Group 1: Resource Management - The company currently holds 23 mining rights, including 6 mining rights and 17 exploration rights, with a total proven reserve of approximately 531.91 billion cubic meters [2] - Proven reserves under mining rights amount to 246.03 billion cubic meters, all located in the Jincheng area [2] - Proven reserves under exploration rights total 285.88 billion cubic meters, primarily in the Liulin Shixi, Heshun Hengling, and Wuxiang South blocks [2] - The company's self-owned block area accounts for less than 10% of the total coalbed methane mining rights distribution in the province [2] Group 2: Sales and Pricing Strategy - The company follows a market-oriented pricing principle for coalbed methane sales, which is linked to natural gas prices and adjusted based on various factors [3] - A small amount of coalbed methane has begun to be transported via the national pipeline network to higher-priced markets in Jiangsu and Anhui, increasing sales revenue and profit [3] Group 3: Cost Management - Major costs include depreciation, material costs, employee salaries, electricity, leasing, land use, and repair costs [3] - The company has implemented strict cost control measures, resulting in a stable or declining overall coalbed methane extraction cost in recent years [3] Group 4: Production and Development Timeline - The construction period for coalbed methane extraction typically ranges from six months to one year, involving drilling, fracturing, and production processes [4] - Single well production varies significantly, with vertical wells producing between 500-3000 cubic meters per day and horizontal wells producing between 2000-8000 cubic meters per day [4] Group 5: Government Support and Subsidies - Recent government policies have shifted from fixed subsidies to a performance-based subsidy system, encouraging increased production and exploration of coalbed methane [4] - The subsidy coefficient for coalbed methane has been increased from 1.2 to 1.5, enhancing financial support for the industry [4]