'Prime time' for coal mergers as market stagnates

Faced with falling prices and weak demand in a slowing economy, coal companies will find it an opportune time for mergers and acquisitions, industry experts said on Tuesday.

The National Energy Administration said the government will offer unspecified financial support for the process to raise the industrial concentration level and promote the development of small players that are losing money.

Zeng Hao, a coal analyst with consultancy Fenwei Energy Co, which is based in China's biggest coal-producing region of Shanxi province, said that government aid will help the M&A process.