The company paid paid $1.7m in cash plus 98% share interest in Zonelin Coking Plant and 60% in DaPing Mine for the transaction.
The acquired mines are located close to the existing Weishe model mine and complement the company’s plans to consolidate its business in Guizhou Province.
Both mines contain about 34.2 million tons of anthracite coal reserves and are currently at a trial production stage, where L&L expects to enhance annual production capacity beginning next year.
L&L chairman and CEO Dickson Lee commented that the company completed the transaction to build coal reserves, increase production capacity and value for shareholders.
"By leveraging on L&L’s publicly listed platform in the USA and global management capability, we continue to work closely with Union Energy to realize the full potential of its mine portfolio.
"We also have a pipeline of other opportunities and strategic assets in China," Lee added.
