600985 Huaibei Mining
Huaibei Mining Holdings Co., Ltd. (hereinafter referred to as "Huaibei Mining" or the "Company") completed a major asset reorganization in August 2018. Huaibei Mining is one of the large-scale coking clean coal production enterprises with a relatively complete range of coal types in East China. one. The company has major coal types such as coking coal, fat coal , lean coal , 1/3 coking coal, lean coal, gas coal , among which coking coal reserves such as coking coal, fat coal, and lean coal account for 70% of the company's total coal reserves. %above.
1. Main business
’s main business is coal mining, washing, processing, and sales, and the production and sales of coal chemical products.
The company's coal products (gross profit margin 24.51%) mainly include coking clean coal ( coking coal output is 10.5876 million tons) and thermal coal . The company's products are mainly coking clean coal, accounting for about 50% of the company's commercial coal output, and the coal types are complete, covering coking coal, fat coal, lean coal, 1/3 coking coal, lean coal, gas coal and other varieties, with unique Advantages of coal types. From the perspective of industry layout, coking clean coal customers are mainly steel and coking industries, mainly the steel industry; thermal coal customers are mainly electric power, building materials, and chemical industries, and power customers are mainly power plants in the province.
Coal quality has the characteristics of low sulfur, extra low phosphorus, medium volatile matter, medium to medium high calorific value, strong cohesiveness and good coking property. The coal products produced have low sulfur content and harmful elements such as phosphorus, arsenic and chlorine. Very little, it belongs to "green coal". The coal chemical products of
company are mainly coke (coke production in 2021 is 4.0964 million tons), which has the characteristics of low sulfur and high hot and cold intensity. The product quality is excellent and is mainly used in the steel industry; methanol (production is 342,700 tons) tons), and other coal chemical products include crude benzene , ammonium sulfate , tar, refined benzene, etc., which are mainly used in the chemical industry. The company is fully constructing the coke oven gas comprehensive utilization project with an annual methanol production capacity of 500,000 tons and is expected to be put into operation in June 2022.
The company currently has 16 pairs of coal production mines, with an approved production capacity of 32.55 million tons/year, and a pair of mines under construction, with an approved production capacity of 3 million tons/year; the approved coke production capacity is 4.4 million tons/year, and the co-production of methanol is 400,000 tons/year; There are 5 thermal coal preparation plants with a washing capacity of 10.2 million tons/year; 4 coking coal preparation plants with a washing capacity of 29 million tons/year.
The gross profit margin of thermal coal is 30.51%, and the gross profit margin of coking coal is 43.66%.
2. Performance
’s operating income in 2021 was 64.961 billion yuan, an increase of 24.27%; the net profit attributable to shareholders of listed companies was 4.780 billion yuan, an increase of 1.312 billion yuan over the same period, an increase of 37.82%.
3. Investment points
1. Production capacity
(1) Coking coal
The designed production capacity has basically been reached, and the main products are coking coal and 1/3 coking coal, which will continuously enhance the company's competitiveness. In addition, the company's Taohutu Coal Mine construction project has been approved by the National Development and Reform Commission, which will bring an increase in thermal coal production capacity of 8 million tons per year. The main coal type in Taohutu Coal Mine is high calorific value thermal coal, with a calorific value of 6,000 tons. card or above.
(2) Thermal coal
The main coal type of Taohutu Coal Mine is high calorific value thermal coal, with a calorific value of more than 6,000 kcal, and the mine's designed production capacity is 8 million tons/year. At the beginning of 2019, it obtained the exploration license (resource reserves: 1.45 billion tons) and paid the first resource price of 1.092 billion yuan. At present, the Taohutu Coal Mine project has been approved by the National Development and Reform Commission. The next step is for the company to speed up the procedures related to resource mining and production safety before starting construction. It is expected to be completed and put into production during the "14th Five-Year Plan" period.
(3) Coal Chemical Industry
Company’s coke oven gas comprehensive utilization project to produce 500,000 tons of methanol has been put into trial production in December 2021 and is expected to be officially put into production before the end of June 2022; the methanol comprehensive utilization project to produce 600,000 tons of ethanol has been launched Construction will start in December 2021. At present, the general contract of EPC has been signed, and the construction team has begun to install equipment. It is expected to be completed for trial production by the end of 2023 and officially put into production in 2024.
2, variety advantage + coal chemical industry
The company has a complete range of coal types, including coking coal, fat coal, lean coal, 1/3 coking coal, lean coal, gas coal and other major coal types, including reserves of coking coal, fat coal, lean coal and other coking coals Accounting for more than 70% of the company's total coal reserves. At the same time, the company has formed a comprehensive coal utilization industry chain from coal mining, washing and processing to coke smelting, methanol production and coal chemical product processing, coal slime gangue power generation, increasing the added value of effective resource utilization and avoiding single products. Price Fluctuation Risk.
3. Coking coal supply and demand are tight, and prices are supported.
Coking coal is the leader in East China, with convenient transportation and integrated coal-chemical industry. The supply and demand of coking coal and coke are tight, and prices are expected to remain high and fluctuate. The company's performance is mainly driven by production capacity improvement, so you can pay attention to dips.
Risk warning: The project was put into production less than expected; the prices of coking coal and coke fell sharply.
