Abstract Estimating production in coal accurately is crucial for promoting the process of safe, efficient, and green coal mining. It has been gradually recognized that horizontal wells with multiple fractures are employed to develop the coal reservoir, which signifies that the linear flow regime will dominate for a rather long time. However, the traditional analysis approaches of transient linear flow regimes may yield the overestimation of coal reservoir property. In this work, a new analytical model was proposed to estimate the rate-transient of wells with multi-fractures in coal reservoir that produce at a constant flowing pressure, which considers multiple flow mechanisms. Especially, the matrix shrinkage effect caused by water extraction from microscopic pores was incorporated, which has never been investigated by current production analysis models. In comparison with the conventional reservoir, the advanced pseudo-pressure and pseudo-time equations incorporating earlier critical mechanisms were established, including the four effects of gas slippage, effective stress, and matrix shrinkage caused by gas desorption/water extraction. In addition, the excellent agreement between the predicted rate by the proposed model and field data was achieved to validate the reliability of proposed models. Furthermore, the sensitivity analysis was carried out to clarify the influence of a series of factors on the seepage mechanism and productivity curve. Results demonstrated that the matrix shrinkage effect caused by water extraction may increase the well production rate in coal reservoirs. Selecting one field case as an example, the production rate predicted by the red curve is obviously higher than that by the green curve, the average discrepancy yields around 39.5%. The relative humidity in the coal matrix will present a positive impact on well production performance. Taking a field case as an instance, when the relative humidity varies from 8% to 14%, the well production sharply increases by about 11.6%.