, 2025. The total inventory at northern ports was 29.64 million tons, down 0.9% [20]. - The report notes a decrease in both port and steel mill inventories, indicating a tightening supply situation [54][56]. International Coal Prices - The report highlights that Australian Newcastle coal prices have decreased, with the price of Q5500 coal at Newcastle being 71 USD/ton, up 1 USD (1.3%) from the previous week. The cost of domestic coal is lower than that of Australian imports by 7 RMB/ton [18][19].

Group 1 - The establishment of Zhongmei Electric Power (Shangyi) Energy Storage Co., Ltd. has been recently reported, with a registered capital of 50 million yuan [1] - The company's business scope includes biomass energy technology services, energy storage technology services, energy-saving management services, and contract energy management [1] - The company is wholly owned by China Coal Energy Group Co., Ltd. through indirect holdings [1]

Investment Rating - The report maintains a "Recommended" rating for the coal mining industry [1] Core Viewpoints - The strategic restructuring plan between Pingmei Group and Henan Energy Group reflects ongoing regional asset reorganization in the coal industry, aiming to reduce homogeneous competition and lower costs, while enhancing resource reserves and development momentum [3][4] - The coal mining industry is characterized by high asset quality, strong cash flow, and significant dividend yields, making it an attractive investment opportunity [7] Summary by Sections Recent Trends - The coal mining sector has shown a mixed performance over the past year, with a 1.0% decline over the last month, a 6.8% increase over three months, and a 9.5% decrease over twelve months [2] Key Companies and Financials - Henan Energy Group reported approximately 63.8 billion CNY in revenue and a net profit of 0.81 million CNY for the first half of 2025, with total assets of 258.6 billion CNY and a debt ratio of 83% [3] - Pingmei Group reported approximately 78.8 billion CNY in revenue and a net profit of 2.4 billion CNY for the first half of 2025, with total assets of 263.8 billion CNY and a debt ratio of 68.8% [3] Coal Price Trends - As of September 26, 2025, the port price for thermal coal was 701 CNY/ton, reflecting a slight decrease of 3 CNY/ton week-on-week, while pithead prices in Shanxi, Inner Mongolia, and Shaanxi increased by 19.00, 13.00, and 3.00 CNY/ton respectively [4][15] - The average price for main coking coal at the port was 1,750 CNY/ton, with a week-on-week increase of 80 CNY/ton [39][40] Supply and Demand Dynamics - The capacity utilization rate in the Sanxi region increased by 1.12 percentage points to 90.94% as of September 24, 2025, indicating a recovery in production [21] - The daily coal consumption at coastal and inland power plants decreased by 18.6 and 35.1 thousand tons respectively, reflecting a seasonal decline in demand [23][33] Investment Opportunities - Recommended stocks include China Shenhua, Shaanxi Coal, Yanzhou Coal, and others, with a focus on companies exhibiting strong cash flow and high dividend yields [7][9]

Investment Rating - The investment rating for the coal industry is "Positive" (maintained) [1] Core Viewpoints - The report indicates that thermal coal prices have rebounded above 700 yuan per ton, with a peak of 706 yuan per ton observed recently. The demand for non-electric coal is expected to be a highlight in the upcoming months [3][4] - The report emphasizes that both thermal coal and coking coal prices have reached a turning point, with expectations for further price recovery due to supply-demand dynamics and seasonal demand shifts [4][5] Summary by Sections Investment Logic - Thermal coal is categorized as a policy coal type, with prices expected to recover to long-term contract prices. The current price has surpassed the second target price, which is around 700 yuan per ton. Future expectations suggest a potential recovery to a third target price of approximately 750 yuan per ton by 2025, with a fourth target price around 860 yuan per ton [4][13] - Coking coal prices are more influenced by market dynamics, with target prices set based on the ratio of coking coal to thermal coal prices. The current ratio indicates target prices for coking coal at 1608 yuan, 1680 yuan, 1800 yuan, and 2064 yuan corresponding to thermal coal's target prices [4][13] Investment Recommendations - The report outlines a dual logic for coal stocks: cyclical elasticity and stable dividends. The current low prices of thermal and coking coal provide room for rebound, supported by supply-side policies and seasonal demand expectations [5][14] - Four main lines of coal stock selection are recommended: 1. Cyclical logic: Jin控煤业, 兖矿能源 for thermal coal; 平煤股份, 淮北矿业, 潞安环能 for metallurgical coal 2. Dividend logic: 中国神华, 中煤能源, 陕西煤业 3. Diversified aluminum elasticity: 神火股份, 电投能源 4. Growth logic: 新集能源, 广汇能源 [5][14] Market Performance - The coal index experienced a slight decline of 1.37%, underperforming the CSI 300 index by 2.44 percentage points. The average PE ratio for the coal sector is 13.49, and the PB ratio is 1.26, ranking low among all A-share industries [8][30][31]

