G.Yondon: The independent investigation report was reviewed www.montsame.mn
An independent investigation team concluded that the cost overrun and schedule delay in the underground expansion of Oyu Tolgoi project were not due to geotechnical conditions.
On August 9, the conclusion was presented in a report to the working group in charge of negotiating with Rio Tinto regarding Oyu Tolgoi.
About the report, Minister of Mining and Heavy Industry G.Yondon said, “Rio Tinto informed the government of Mongolia of the cost overrun and delay in the underground expansion in July 2019. To be specific, it said that, due to unexpected geotechnical and ground conditions, the project could experience a delay of up to 30 months and a cost overrun of USD 1.2-1.9 billion. However, independent experts concluded that the delay and cost overrun are not directly related to geotechnical issues,”
“We established an agreement with an expert group with 20-40 years of experience this March. The group’s report was reviewed and verified by experienced individuals who worked as project managers for Rio Tinto.”
Published Date:2021-08-10