Mongolian authorities are planning to hold a discussion on online trading for coal export on February 27, in order to help better understand details of coal auction process launched early this month.

The meeting, initiated by the Ministry of Mining and Heavy Industry of Mongolia, is also supported by the Ministry of Economy and Development, Mongolian Stock Exchange, Erdenes Tavantolgoi JSC, Energy Resource LLC and Tavantolgoi company.

During the discussion, participants will be introduced to the rules and instructions related to stock exchange and coal trading, and detailed information how to participate auction, how to enter into contacts, payments and provided with the knowledge to use the trading system correctly, according to a document released by the Ministry of Mining and Heavy Industry.

The meeting will be attended by representatives of the Ministry of Mining and Heavy Industry of Mongolia, interested parties to purchase coal for export, traders, sellers, trade organizers..

Check more details on the Agenda.

If you are interested in the meeting, Click HERE for registration.

(Writing by Tammy Yang Editing by Harry Huo)

For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.

Ulaanbaatar Railway JVC (UB Railway) has fulfilled its freight target as of the first half of this month, and railway workers of Zamiin-Uud Railway Junction have set a record by loading 383 wagons during the night shift of February 11-12.

Overachieving the loading target will enable continuous transportation without any interruption, increase wagon turnover and boost freight volume. According to the UB Railway, the increasing size of freight through the Zamiin–Uud Railway Station is demonstrating the increase in export and import and recovery of the border checkpoint.

First Hungarian/British/Mongolian coproduction ‘1242: Gateway to the West‘ by Peter Soos is one of the most expensive historical films supported by the National Film Institute – Hungary. The total budget is approximately 9.47 million euro.

The Mongolian side has been instrumental in providing the cast, stunt performers, costumes, props, and set dressing, while our UK co-producer has been responsible for the sound postproduction and music, as well as playing a significant role in the development of the screenplay and casting process.

The story written by Aron Horvath and Joan Lane is set during the great Mongolian invasions in Europe when Genghis Khan’s military commander Batu Khan is beat back by a Hungarian castle and a spiritual man.

“I have always been fascinated by the Mongolian invasion of Europe, and the idea of producing a film about this historical event has been a personal goal of mine. The Mongolian Empire was a brutal power and had the greatest army at that time, making their sudden retreat in February 1242 all the more intriguing. The reasons behind Batu Khan’s decision remain a mystery to this day, as there is no written evidence. When I shared this story with my longtime friend, director Peter Soós (we worked a lot together, but this is our first feature film together), he became immediately enthusiastic and provided great ideas, so I knew we had to work on this project together”, producer Kornél Sipos told FNE.

Wind power generation by large-scale enterprises in north China's Inner Mongolia Autonomous Region reached 101.99 billion kWh in 2022, up 8.8 year-on-year, according to the regional bureau of statistics.

Among all leagues and cities in Inner Mongolia, Xilin Gol League reported the highest wind power generation, accounting for 26.7 percent of the region's total, while Hinggan League posted the fastest growth in wind power generation with a year-on-year increase of 57.3 percent.

Xilin Gol League is rich in wind and solar energy resources. The installed power generation capacity of new energies in the league has reached 13.45 million kW, and the annual generation of clean electricity is about 29 billion kWh.

It is expected that by the end of 2023, Xilin Gol will become the first league in Inner Mongolia where the installed power capacity of new energies exceeds thermal power.

Over recent years, Inner Mongolia has accelerated its transformation from a fossil energy base to a clean energy base. Its wind power generation has recorded an average annual growth rate of 15.6 percent over the past five years, 8.1 percentage points higher than the that of all power generation.

Geologist and mining entrepreneur Robert Friedland has a reputation for going where no man would go in search of mineral riches – a strategy that has paid off in the billions for him over the years. In the early 2000s his team discovered the Oyu Tolgoi copper-gold deposit in the Gobi Desert of Mongolia that is of biblical proportions. The discovery would eventually lead to the largest financial undertaking ever contemplated in Mongolia’s history and some projections have it producing over half a billion tonnes of copper annually by the middle of the decade.

Now owned and operated by mining giant Rio Tinto, the Oyu Tolgoi mine has become a symbol of Mongolia’s potential as a mineral-rich province and just like the proverbial light globe that attracts the moths, Oyu Tolgoi has attracted a band of smaller capped hopefuls to the region in search of its sister deposit that many believe may still be lurking out in the Mongolian desert somewhere.

