Улаанбаатар
Mongolia Transports Coal to China by Rail and Road until Cross-Border Railway Completion
Economy
Ulaanbaatar, July 7, 2025 /MONTSAME/. Under the Agreement between the Government of Mongolia and the Government of the People's Republic of China on Cooperation in the Gashuunsukhait-Gantsmod Cross-Border Railway, Coal Trade, and Expanding the Capacity of the Tavan Tolgoi Coal Mine, Mongolian Railway State-Owned Joint Stock Company signed a Long-Term Coal Transport Agreement with China Coking Coal Energy (Tianjin) Company, a subsidiary of China Energy Investment Corporation on May 14, 2025, and coal transport officially launched this June.
A delegation led by Minister of
Road and Transport Delgersaikhan Borkhuu visited the headquarters of China
Energy Group on July 3, 2025, and met with its senior officials to discuss the
implementation of the Long-Term Coal Transport Agreement and exchange views on
ensuring timely and planned coal transport.
At the meeting, the Chinese side noted that they have so far
received 30,000 tons of coal at Tavantolgoi station. “As work has just begun,
there are issues requiring prompt solutions from both sides, including a one to
two-day delay in coal transport and restricted vehicle access to the mine,
which causes interruptions. This may result in delays in meeting transport
schedules.”
Under the Long-Term Coal Transport
Agreement, Mongolia is expected to transport 247 million tons of coal over 16
years, contributing significantly to the national economy with projected
revenue of USD 3.7 billion in current value.
The Ministry of Road and Transport has launched construction of
the Gashuunsukhait-Gantsmod cross-border railway to complete it within 700 days.
During the construction period, the coal will be transported using a
combination of rail and road.
In compliance with the Long-Term Coal
Transport Agreement, Mongolian Railway, the transport operator, should
transport five million tons of coal this year, requiring an average of over
800,000 tons per month. To fulfill this, nine trains with 58 wagons and 260 tracks
are transporting the coal.
Additionally, China Energy International plans to send 30 percent of the workforce this year and establish a company in Mongolia within this month.
