According to the announcement from financial news app, Yankuang Energy (600188.SH) intends to use its ownership of Yancoal Canada Resources Co., Ltd. ("Yancoal Canada") 100% equity and its wholly-owned subsidiary Yancoal International (Holdings) Limited ("Yancoal International") to contribute to Yancoal Canada's shareholder loans' principal and interest, while also subscribing in cash for no more than 90 million US dollars of private placement shares of Highfield Resources Limited ("Highfield Resources", stock code: HFR).

Highfield Resources, established in Australia, was listed on the Australian Securities Exchange in February 2012. Its main business is the development of potash projects, with the core project being the Muga project in northern Spain. In addition, Yancoal Canada is an overseas wholly-owned subsidiary of Yankuang Energy established in 2011, located in Saskatchewan, Canada, engaged in potash exploration and development, holding a potash mining project ("Sasky Project") and four other potash mining rights; the main product of the Sasky Project is potassium chloride potash.

After the completion of this transaction, the company will become the largest shareholder of Highfield Resources and control the board of directors, holding Muga Project, Sasky Project, and several other undeveloped reserve projects through Highfield Resources. After the completion of the construction of the Muga Project and Sasky Project, Yankuang Energy will have an annual production capacity of 3.8 million tons of potash through its controlling stake in Highfield Resources, transitioning from single coal mining to multi-mine development.