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| Tavan Tolgoi | |
|---|---|
| Name | Tavan Tolgoi |
| State province | Dornogovi Province |
| Country | Mongolia |
| Products | Coal |
| Opening year | 1940s |
Tavan Tolgoi Tavan Tolgoi is a major coal deposit and mining complex in southeastern Mongolia near the Gobi Desert and the provincial center of Dalanzadgad. The field has attracted attention from international companies such as Glencore, Rio Tinto, China National Coal Group, Peabody Energy and state actors including the Government of Mongolia, Ministry of Mining and Heavy Industry and the Mongolian Parliament. The deposit figures prominently in relations among China, Russia, Japan, South Korea, and multinational investors like BHP and sovereign funds such as the Mongolian Wealth Fund.
Tavan Tolgoi sits within the South Gobi Region close to Ömnögovi administrative boundaries and the Gashuun Sukhait border crossing with China. The project is often discussed alongside other Mongolian resources like Oyu Tolgoi and Erdenet Mining Corporation, and is served by transport proposals such as the Trans-Mongolian Railway and road corridors linking to Erenhot and the Shanghai Cooperation Organisation initiatives. Stakeholders include private groups like MCS Group and state enterprises like Erdenes Tavan Tolgoi as well as foreign investors from China Shenhua Energy Company and Korean Electric Power Corporation.
The deposit lies in Permian and Mesozoic sequences within the Gobi Desert basin, with seams comparable to deposits in the Ordos Basin and Apatin Basin assessments. Geological surveys by institutions such as United States Geological Survey, Geological Survey of Mongolia and consultants from SRK Consulting and Wood Mackenzie estimate billions of tonnes of both coking and thermal coal resources. Stratigraphy and seam thicknesses have been analyzed using methods championed by groups like Society for Mining, Metallurgy & Exploration and International Union of Geological Sciences, with reserves categorized per standards from the Committee for Mineral Reserves International Reporting Standards and the Joint Ore Reserves Committee.
Operations combine open-pit techniques used by firms like Rio Tinto and industrial practices drawn from projects such as Grasberg Mine and Hunter Valley operations, with heavy equipment supplied by manufacturers like Caterpillar, Komatsu, and Hitachi. Infrastructure includes proposed rail projects coordinated with the Ministry of Road and Transport Development (Mongolia) and border logistics via Gashuun Sukhait and Handan-linked corridors, and export terminals planned near Chinese ports including Tianjin and Lianyungang. Power and water needs have prompted partnerships with utilities such as Mongolian Power Plant (Darkhan) and discussions with the Asian Development Bank, World Bank, and European Bank for Reconstruction and Development.
Control and commercialization have involved entities including Erdenes Tavan Tolgoi, Mongolyn Alt Corporation (MAK) affiliates, Turquoise Hill Resources, and state negotiation teams led by the Prime Minister of Mongolia and the President of Mongolia. Disputes have drawn in arbitration bodies like the London Court of International Arbitration and precedents from cases involving Glencore and Vale. Investment frameworks cite model agreements from the International Finance Corporation and treaties such as the Bilateral Investment Treaty arrangements between Mongolia and China or South Korea, while parliamentary debates referenced by the State Great Khural have shaped revenue-sharing models and equity allocations.
The mine influences national indicators tracked by the Bank of Mongolia and macroeconomic forecasts from the International Monetary Fund and Asian Development Bank. Revenues feed into sovereign mechanisms like the Human Development Fund and the Mongolian Wealth Fund and affect sectors including construction and transportation led by contractors such as Monnis Group and Erdenes. Employment patterns mirror large-scale projects like Oyu Tolgoi with labor supplied by agencies comparable to EPI and contractor workforces trained through programs by United Nations Development Programme initiatives and vocational institutes like the Mongolian University of Science and Technology.
Environmental assessments reference standards from International Finance Corporation Performance Standards and critiques by groups such as Greenpeace and local NGOs including Legal Affairs coalitions and herder associations near Gobi Gurvansaikhan National Park. Concerns include dust, water table impacts, and pasture loss paralleling disputes documented at Sukinda Valley and Hunter Valley, prompting mitigation measures discussed with agencies like the Ministry of Environment and Tourism (Mongolia) and consultancies including ERM and AECOM.
Future plans contemplate expanded production, beneficiation and metallurgical coal processing with partners like China Coal Group and investors from Japan Bank for International Cooperation and Korea Eximbank, and export scaling via rail links akin to the Trans-Siberian Railway and pipeline-style logistics modeled after Caspian Pipeline Consortium agreements. Strategic decisions will be influenced by global demand from markets such as China, India, Japan and regulatory shifts discussed at forums like the COP conferences and investment guidance from the International Energy Agency.
Category:Coal mines in Mongolia Category:Mining companies of Mongolia