China Shenhua secures new Australia coal prospect

SYDNEY Aug 15 (Reuters) - China Shenhua Energy Co Ltd (1088.HK) (601088.SS), the world's most valuable coal producer, has agreed to pay A$300 million ($261 million) for a licence to explore for coal in Australia, a state government said on Friday.

China Shenhua will explore an area of about 190 square kilometres (73 square miles) in the coal-mining region of Gunnedah, northern New South Wales state, where there is thought to be shallow thermal coal resources, the state's mineral resources minister said.

The A$300 million fee for the five-year licence was to be paid within 30 days, Ian Macdonald said in a statement.

In addition, China Shenhua would give A$1 million annually for five years to a new regional community trust. It will invest A$175 million for transport infrastructure if a mining lease were granted.

"The value of the entire enterprise, if successful after government assessments, could be worth more than A$670 million to the people of New South Wales," Macdonald said. (Reporting by Mark Bendeich; editing by Jonathan Standing) ($1=1.148 Australian Dollar)