Through Coal Group, we produced and sold 428,269 metric tons of coal in the three month period ended May 31, 2012 at our Laiyegou coal mine, representing a 33% increase over the same period in 2011. We increased our coal trading volume by selling 903,087 tons of coal in the three month period ended May 31, 2012, representing a 376% increase over the same period in 2011. Going forward, we plan to leverage on the rich coal reserve in Inner Mongolia and acquire coal mine(s) if we can locate acceptable targets at reasonable prices, while continuing to increase our trading volume. We expect Coal Group to continue to be the key growth factor of the Company.
The increase in coal production volume in the second quarter was mainly due to permission granted by local government to increase the coal volume which is allowed to be produced and sold by the Company since the third quarter of 2011. Coal Group was selected by the Inner Mongolia Autonomous Region Coal Industry Bureau as one of the 44 major coal enterprises in the Inner Mongolia region to be promoted by the Inner Mongolia Government. The Company believes that this governmental decision to promote the Company is the reason behind the Company being permitted to produce and sell more coal than previously allowed.
Effective as of July 10, 11, and 16, 2012, Messrs. Paul Li, Steve Markscheid, and Tieming Ge resigned from their position as Director of the Board of Directors of China Energy Corp. respectively. Messrs. Li, Markscheid, and Ge were members of the Audit, Nominating and Corporate Governance, and Compensation Committees of the Board of Directors.
We successfully ramped production at our Laiyegou mine, as well as capitalized on our expanded quota from the railway bureau to accelerate our coal trading volumes. Continued strong demand for energy and electricity provide both diversification and another conduit for incremental growth in 2012. As consolidation across our industry accelerates we continue to evaluate opportunities to expand our mining assets.