The Mongolian Mining Journal

D. KHASHBAT: NEW LITHIUM MINERALIZATION POINTS IN CENTRAL AND WESTERN REGIONS IDENTIFIED Lithium has emerged as an important mineral in Mongolia’s mining sector, because of increasing global demand. Responding to market trends, both domestic and foreign investors are increasingly focusing on lithium exploration in Mongolia, leading to the discovery of new deposits. To gain insights into this development, I interviewed D. Khashbat, a teacher at the School of Geology and Mining of the Mongolian University of Science and Technology (MUST) and Senior Advisor at Critical Minerals Mongolia LLC.

THE FOURTH INDUSTRIAL REVOLUTION REQUIRES AN ACCOMPANYING REVOLUTION IN HIGHER EDUCATION It is increasingly evident that the Fourth Industrial Revolution will profoundly alter supply chains, production methods, and distribution networks. Governments worldwide are focusing on this transformation, adapting their policies alongside industrial advancements. Simultaneously, as nations align their economies, scientific endeavors, and educational systems with the Fourth Industrial Revolution, opportunities to maximize profits while minimizing costs are emerging, intensifying global competition.

B. BILGUUN: THE NEW BATTERY ENERGY STORAGE STATION BOOSTS MONGOLIA'S RENEWABLE ENERGY TRANSITION The government has acknowledged the necessity of an energy transition and has initiated several renewable energy projects. In the initial phase, the First Utility-Scale Energy Storage Project has been launched. In August 2022, Prime Minister L. Oyun-Erdene and representatives from the energy sector, including the Minister of Energy, participated in the foundation stone laying ceremony for the battery energy storage station project. In December of the following year, the station commenced operations, supplying energy to the central grid. Project Engineer B. Bilguun elaborated on the station's efficiency, built within the project's framework.

Mongolia is set to announce its list of critical minerals this year Countries are formulating their mining sector policies. This entail decisions on the inclusion of specific minerals in their critical mineral lists that have emerged as essential components of national mining sector strategies. Professional organizations have been discussing the formulation of Mongolia’s policy d on the minerals to incorporate into the list and drafted initial proposals.

IFC Invests in Mongolia’s First Social Bond to Boost Sustainable Development, Create Jobs To bolster Mongolia’s sustainable-finance market and create jobs while increasing resilience, IFC is investing up to $100 million in the country’s first-ever social bond, which will be issued by Khan Bank, the country’s largest commercial bank.

Discussion of the report on “Division of national and local government responsibilities regarding the use of underground resources” On July 8, 2024, the Open Society Institute successfully hosted a discussion on the research report titled “Division of national and local government responsibilities regarding the use of underground resources".

D. Amarbayasgalan: The government is prioritizing this project in Mongolia because of its significance in addressing geopolitical, economic, and energy-related issues The memorandum of understanding (MoU) for an investment agreement, facilitating uranium exploration in Mongolia, was signed by representatives of the French state-owned Orano Mining Company and the Mongolian state-owned Erdenes Mongolia during the Mongolian president’s official visit to France last October.

GOLD DEPOSITS THAT HERALD HOPE The price of gold on the world market has repeatedly reached new historical highs, signaling a promising period for the gold industry. Amidst the global Covid pandemic in 2020, countries closed their borders, and international trade ground to a halt. During this uncertain period, characterized by indefinite curfews and economic instability, Mongolia’s economy became particularly fragile and vulnerable.

G. YONDON: A COPPER CONCENTRATE PROCESSING PLANT WILL ENSURE EFFICIENCY AND REDUCE WASTE We need to first mention the foundational concept known as the ‘Four Tree Structure’ which initiated the establishment of manufacturing and processing plants. As part of the 2020-2024 Government Action Program, construction of heavy industry plants in various locations with developed infrastructure and proximity to population centers was endorsed by the Parliament on August 28, 2020. These decisions were made at the policy level.

ERDENES TAVANTOLGOI JSC OPENS COAL CONCENTRATION PLANT WITH ANNUAL CAPACITY OF 10 MILLION TONS Erdenes Tavantolgoi JSC is implementing 10 major projects of strategic importance. One of these projects, the Coal Concentration Plant project, was launched in 2022, and today, the first stage of the project—a plant with a capacity of 10 million tons of coal per year—has been put into operation.

S. NARANTSOGT: WE WILL DEVELOP A CLUSTER FOR SYSTEMATIC PRODUCTION OF VALUE ADDED PRODUCTS S.Narantsogt, CEO of Erdenes Mongolia LLC, discussed strategically important initiatives, including the establishment of an industrial complex outlined in the medium-term strategic plans of the Erdenes Mongolia group. He also highlighted the investment agreement with the French state-owned company Orano Mining.

A coal-chemical complex will be built based on the Baganuur deposit Erdenes Mongol LLC aims to establish a coal-chemical complex to leverage its resources for producing value-added products.

Tavantolgoi Coal Loading Logistics Center is now fully operational The Tavantolgoi coal loading logistics center featuring fully automated engineering facilities has been established.

Oyu Tolgoi Donates Advanced Equipment Worth MNT 1.5 Billion to the Forestry Department On June 7, Oyu Tolgoi company donated vital equipment valued at MNT1.5 billion to the Forestry Department, Government Implementing Agency (GFA), to boost the capacity of long-established tree nurseries.

MNMA Attended the "Astana Mining & Metallurgy" Congress MNMA's International Partnership Manager, Zorigt Jargalsaikhan, participated in the Astana Mining & Metallurgy Congress and had several important meetings:

AUSTRALIA sIGNS Partnership Agreement WITH GERMANY TO SUPPORT the Vocational Education and Training Sector in MONGOLIA Ulaanbaatar. Today, the Australian Embassy and the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) signed a partnership agreement to jointly support the technical and vocational education and training (TVET) sector in Mongolia. The “Cooperative TVET II” (cTVET II) project builds on the result of the cTVET I project, implemented on behalf of the German Federal Ministry for Economic Cooperation and Development in close cooperation with Mongolian Ministry of Education and Science

The construction of 6.9 km of the Shiveekhuren port railway is complete On May 29, 2024, the Ministry of Road and Transport Development informed that the construction of the 6.9 km railway connecting Mongolia's Shiveekhuren port with China's Ceke port has been completed.

IFC to Advise Government of Mongolia on its First Competitively Tendered Renewable Energy IPP The Government of Mongolia and IFC, a member of the World Bank Group, have signed a landmark agreement that will harness private sector capital and expertise to develop wind power in the country.

S. NARANTSOGT: WE WILL DEVELOP A CLUSTER FOR SYSTEMATIC PRODUCTION OF VALUE-ADDED PRODUCTS S. Narantsogt, CEO of Erdenes Mongolia LLC, discussed strategically important initiatives, including the establishment of an industrial complex outlined in the medium-term strategic plans of the Erdenes Mongolia group. He also highlighted the investment agreement with the French state-owned company Orano Mining.

Copper concentrate to be sold on the exchange market The production and export of Mongolia’s mining products contributes 27% of Mongolia’s GDP, and constitutes 71% of the industrial sector, 92% of export income, 77% of foreign direct investment, and 32% of the state budget income. While relying heavily on one sector isn’t ideal, these statistics highlight the mining sector’s crucial position as the primary driver of Mongolia’s economy now and in the foreseeable future.