Hunnu Coal has acquired a 60% interest in the Buyan coal project, in the giant Tavan Tolgoi coking coal field in the Umnugobi Province of Mongolia.
Key points of the acquisition include the following:
- There are operating mines within 10 km of the project that are currently exporting coking coal to China.
- Granted Exploration License 76Ha in the area.
- There is an existing haulage road and a proposed rail line to China adjacent to the project.
- The company is currently planning an aggressive exploration programme.
The Tavan Tolgoi coking coal field is estimated to contain over 6 billion t of coking and thermal coal in the South Gobi region of Mongolia. Energy Resources LLC mines approximately 2 million t of raw coking coal from its UHG mine which is located 5 km to the south of Hunnu’s Buyan coal project.
Energy Resources has stated that it plans to increase the production its UHG mine to 5 million t in 2010, while building a 5 million t coal washing plant and power plant on its minesite. Tavan Tolgoi Stock Holding Co., listed on Mongolian Stock Exchange, also mines raw coking coal and exports to China. The Mongolian state-owned Erdenes MGL LLC owns the surrounding five mining licenses with identified resources of about 6 billion t of coking and thermal coal.
Read the article online at: https://www.worldcoal.com/coal/09062010/hunnu_coal_acquires_interest_in_buyan_coal_project/