Yanzhou Coal amends performance report

Yanzhou Coal Mining Co Ltd, a major mining company in Shandong province, has amended its performance report for the first half of this year, and expects a net loss of 2.35 billion yuan ($382.8 million).

Affected by low export prices and declining steel and iron demand in China, it earlier estimated net profit to drop 75 percent compared with the same period in 2012.

The company's net profit came to 4.9 billion yuan in the first half of 2012.

Yanzhou Coal said that the unfavorable currency exchange rate has led to a 3.26 billion yuan loss in conversion trading in the second quarter, which directly cut 1.79 billion yuan of the company's net profit growth.

Coal prices continued to drop in the second quarter, and the lower price also caused a loss of 890 million yuan in net profit than the previous forecast.

Yanzhou Coal's coke prices in July have fallen by 70 to 85 yuan per ton.