BEIJING, Aug 29 (Reuters) - China’s top coal miner Shenhua Group Corp Ltd will take over China Guodian Group Corp, among the country’s top five state power producers, in a deal that will create the world’s largest power utility worth $278 billion.
With an estimated 326,000 staff, it will have a workforce almost four times bigger than the entire U.S. coal-fired power industry in 2016.
The combined entity will have an installed capacity topping 225 gigawatts (GW), eclipsing EDF and Enel to become the world’s biggest power company by capacity.
It will also be the largest wind power developer in the world with 33 gigawatts of capacity and the biggest coal producer.
Here is a breakdown of each companies’ operations:
Guodian Group had total installed capacity of 143 gigawatts of power, including 26.17 GW of wind at end-June. It is also a leading hydropower and renewables developer and produced 58.72 million tonnes of coal in the first of the year.
Its listed unit GD Power has 22 coal-fired power plants with capacity of 34.3 GW and also has 7.6 GW under construction. Five of those operating plants lost money in the first half.
According to Fortune magazine, it had 124,057 staff.
Other listed units of China Guodian are Guodian Changyuan Electric Power Co Ltd, Yantai LongYuan Power Technology Co Ltd and Ningxia Younglight Chemicals Co Ltd.
Shenhua said on Monday it expects to produce 278 million tonnes of coal in 2017, down from a previous target of 290 million tonnes. It also set a sales target of 396 million tonnes for 2017.
In 2016, it accounted for 8 percent of China’s total output and produced almost four times more than the second-largest producer Shanxi Coking Coal Group Co Ltd.
Its website says that at end-2015 it had 54 coal mines; total installed power capacity of 78.5 GW; 2,155 km of rail network; and a port cargo capacity of 270 million tonnes.
According to Fortune, it has a workforce of 202,200 staff.
Shenhua’s listed unit Shenhua Energy Co Ltd has 18 power plants with capacity of 33 GW, with 3.9 GW under construction.
Seven of those were in deep loss in the first half. The listed company was one of the most profitable public commodity companies in the first half.
Reporting by Josephine Mason and Meng Meng; Editing by Tom Hogue