Oyu Tolgoi signs a major contract for underground development with Dayan Contract Mining

Economy | Mining
2016-10-17 18:48:00

Ulaanbaatar /MONTSAME/ Oyu Tolgoi today announced the signing of an underground mining and support services contract with Dayan Contract Mining, a joint venture between Hasu Megawatt and Redpath, reported ot.mn on October 14.

Oyu Tolgoi Chief Development Officer, Underground, Marco Pires, said, “This contract is another major milestone as we progress with the underground development and demonstrates our commitment to further strengthening national supply chain and skilled workforce. Dayan brings together the strength of a Mongolian company with international expertise in underground development, and will bring long term benefits by creating world class expertise and capability in Mongolia.”

The Underground Mining and Support Services contract entails the sinking of Shaft 2 and Shaft 5 at Oyu Tolgoi. The two separate vertical shafts will reach a total depth of 1,284m and 1,178m respectively. Shaft 2 with 10m diameter is among the largest of its kind in the world. Shaft 5 is for ventilation purpose and has 6.7m diameter.

The contract also includes Underground Development Services, which will cover lateral development, large excavations and mine services of the underground mine; and Mining Support Services, which will cover development and provision of a skilled Mongolian workforce for the underground project.

Dayan Contract Mining Executive Director Bruce Dunlop said “We’re pleased to be contributing to Oyu Tolgoi Underground Project, one of the most significant projects in the mining industry today. We look forward to a long partnership with Oyu Tolgoi, building a world class mine and developing a world class national underground workforce.“