China begins to aggressively exploit its massivecoal reserves

Introduction Coal has always been China's predominant energy resource. The country ranks among the three richest countries in coal reserves in the world, next to the US and the Soviet Union. According to China's Ministry of Coal Industry (MCI), coal accounted for about 72% of the total national energy consumption. Despite efforts to increase the output of oil and hydropower, coal is predicted to remain dominant on the energy scene by increasing its share to 77% by the turn of the century. To match the rapid growth in the agricultural and industrial sectors, MCI has targeted the coal industry to double coal output from 600 Mt/a (660 million stpy) in 1981 to 1.2 Gt/a (1.3 billion stpy) by the year 2000. How is this goal to be achieved? According to MCI, it will be accomplished by: • building new underground and surface mines with a total output of 400 Mt/a (440 million stpy); • increasing the output of existing state-controlled mines from the present 344 Mt/a (368 million stpy) to 400 Mt/a (440 million stpy); and • developing and increasing the output of small, local mines run by province, county, and production brigade from the present 276 Mt/a (304 million stpy) to 400 Mt/a (440 million stpy). Building new underground and surface mines New underground coal mines will be developed in areas where the coal industry has already made headway and infrastructures currently exist. This is to optimize hardpressed capital spending on investment. Ten existing coal production bases were selected in nine different provinces that met these requirements. The underground mines scheduled to be constructed in stages at he existing coal production bases will have a total output of 200 Mt/a (220 million stpy) by the end of the century. Regarding surface mines, four mines in the Inner Mongolia Autonomous Region and one in Shanxi province have been earmarked for construction during the same period. By the year 2000, these surface mines are expected to produce 200 Mt/a (220 million stpy). Foreign equipment, machinery, and surface mine stripping technology were all involved in different degrees in the development of the five new surface mines. Some have signed joint venture agreements. Occidental Petroleum Corp. is in a joint venture with China in developing Ping-shou's 15 Mt/a (16.5 million stpy) Antaibao No. 1 open-pit. The Shentou power station, situated nearby, is anticipated to consume 3.2 Mt/a (3.5 million stpy) of the coal it produces. Some is designated for export. Increasing output There are 554 state-controlled mines that have been in operation since before 1980. They produce 344 Mt/a (379 million stpy). To increase capacity, MCI has laid out some guidelines. • Coal prospecting near existing mines must be given top priority and intensified so that workable reserves can be increased. This would lengthen the mines' useful life. • Many mines and slopes that were constructed during the 1950s are very small and densely populated. These small mines and slopes are generally very short along the strike. As a result, coal faces and levels require frequent