China Coalbed Methane (08270): Shuntai Company stopped production of liquefied coalbed methane, and fully modified and upgraded liquefied machinery and equipment

Zhitong Finance App News, China Coalbed Methane (08270) announced that on April 1, 2025, Shanxi Qinshui Shuntai Energy Development Co., Ltd. (hereinafter referred to as “Shuntai Company”), a wholly-owned subsidiary of the group, carried out regular extensive annual inspections and maintenance. During the inspection and maintenance work, it was discovered that Shuntai's liquefied machinery and equipment were worn out relatively high, leading to maintenance costs not being economically profitable. Following suggestions from the Group's technical department and discussions and careful study by the board of directors, the group decided to transform and upgrade the liquefaction machinery and equipment technology. As of May 18, 2025, Shuntai Company stopped producing liquefied coalbed methane, and completely modified and upgraded the liquefied machinery and equipment. Although the suspension of the liquefied coalbed methane business will have a short-term impact on the Group's business, the board of directors believes that technological transformation and upgrading are in the company's interests and will not have a significant impact on the financial situation.