Power of love: China’s latest arranged match rattles utilities

30 Aug 2017   China, Coal

Beijing announced its latest arranged marriage by matching the country’s top coal miner with one of its biggest utilities to create a global powerhouse worth $280 billion on China’s Valentine’s Day. But even as couples across the country celebrated the Qixi Festival, the union may spark jealousy elsewhere. Other power companies fear they will lose critical thermal coal supplies just months ahead of winter and face a bigger rival with an outsized role in the market. After a months-long courtship, China’s State-owned Assets Supervision and Administration Commission (SASAC) announced the deal to combine the nation’s largest coal miner Shenhua Group Corp Ltd [SHGRP.UL] with one of its biggest utilities China Guodian Corp [CNGUO.UL] in a statement on Monday. The new entity will eclipse EDF (EDF.PA) and Enel (ENEI.MI) to become the biggest global power company with around 225 gigawatts of capacity. The deal is also expected […]

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