Shanxi Blue Flame wins significant coalbed methane prospecting rights

Shanxi Blue Flame Holding's wholly-owned subsidiary formally signed the "Shanxi Qinshui Basin China-France block coalbed methane prospecting right assignment contract" with the Shanxi Provincial Department of Natural Resources. This follows the subsidiary's successful bid for the prospecting rights in October 2025.

The contract grants prospecting rights for five years in the China-France block, covering an area of 297.8986 square kilometers, with a minimum annual exploration investment of CNY 50,000 per square kilometer. The one-time prospecting right transfer fee is CNY 201,384,000.

The board of directors approved the contract at its eighth meeting. The signing of this contract is expected to increase the company's coalbed methane resource reserves, expand its business scale, and strengthen its competitiveness and sustainable development capabilities. However, the company also highlights that the exploration phase carries inherent risks, requiring further verification of geological characteristics and resource quality.