China Coal Energy, the nation's second-largest coal producer by market value, plans to keep coal exports unchanged this year despite Beijing's quota reduction amid tight domestic supply. 'Beijing has implemented policies to control exports, not to ban exports,' China Coal chairman Jing Tianliang said. 'We plan to keep our export volume at last year's level.' Overseas sales will help the company's profit as regional export prices are soaring amid speculation that Swiss miner Xstrata will raise its price 127 per cent to US$125 a tonne in this year's contract with South Korea's Chubu Electric Power. Japanese steelmakers have also agreed to buy coking coal used in smelters at about US$300 a tonne, three times that of last year. China Coal, which is still in talks with regional buyers over contracts, might clinch an up to 77 per cent rise or as much as US$120 a tonne for coal used by power plants, an analyst said. Mr Jing was speaking a day after the company announced a 90 per cent jump in net profit last year to 6.02 billion yuan, thanks partly to a 1.36 billion yuan gain from an increase in value of A shares that it bought from China Cosco Holdings' initial public offering last year. China Coal received a 13.1 million tonne export quota this year, or 41 per cent of the total of 31.8 million tonnes in the first batch that Beijing granted recently. No details of the second batch have been released. Last year, only 53.17 million tonnes of quotas were used from a total of 70 million tonnes. China Coal exported about 19 million tonnes. Beijing has been gradually cutting value-added tax on coal exports. It has also imposed an export tax to keep more resources for the domestic market to ease tightening supply. Coal supply worsened in the first two months of this year after the worst winter storms in 50 years grounded the country's railway system, disrupting the main transport mode for the fuel. To avoid similar disruptions, Mr Jing said China Coal planned to set up coal logistics centres in the nation's three top coal-consuming regions - Bohai Bay Rim in the north, Yangtze River Delta in the east and Pearl River Delta in the south. It will build a coal storage and distribution facility in Zhoushan, Zhejiang province, with annual throughput capacity of 50 million tonnes to serve the eastern region. In the north, it will invest in expansion of coal ports and logistics facilities in Qinhuangdao, Tianjin and Caofeidian. 'We are also in negotiations with Guangdong's power producers to coinvest in a storage and distribution centre,' Mr Jing said. Mr Jing also said China Coal would acquire from its parent China National Coal Group the Dongpo coal mine in Shanxi that would come on stream this year with an annual output capacity of 3 million tonnes. China Coal aims to produce more than 100 million tonnes of coal, up from 90.5 million tonnes. It also plans to buy its parent firm's two mines in Shuonan, Shanxi, one of which has 8 million tonnes of annual capacity and the other 3 million tonnes.