One company that has established itself in the vanguard of that band of hopefuls is Xanadu Mines who sought to create its own legacy in the South Gobi Desert back in 2016. The company unearthed the significant Kharmagtai copper-gold deposit just two short years later which today taunts the market with its potential in a region that is capable of brewing deposits like Oyu Tolgoi. In fact in geological terms, Xanadu’s Kharmagtai discovery is only a good tennis ball throw – or 120kms - to the north west of Rio’s Oyu Tolgoi. Notably the company says Kharmagtai is still open along strike and at depth which is remarkable given that it has already thrown up a 1.1b tonne resource containing a whopping 3mt of copper and 8m ounces of gold.

A preliminary PEA Scoping Study has it delivering a serious 50,000 tonnes of copper a year and a company making 110,000 ounces of gold a year to boot and wait for it ... for at least 30 years.

The Kharmagtai deposit is one of the largest undeveloped copper deposits listed on the ASX and potentially one of the largest globally, with commodity equities research firm MST Access noting in a recent research report:

“XAM is advancing as a potentially globally significant producer of copper and gold, and the senior leadership team has significant mining industry experience. The underlying commodity exposure provides a highly favourable outlook in our view.”

MST says Kharmagtai is shaping up to be an extremely low cost, long life mine. The company says it is targeting an initial all in sustaining cost of US$1.02 per pound of copper for the first five years and the project will likely spit out around US$3.4b in free cashflow over its initially contemplated mine life.

Xanadu estimates it should be able to bring 200,000 tonnes of copper and 500,000 ounces of gold to market in the first five years of production. After this, production is set to increase to 50ktpa of copper and 110ktpa gold with the AISC increasing to about US$1.87/lb for the remaining 25 years of the mine life.

MST Access also suggests some exploration upside, adding “…further exploration upside is likely to provide the greatest opportunity to delineate higher-grade components which can increase metal production rates and reduce unit costs for the same mill throughput and provide increased upfront cashflows to further improve the economics of the project.”

Xanadu is not struggling for money either having attracted the interest of Chinese copper giant Zijin Mining Group. The parties have formed a joint venture to fund the next steps to bring the Kharmagtai project to life.

The first phase of funding saw Zijin take a 9.99 per cent stake in the company. With FIRB and shareholder approval under its belt, Xanadu is now only waiting on approval from the Chinese government to trigger stage two funding, that will see Xanadu add $7.2 million to the coffers, and Zijin increase its stake in the company to 19.99 per cent.

In phase three of the funding, Zijin will part with another US$35 million.

The final approval from the People’s Republic of China is expected any day now, which will trigger phase two and then phase three within ten days of approval.

Zijin’s investment also provides Xanadu with a strategic partner with significant experience in the mining industry and the resources to bring a project of this size online. This is a major vote of confidence in Kharmagtai and a testament to it’s potential.

MST Access drew attention to this relationship in its report saying of Zijin, the world’s sixth largest global miner; “this partner brings not only the financial ability and technical expertise to get a project like this to the next stage, but also the logistical link to end markets which are “crucial to scale a porphyry project successfully into production.”

With funding secured, Xanadu will now invest heavily in further exploration in the South Gobi Desert and will look to develop addition targets around Kharmagtai whilst also continuing to develop its 100 per cent owned Red Mountain copper-gold project, also in Mongolia which is still at an early stage.

When phase three funding finally kicks in, Xanadu will push Kharmagtai into high gear by completing a pre-feasibility study, which is due in 2024.

Some 30,000m of infill drilling is to be completed at Kharmagtai this year and the resultant data will feed into a maiden ore reserve to be delivered when the PFS is completed.

Kharmagtai is one of the few large scale, long-life, low-cost copper deposits in the world that can be developed within 5 years, placing Xanadu in the box seat as the world starts an inevitable scramble for copper in order to keep up with the electric vehicle juggernaut.

The declining trend of copper discoveries, lower copper ore grades and the shortage of new projects to replace current production levels has caught the attention of industry experts. S&P Global is just one which has predicted there will be a copper deficit starting in 2026 that will last until at least 2030.

The analysis from S&P Global highlights the significance of Kharmagtai as it is one of the few global, near term producers with the potential for enormous scale.

