Moody's upgrades Yanzhou Coal's to "Ba2"; outlook stable

    Moody's Investors Service has upgraded Yanzhou Coal Mining Company Limited's (01171) corporate family rating to Ba2 from Ba3. 
  At the same time, Moody's has upgraded to Ba2 from Ba3 the senior unsecured debt ratings on the bond issued by Yancoal International Resources Development Co., Limited and guaranteed by Yanzhou Coal. The outlook is stable.
  "The rating upgrade reflects our expectation that Yanzhou Coal's improved credit metrics will be sustained over the next 12-18 months," said Gerwin Ho, a Moody's Vice President and Senior Credit Officer, and also the International Lead Analyst for Yanzhou Coal.
  Yanzhou Coal recorded a strong performance in 2018, underpinned by around 9% year-on-year increase in the average selling price, and a 17.7% year-on-year increase in its saleable coal volume to 113.9 million tons. 
  Moody's expects average domestic coal selling prices for the company will decline by around 10% in 2019 from the levels seen in 2018, due to slowing growth in domestic coal demand in China. Nevertheless, the Chinese government's measures to regulate the supply side should prevent a deep and prolonged decline in domestic prices.