CHINA Shenhua Energy Co is in talks to take part in a US$2-billion coking coal project in Mongolia, to help plug a gap in supplies to China's steel industry, the South China Morning Post reported, citing a company official.
The project will be able to produce at least 10 million tons of coking coal a year for steel smelters, the Hong Kong-based newspaper said, citing Shenhua company secretary Huang Qing. The development will also include the construction of a 500-kilometer railway between south Mongolia and Baotou in China's Inner Mongolia Autonomous Region, the report said.