Aspire Mining Ltd has advised that it has received an independent Chinese Coal Market Report, commissioned by the company from a leading coal consultancy firm in China, confirming the marketability of a blended metallurgical coal product at its Ovoot project in Mongolia.
The so-called “Mongolian Blend” of product is a blend of between 25 – 50% Aspire’s Ovoot Project indicative metallurgical coal an other Mongolian selected thermal and non-metallurgical coals. The report was commissioned to assess the marketability and indicative pricing of the Mongolian Blend in order to complete a scoping study to support the development of a regional coal blending facility at the Sainshand Industrial Park, which is located along the Trans-Mongolian Railway in southern Mongolia.
The report confirmed that the Mongolian Blend would be classified as a “JM” primary metallurgical coal, according to Chinese coal classifications. The Mongolian Blend is considered “similar or even better than those primary coking coals imported into the China market from countries like Australia, the US and Canada”, due to its medium ash, low sulfur and high G value.
Aspire’s Managing Director, David Paull, said “The China coal market report received confirms the importance of coking coals at the premium end of the scale for use in China. Demand continues to grow and we are well positioned in our development timeframe for our Ovoot Coking Coal Project to deliver a premium coking coal product into the Chinese market”.
“The marketability of the Mongolian Blend is particularly exciting as it confirms the value in establishing a blending operation at the Sainshand Industrial Park to add value to a range of thermal and low caking coals produced in Mongolia at present but with limited economic market outlets,” Paull added.
“Both our Ovoot Project and the potential Blending Facility will benefit from Mongolia’s improving infrastructure landscape with planned railway to be built in the north to service the Ovoot Project, along with the upgrades to the Trans-Mongolian railway and rail border crossings with China,” Paull said.
Written by Sam Dodson
Read the article online at: https://www.worldcoal.com/coal/07012015/aspire-mining-will-market-a-blended-coal-product-1721/