Whilst the South Gobi Desert region that houses Xanadu’s Kharmagtai project was initially considered to be largely devoid of supporting infrastructure in the early days of the Friedland discovery, that does not appear to be the case now. There is now a railway line just 12km from the project, power lines in sight and nearby transport links to the Mongolian/Chinese border.

In an interview with MST Access, Xanadu’s Vice President of Exploration Andrew Stewart pointed to the untapped potential of the South Gobi Desert, emphasising Xanadu was only getting started.

Now we’ve put together a project [that] really lets us take the gloves of us when it comes to exploration as we have no downside risk…now we can really go after the discoveries…we’re looking for a higher, hotter part of the system. We know the grade is increasing at depth.

Xanadu Mines Vice President of Exploration, Andrew Stewart

Stewart added that with some cash in the bank and a major mining partner, there was still some 40km to explore at Kharmagtai and the other nascent project, Red Mountain. He says Xanadu can focus on “sticking holes in the ground” as it works on shoring up more prospects in the region.

The PFS is set to take 18 months and early site works are slated for 2025. If all goes to plan, the first batch of copper concentrate could hit the market by 2027 according to management.

There is always a slight twinge of excitement that involuntarily transgresses ones lower gut when a sizable discovery is made in the vicinity of another existing discovery that is recognised to have biblical proportions.

It remains to be seen just where Kharmagtai will finish up as a copper-gold discovery. However one thing seems certain, with a billion tonne resource already to its name and an owner that has Chinese cash flowing in and a penchant for spending it in the ground, this is not likely to be one of the small ones.

BY: Matt Birney /sponsored

Is your ASX-listed company doing something interesting? Contact: matt.birney@wanews.com.au

Sinomine Resources Group, a leading Chinese supplier of battery-grade lithium fluoride, plans to buy a majority stake in a lithium ore mine in Mongolia to further improve its lithium resources.

Sinomine intends to purchase a 51 percent stake in a lithium ore project in Mongolia’s Tsagan Chuluut region from Lithium Century, the owner of the project’s three shareholders, for USD20 million, the Beijing-based company announced.

The URT project is still in the primary exploration stage, and the exact reserve amount is uncertain, Sinomine added, noting that the prospecting right of the project covers an area of over 332 hectares, and its reserves may exceed 1.7 million tons of lithium ore. The area already explored is only 10.5 percent of the prospecting right scope, the firm pointed out.

After the acquisition, Sinomine will issue a loan of up to USD20 million for the geological exploration of the lithium ore project, it said in the statement.

Established in 2013, Lithium Century is an innovative mining company focused on mineral exploration and development of environmentally sustainable extraction of lithium in central Mongolia.

Sinomine was founded in 1999. It is not only the world’s largest producer and supplier of cesium and rubidium but also a leading supplier of battery-grade lithium fluoride in China, as well as the one and only producer of cesium formate worldwide.

Ask a friend to summon Mongolia to mind and it is likely that the vast plain of the central Asian steppe will be the image that appears, perhaps populated by traditional, nomadic people living in sturdy tents (known as gers) that have not changed in hundreds of years. A land of wide open spaces, natural beauty and isolation far from the concerns of modern economies.

Your friend would be partly right. Mongolia is the least densely-populated sovereign nation, with just six people per square mile. Its 3.3 million people are spread across the 18th-largest country in the world, with roughly half of them in the central capital, Ulaanbaatar. Nearly a third of the population still lives a nomadic or semi-nomadic lifestyle. But since it was called out as a ‘global growth generator’ in a 2011 report by Citibank economists, the eyes of the world have been on Mongolia as a largely untapped, emerging economic power with enormous potential.

At a fundamental level Mongolia’s potential lies in its natural resources, but there are a wealth of secondary and tertiary trade and investment opportunities waiting to be unlocked. With an estimated 6,000 individual mineral deposits, it is no surprise that mining already constitutes 25 per cent of GDP and makes up 84 per cent of Mongolia’s exports, but it is estimated that at most, only a quarter of the country has been properly surveyed.

Experts project that anywhere from $1-$3 trillion of raw material wealth awaits to be discovered. This presents obvious opportunities for anyone with expertise in surveying, extraction, purification and research, as well as suppliers of equipment and machinery. But there is also a keen interest in innovative and greener mining techniques; the more energy-efficient and modern the mining industry can become, the better for all involved.

