The company has submitted a new subsidiary application to the GuangZhou City government to expand its coal operations into the capital of Guangdong Province.
L&L will have a controlling interest in the subsidiary, Shining Star Co, with minority partners from leading coal companies, including a retiring general manager of a large state-owned enterprise in China.
The new subsidiary will enable the company access to transport networks, including freight shipping to increase its exposure to coal buyers.
L&L chairman Dickson Lee said the partnership would increase the company’s sales, customer base and efficiencies in the next few months.
With a strong private sector, Guangdong is a major economic centre for foreign investors from Hong Kong, Taiwan and the US. Its capital city, GuangZhou, just north of Hong Kong, has large port facilities with strong demand for coal and other energy.
