China Shenhua Energy : OVERSEAS REGULATORY ANNOUNCEMENT

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement.

(a joint stock limited company incorporated in the People's Republic of China with limited liability)

(Stock Code: 01088)

OVERSEAS REGULATORY ANNOUNCEMENT

This announcement is made pursuant to Rule 13.10B of the Rules Governing the Listing of Securities on the Stock Exchange of Hong Kong Limited.

The "Announcement on Increase in Production Capacity of Shengli No. 1 Open-pit Coal Mine" as published in Chinese on the website of the Shanghai Stock Exchange (www.sse.com.cn) on 24 February 2020 is enclosed hereto as overseas regulatory announcement.

By order of the Board

China Shenhua Energy Company Limited

Huang Qing

Secretary to the Board of Directors

Beijing, 23 February 2020

As at the date of this announcement, the Board comprises the following: Mr. Wang Xiangxi, Dr. Li Dong, Mr. Gao Song and Mr. Mi Shuhua as executive directors, Mr. Zhao Jibin as non-executive director, and Dr. Tam Wai Chu, Maria, Dr. Peng Suping, Dr. Jiang Bo, and Ms. Zhong Yingjie, Christina as independent non-executive directors.

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Stock Code: 601088 Stock Short Name: China Shenhua Announcement No.: Lin 2020-004

China Shenhua Energy Company Limited

Announcement on Increase in Production Capacity of Shengli

No. 1 Open-pit Coal Mine

The board of directors and all directors of China Shenhua Energy Company Limited guarantee that the information set out in this announcement does not contain any false statements, misleading representations or material omissions, and severally and jointly accept responsibility as to the truthfulness, accuracy and completeness of the content herein.

Recently, the application for increase in approved production capacity of Shengli No.1 Open-pit Coal Mine of China Shenhua Energy Company Limited (the "Company") has received approval from the National Coal Mine Safety Administration (Document No.: Mei An Jian Si Han Ban [2020] No. 15). According to the approval document, Shengli No. 1 Open-pit Coal Mine is in compliance with the Notice on Verification of Production Capacity of Qualified Coal Mines with High Quality Production Capacity (Fa Gai Yun Xing [2017] No. 736) in relation to the conditions of approved increase in production capacity of coal mines with high quality production capacity, and the increase in production capacity of Shengli No. 1 Open-pit Coal Mine from 20 million tonnes/year to 28 million tonnes/year (announced coal mine production capacity is calculated based on raw coal) is approved, with an increase of 40% in production capacity.

Shengli No. 1 Open-pit Coal Mine is operated by Shenhua Beidian Shengli Energy Co., Ltd., a controlled subsidiary of the Company. Shengli No. 1 Open-pit Coal Mine will handle relevant procedures including optimization of environmental evaluation in a timely manner in accordance with the requirements of the approval documents, and release production capacity in compliance with laws and regulations.

Announcement is hereby given.

By order of the Board

China Shenhua Energy Company Limited

Huang Qing

Secretary to the Board of Directors 24 February 2020

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