Investment Rating - The investment rating for the coal mining industry is "Positive" [2] Core Viewpoints - The current phase is seen as the beginning of a new upward cycle in the coal economy, with a resonance between fundamentals and policies, making it an opportune time to accumulate coal sector investments [11][12] - The supply side is constrained, with the sample coal mine capacity utilization rates for thermal coal at 93.8% (+0.5 percentage points) and coking coal at 86.46% (+1.81 percentage points) [11][46] - Demand has shown a decrease in daily consumption in inland and coastal provinces, with inland provinces down by 37.80 thousand tons/day (-11.14%) and coastal provinces down by 12.50 thousand tons/day (-5.61%) [11][47] - The report anticipates that coal prices will continue to strengthen due to rigid supply constraints, seasonal demand increases, and maintenance impacts on transportation lines [11][12] Summary by Sections 1. Coal Price Tracking - As of September 27, the market price for thermal coal (Q5500) at Qinhuangdao Port is 703 RMB/ton, up by 4 RMB/ton [29] - The price for coking coal at Jingtang Port is 1710 RMB/ton, an increase of 100 RMB/ton [31] 2. Supply and Demand Tracking - The capacity utilization rate for thermal coal mines is reported at 93.8%, while for coking coal it is 86.46% [46] - Daily coal consumption in inland provinces has decreased, while coal inventories have increased [47] 3. Industry Performance - The coal sector has shown a decline of 1.44% this week, underperforming compared to the broader market [14][17] - The report highlights that the coal sector remains characterized by high performance, cash flow, and dividends, indicating a strong investment opportunity [12][14] 4. Future Outlook - The report suggests that the coal sector is likely to experience a tightening supply-demand balance over the next 3-5 years, with high barriers to entry and strong cash flow characteristics for quality coal companies [12][11] - Investors are encouraged to focus on companies with stable operations and strong performance, such as China Shenhua, Shaanxi Coal, and others [12]

Investment Rating - The industry investment rating is "Overweight" indicating a positive outlook for the coal industry in the upcoming period [3]. Core Insights - The report highlights that after the pre-holiday demand fulfillment, coal prices are expected to stabilize and rise, particularly in the context of the upcoming winter heating season [3]. - The report emphasizes the expected rebound in demand for thermal coal, which is anticipated to drive prices higher, especially as the fourth quarter approaches [3]. - The report recommends undervalued stocks such as Shanxi Coking Coal, Huaibei Mining, Lu'an Environmental Energy, and Guoneng Energy, while also favoring stable high-dividend stocks like China Shenhua, Shaanxi Coal, and China Coal Energy [3]. Summary by Sections 1. Recent Industry Policies and Dynamics - The report discusses the initiation of a special rectification action for coal mining dewatering in Shaanxi Province, aimed at improving management capabilities [8]. - It notes a decrease in production safety incidents in China, with a significant reduction in fatalities and major accidents [8]. - Russian coal production has seen a slight increase of 0.2% year-on-year for the first eight months of 2025 [8]. 2. Price Movements of Coal - As of September 26, 2025, the prices for thermal coal have shown an upward trend, with specific increases noted in various regions [9][10]. - The report indicates that the price index for thermal coal in the Qinhuangdao area has risen, reflecting a general upward trend in coal prices [9]. - Coking coal prices have shown mixed trends, with some regions experiencing price increases while others remain stable or decrease [12]. 3. International Oil Price Trends - Brent crude oil prices have increased by 5.17% to $70.13 per barrel as of September 26, 2025 [15]. - The report notes a decrease in the ratio of international oil prices to international coal prices, indicating a potential shift in market dynamics [15]. 4. Inventory and Supply Dynamics - The report highlights a slight increase in coal inventory at the four major ports in the Bohai Sea region, with total inventory reaching 22.82 million tons [18]. - Daily coal inflow and outflow at these ports have shown a decrease, indicating a tightening supply situation [18]. 5. Shipping Costs - Domestic coastal shipping costs have decreased by 11.09%, with average freight rates reported at 31.59 yuan per ton [23]. - International shipping rates have shown mixed trends, with some routes experiencing slight increases while others have decreased [23]. 6. Valuation of Key Companies - The report provides a detailed valuation table for key companies in the coal industry, highlighting their stock prices, market capitalizations, and earnings projections [28]. - Notable companies include China Shenhua, Shaanxi Coal, and China Coal Energy, which are projected to have stable earnings growth in the coming years [28].