The National Development and Reform Commission (NDRC), which is the country’s top planner, is considering to limit local coal output by restricting miners to a 276-day operational year, rather than the 330 days they are currently allowed to work.

Sources familiar with the matter told Bloomberg that the fresh clampdown will remain in place for six months, with some mines and areas possibly excluded, though no decision has been made yet.

Coal mining restrictions would remain in place for six months, with some operations and areas possibly excluded.
Coal, particularly the steelmaking kind, rocketed last year after Beijing introduced production curbs. Coking coal prices more than quadruple and peak at over $300 a tonne in December — a level last seen in 2011. Thermal coal, which is used in power stations to produce electricity, also benefitted from the restrictions. Its recovery helped major producers such as Glencore (LON:GLEN), Anglo American (LON:AAL) and Teck Resources (TSE:TECK.A, TECK.B) (NYSE:TECK) straighten up their balance sheets.

But after a recent pause following 12 weeks of non-stop selling, the rout on coking coal markets resumed on Tuesday. The steelmaking raw material fell 4.7% to $154.80 on the day, the lowest since early September.

China, the world’s largest coal consumer and producer, said last month it continues to work towards its long-term plans of reducing the share of coal in its overall energy mix and consequent smog and greenhouse gas emissions.

Other than shutting down mines and forcing production cutbacks Beijing has also halted the approval of new coal mines until at least 2019, eliminated about 560 million tonnes of coal production capacity and closed 7,250 coal mines in the last five years.

However, as of 14th of February, the ongoing 'Dzud' (the Mongolian term for harsh winter conditions) has resulted in the loss of 75 thousand livestock. More than 100 soums of 10 provinces currently are experiencing Dzud conditions.

“It is a supergiant field even today after almost 50 years of production, the elephant of elephant fields. There is still a lot of oil left,” Ildar Davletshin, an analyst at Renaissance Capital told Bloomberg.

The field belongs to Rosneft, and if the tax cuts are implemented, Samotlor can make the oil company an extra 90 billion rubles or $1.58 billion every year, Davletshin said.

In the 1980s, the Siberian oil field produced 3 million bpd, which is more than today’s daily production of the fourth-largest OPEC member – the United Arab Emirates.

The Soviet Union tried to keep up output and injected water to improve recovery, which led to cracks in the rock. As a result, Samotlor started producing water in circles, and the fall of the Soviet Union only sped up its demise. In 1996, the oilfield produced only 300,000 bpd. Production rose as high as 600,000 bpd in 2009, according to James Henderson, an oil analyst at the Oxford Institute for Energy Studies.

Russian ministries are considering a bill to reduce the tax on deposits that hold more than 150 million tons of resources, but produce more than 90 percent water, a government official told Bloomberg, asking not to be identified because the information isn’t public. At the moment, all such oil fields belong to Rosneft.

They consider the mining sector - one of the main economic pillars should be developed in a responsible and transparent manner, meeting modern standards and requirements and to be in harmony with the long-term development goal. To realize it, relative laws and regulations should be improved, opening and closing of mines, and rehabilitation should be executed with high quality as well as natural resources should be utilized properly and effectively through introducing advanced technology.

According to D.Davaasuren, a total of 32 projects are included in the Program on the Establishment of the Economic Corridor of Mongolia, Russia and China. Within the framework of the program, proposals are sent to the two neighboring countries to establish “Investment Projecting Center” in Mongolia. Also, an expert-level meeting is expected to take place in Ulaanbaatar in March to talk issues concerning the program.

The MFA is focusing on renewing the “national program to support exports” and advancing the implementation of “Mongol Export” program and the establishment of a free-trade zone in Zamiin-Uud and Erenhot cross-border port areas.

Also, the Ministry informed about its plans for this year, which include joining Asia-Pacific Trade Agreement to increase and enable the exports of domestic products to the neighboring countries’ markets, improving the legal environment of foreign trade, negotiating free-trade agreements with third neighbors and economic unions, attending ASEM Economic Ministers’ meeting, promoting public-private partnerships and conducting effective economic "advertisements".

The State Secretary also gave information on Mongolia's relations with its third neighbors and major trade partners. For instance, Mongolia and Japan signed Economic Partnership Agreement in June 2016. In this connection, 13 subcommittees were re-established to create a permanent consultation mechanism.

On that note, the MFA officials noted that Mongolia is to sign free-trade agreement with the Republic of Korea. Within the framework, Mongolia and South Korea signed the terms of reference of a joint research team on establishing Economic Partnership Agreement in October 2016 and organized the first meeting of the joint group in December 2016.

In addition, the officials noted that agreed with the Eurasian Economic Union to commence joint research on free-trade agreement with the union in order to reduce and remove tariffs and non-tariff barriers for Mongolia's export products to Russia, Belarus, Kazakhstan, Kyrgyzstan and Armenia.

During the press conference, the State Secretary of Foreign Ministry reported that Foreign Minister Ts.Munkh-Orgil has been invited by Minister for Foreign Affairs of the People’s Republic of China, Wang Yi. The Foreign Minister of Mongolia may visit to China on February 19-20.

During the meeting, the sides reaffirmed their mutual interest of collaboration to increase bilateral trade turnover and investment and balance trade deficit, eliminate tariff and non-tariff barriers, draw more Russian investment to infrastructure and energy sectors of Mongolia by co-implementing joint projects.

In addition, the sides agreed to cooperate towards the development of favorable legal environment and promotion of regional cooperation, in particular, cross-border cooperation between Mongolia and Russia.

Within the framework of the target to eliminate tariff and non-tariff trade barriers, FM Ts.Munkh-Orgil asked for Russia’s assistance in forming a joint research working group on establishing a free trade agreement with the Eurasian Economic Commission.

Moreover, the dignitaries agreed to study feasibilities to form a council responsible for establishing Investment Projecting Centre in Ulaanbaatar and making policy adjustments on trilateral cooperation within the framework of the activation of the implementation of the tripartite program on Establishing Mongolia-Russia-China Economic Corridor.

In this regard, a trilateral meeting of Mongolia, China and Russia was arranged to take place in Ulaanbaatar this March, as consulted with the Chinese side. Deputy Minister A.Gruzdev noted that a large delegation from Mongolia is invited to the Russia-China EXPO, which will held in Harbin, China in June with an aim of deepening the economic ties of three countries.