Alongside natural resources, Mongolia is acutely aware of the need to improve its transport infrastructure to enable effective trade of the raw materials produced; rail building and its related industries are a key priority for the immediate future. As a landlocked nation with few airports it depends heavily on road and rail freight links.

Similarly, any great expansion of Mongolia’s mining sector is going to place higher demands on the national power grid, which is in need of modernisation. In line with global trends, the government is keen to explore renewable energy sources, particularly as Mongolia has been rated as having the highest per capita potential for solar and wind electricity generation.

An ambitious target is in place to generate 30 per cent of electricity from renewables by 2030. There are further knock-on effects of the country’s natural riches – several mining companies are actively considering IPOs, and there is a programme afoot to develop an international financial centre in Ulaanbaatar. The expertise of the UK’s banks, consultancy firms and related financial service providers could be invaluable in developing the country’s financial sector.

Hand-in-hand with Mongolia’s economic opportunities is a recognised need for sustained investment in its education sector. The country has a strong foundation, with a solid primary and secondary system, and a growing network of universities that saw undergraduate numbers increase sixfold between 1993 and 2010.

But there is high demand for international partnerships on teacher training, for programmes to reach the country’s more remote populations, and for English language teaching. Often, educational opportunities come with corporate backing and support vocational pathways, directly contributing to the education of a specialised workforce that will support the expansion of the mining and infrastructure industries. Engineering, surveying, utilities management and urban planning are all areas of interest that are predicted to grow in the coming years.

From raw materials to city-building, Mongolia’s potential is vast, and represents a great opening for British businesses looking to discover – and be a part of – the next success story.

Sell to the world

Now is an exciting time for your business to sell to Mongolia. The Department for Business and Trade (DBT) provides a wide range of free support, wherever you are on your exporting journey.

Find out more about Mongolia and how DBT can support you at great.gov.uk

During the extraordinary session of the State Great Khural dated February 7, it was decided to send humanitarian aid to the people of the Republic of Turkey and the Syrian Arab Republic, which were affected by the deadly earthquake.

According to the decision, five tons of canned meat, one ton of candles, a thousand blankets, and 20 Mongol Gers have been sent to Turkey from the people of Mongolia.

While another five tons of canned meat, one ton of candles, and five hundred blankets are in preparation to send to Syria.

Moreover, MIAT Mongolian Airlines successfully delivered the 12 tons of relief and emergency goods, including Mongol Ger, blankets, and water to Istanbul, Turkey on February 9.

The Prime Minister of Mongolia L. Oyun-Erdene is paying an official visit to the Republic of Korea. On the first day of his visit, the Prime Minister met with the Minister of Personnel Management of Korea Kim Seung-ho.

While expressing his satisfaction with the last 30 years of continuous development of the relations between Mongolia and Korea in social and economic sectors and its advancement to the “Strategic Partnership,” the Prime Minister emphasized his will to deepen and enrich the bilateral political ties with economic content, support people-to-people exchanges, and expand cooperation in strengthening the human resources management of civil services.

“The Government of Mongolia is focusing on improving the ethics, and tightening the discipline by evaluating the public servants’ performances, in accordance with its Action plan (2020-2024). To that extent, I am glad for the opportunity to learn from the South Korean experiences on embodying the merit system principles in civil service and heightening public servants’ discipline and accountability, and to maintain fruitful cooperation on this matter.” the Prime Minister highlighted.

In response, the Minister of Personnel Management of Korea Kim Seung-ho noted that the fact that the Prime Minister of Mongolia is starting his overseas visits from South Korea, in particular, holding his first talk on the management of human resources in civil service is demonstrating the high importance that the Government of Mongolia is attaching to civil service reforms.

Moreover, Minister Kim Seung-ho highlighted that the Ministry of Personnel Management of Korea and the Cabinet Secretariat of the Government of Mongolia had been cooperating effectively for the last four years and expressed his keen interest in further expanding the two countries’ cooperation in building the capacity of civil service.

The parties agreed to accelerate our two countries’ cooperation in ensuring the leadership in human resources of civil service, re-training and engaging the core public servants in specialization courses, and conducting research and exchanging experiences on management of human resources in civil service.