Shenhua sees 2007 profit up 18.9% on surging coal demand

China Shenhua Energy Co<601088><1088>, the nation's biggest coal producer, posted net profit soared 18.9% from the previous year to hit RMB 19.77 billion (US$2.78 billion) in 2007, said the company in a statement.

The Beijing-based company contributed the growth to its increased output to meet surging demand from power generators and steelmakers in the world's largest consumer of coal. Sales jumped nearly 26% year-on-year to RMB 82.1 billion.

The coal maker totally produced 158 million tons of coal in 2007, up 16% from a year earlier, with coal sales surged 22.2% over 2006 to 209 million metric tons, according to the statement.

Furthermore, as the operator of 10 power plants, Shenhua's electricity output jumped 37.8% year-on-year to 79.74 billion MWh last year, and electricity sales rose 37.9% to hit 74.35 billion MWh.