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UPDATE 1-China Shenhua used up 1st coal export quota -exec

Wed Jul 16, 2008 11:46pm EDT

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(Adds details, background from para 3)

China

BEIJING, July 17 (Reuters) - China Shenhua Group, the country's top coal producer, has used up its entire first batch of 2008 coal export quotas, a senior executive told reporters on the sidelines of a conference on Thursday.

Zhang Wenjiang, assistant general manager of Shenhua Group, added that he had no information regarding an expected second batch of coal export quotas.

Shenhua Group, parent of China Shenhua Energy Co (1088.HK) (601088.SS), had been allocated a 21.85 million tonne export quota for the entire year, industry sources said.

In March, Shenhua Group received the first batch, or about 60 percent of the total quota for the year, the sources said.

Some traders and analysts have said China's second batch of export quotas for this year is likely to be issued in July but at a reduced level, as the country tries to keep more of its coal output at home to ease a severe power shortage. (Reporting by Jim Bai; Writing by Rujun Shen; Editing by Edmund Klamann)



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