(NDRC) The Chinese National Development and Reform Commission approved shuttered coal mines to resume production to address power demand amidst climate impact concerns.
NDRC wants operations in 15 coal mines in the northern Chinese provinces with an estimated production of 44 million tons of coal to restart.
The move comes as China pushes to control thermal coal prices that have risen by around a third this year with the highest in May owing to supply disruption and the increasing industrial output.
Thermal coal futures at the Zhengzhou Commodity Exchange traded at 894.2 yuan per ton, at 11 a.m. local time. It is expected that prices will remain high amid a worsening power shortage.
The move comes after, last week, authorities announced the reopening of 38 coal mines in Mongolia.
CSI 300 is down -0.61%, USDCNY is down -0.09%.
