Chinese coal companies gain in this year’s PwC Top 40

Chinese coal companies made significant gains in PwC’s ranking of the Top 40 mining companies of 2014 with three appearing in the this year’s top twenty.

China Shenhua Energy Co. Ltd (Shenhua) led the way becoming the third most valuable mining company (based on market capitalisation) after BHP Billiton and Rio Tinto. Shenhua moved up from fifth position in 2013’s rankings, producing 306.6 million t of coal in 2014, according to the company’s annual report, and achieving 451.1 million t of coal sales.

China Coal Energy Co. made its way up to 14^th position from 23rd in 2013, with a more than 30% increase in valuation, Inner Mongolia Yitai Coal Co. jumped to 18th from 25^th.

Yanzhou Coal Mining Co. completes the line-up of Chinese coal companies in this year’s rankings, coming just outside the top twenty at 26^th – up from 34^th in 2013. Yanzhou also recorded a more than 30% increase in value over 2014.

Outside of China and Coal India – another emerging market behemoth and the world’s largest coal mining company by tonnes mined – jumped form eighth to sixth position in the 2014 rankings.

The lack of US coal mining companies continued into 2015 with only Consol Energy on the list at 28^th. Peabody Energy, the largest US coal miner by production volume, last appeared on the list 2011. US coal mining stocks has tumbled in recent years as low prices and weak demand have taken their toll with the Dow Jones US Coal Index falling from a high of almost 500 in 2011 to 61.88 on 12 June.

Overall, the market capitalization of the Top 40 stood at US$791 billion at the end of 2014, a drop of 16% from US$947 billion at the end of the previous year – the second consecutive year of declines and only half of its value in 2010.

Written by Jonathan Rowland.

Read the article online at: https://www.worldcoal.com/coal/15062015/chinese-coal-companies-gain-in-this-years-pwc-top-40-2419/