China Qinfa (00866.HK) announced the sale of 40% equity of Liyuan Development to the independent third-party Zhejiang Energy International for a price of RMB 2.95 billion. The net proceeds were RMB 2.8 billion, of which 64% is intended to be used for debt repayment; 2% for dividend distribution; the remaining balance is allocated for capital expenditures and general operating funds.

After completion, the company still holds 60% equity of Liyuan Development, which holds a mining operation permit for a coal mine located in South Kalimantan Province, Indonesia, through holding 75% equity of SDE.