Skip to main content

Northern Railways receives Construction License

Published by
World Coal,

Aspire Mining subsidiary Northern Railways has received its Construction License for the Erdenet-to-Ovoot Railway from the Mongolian government. The license is a key part of the development of the rail line. It allows negotiations to start for the grant of a long-term lease for the land on which the line will be built, as well as enabling Northern Railways to enter into land use agreements with local communities along the line’s route.

It also allows for the establishment of a commission comprising Northern Railways, the Ministry of Roads and Transport and Mongolia’s national railway operator, UBTZ, to agree traffic management protocols and the point at which the Erdenet-to-Ovoot line will connect to the existing network.

“The continued support of the Mongolian government to progress the development of the Erdenet-Ovoot railway is appreciated,” said David Paull, Aspire’s Managing Director. “Over the last three months since the Concession was signed, substantial progress has been made in terms of completing conditions needed to be met under the Concession Agreement. We have also hosted a country visit to Mongolia by senior executives from a large Chinese banking institution.”

The rail project spans 574 km and forms part of Mongolia’s Rail Policy to provide rail access to its northern provinces through the extension of the existing rail network from Erdenet to the Russian-Mongolian border at Arts Suuri. At full operation, the rail project will have capacity to move 30 million tpa of bulk commodities, agricultural, general and passenger freight, including transit freight between Russia and China.

The proposed railway will link Aspire Mining’s Ovoot metallurgical coal project in northeastern Mongolia to its export markets. According to the company’s website, the Ovoot project has a total JORC resource of 281 million t of which 197 million t is measured, 72.3 million t if indicated and 11.8 million t is inferred, as well as JORC reserves of 255 million t.

Edited by .

Read the article online at:

You might also like


Embed article link: (copy the HTML code below):