The Coal Trader

Anyuan Coal Mine Accident

Anyuan Coal announced on the evening of January 18 that at 0:34 on January 18, the second excavation team of Fengcheng Qujiang Coal Development Co., Ltd. (Qujiang Company) affiliated to the company was performing roadway repair operations due to roof collapse. Two people were trapped by falling cinders. After active rescue at the scene, one person was safely lifted out of the well, and one person died after the rescue failed.

According to the announcement, after the accident, Anyuan Coal immediately launched an emergency plan to suspend production at Qujiang Company for rectification. Other coal mines owned by the company suspended production for two days starting from the morning shift on January 18 for self-inspection and self-correction, and worked with the company in accordance with relevant regulations. The procedure was reported to the relevant authorities. Currently, accident investigation and aftermath work are being carried out in an orderly manner.

It is understood that Qujiang Company is an active mine with an approved production capacity of 600,000 tons/year, accounting for 24.9% of the total approved production capacity of Anyuan Coal Mines; as of September 30, 2023, it has achieved operating income of approximately 442 million yuan, accounting for 24.9% of the total approved production capacity of Anyuan Coal Mines. 9.02% of Anyuan Coal Mining’s operating income (unaudited).

It is worth noting that this accident is the second safety accident that has occurred in the coal mine in less than a year.

At 20:35 on May 8, 2023, an employee of the Development Sixth Team of Qujiang Company fell into the Xierxi coal bucket and died after on-site rescue failed. At that time, Anyuan Coal issued an announcement stating that after the accident, the company immediately launched an emergency plan, stopped operations at Qujiang Company, and suspended production for two days from the morning shift on May 9 at other coal mines owned by the company to conduct safety warning education. and safety inspection, and reported to relevant departments in accordance with relevant regulations and procedures.

Subsequent announcements showed that Qujiang Company resumed production on the evening shift on July 13, 2023. The production suspension period is from May 8, 2023 to July 13, 2023, and the actual production suspension days are 66 days; the company estimates that the production suspension will affect commercial coal production of 41,000 tons, and the loss is expected to be about 38.61 million yuan.

In fact, in recent years, accidents have occurred many times in coal mines affiliated to Anyuan Coal. According to the announcement, since 2018, safety accidents have occurred in Anyuan Coal Mine, Shangzhuang Coal Mine, Shanxi Coal Mine, etc. under Anyuan Coal Mine, and the latter two This has happened many times.

Taking Shangzhuang Coal Mine as an example, four safety accidents occurred on July 19, 2019, June 13, 2020, December 22, 2021, and March 27, 2022, resulting in multiple deaths.

Public information shows that Anyuan Coal Mining Group Co., Ltd. is a joint-stock enterprise established in December 1999 with the approval of the Jiangxi Provincial People’s Government. In July 2002, the company was officially listed on the Shanghai Stock Exchange. The company’s main business is coal mining and operation, coal and material circulation and trade, etc.

Regarding the frequent occurrence of accidents, Anyuan Coal once said that the company’s existing mines have thin coal seams, deep deposits, and complex geological conditions. They are also faced with five natural disasters: roofs, gas, floods, fires, and coal dust. During the coal mining process It is extremely easy to cause safety hazards.

Anyuan Coal has also pointed out that in order to effectively prevent possible safety production risks in coal mines, the company will firmly establish the concept of safety development, focus on process control, and continuously improve the level of safety production site management.

At the same time, the company’s mine production management will strictly implement relevant regulations and systems, comprehensively implement standardized mine quality management, and strictly implement various safety management systems to ensure the company’s normal and safe production.

Earlier announcements showed that in 2023, Anyuan Coal’s raw coal output was 1.7 million tons, a year-on-year increase of 18.09%; the full-year commercial coal sales were 1.43 million tons, a year-on-year increase of 12.24%. In 2023, the company’s commercial coal sales revenue was 1.324 billion yuan. Due to the increase in sales costs, the gross profit of commercial coal dropped by 24.67% year-on-year.

It is expected that the net profit attributable to the parent company in 2023 will be -105 million yuan to -126 million yuan, and the loss is expected to increase by 28.44 million yuan to 49.44 million yuan, a year-on-year increase of 37.15% to 64.58%.

Anyuan Coal Industry stated that the main reason for the pre-performance loss was the impact of the decline in coal prices. First, the average price of clean coal fell by 15% year-on-year, resulting in a decrease of 132 million yuan in commercial coal revenue. Second, the average price of thermal coal fell by 10% year-on-year. , resulting in a decrease in commercial coal revenue of 61.97 million yuan. Although commercial coal production and sales increased year-on-year this year, it is difficult to offset the impact of falling prices.