Shenhua to buy 1 billion tons of TT coal, build railway

27th of 11, 2013

Ya. Batsuuri, CEO of state-owned Erdenes Tavan Tolgoi, has said three mining companies have agreed to export 1 billion tons of coal to China’s Shenhua Group Corp.  in the next 20 years. The total value of the exports at current prices would be about $50 billion. The memorandum of understanding signed between Erdenes Tavan Tolgoi, Mongolian Mining Corporation, and Tavan Tolgoi JSC and Shenhua would ensure a long-term buyer for the companies operating in the Tavan Tolgoi basin, which contains 6.4 billion tons of coal reserves. Any of the exported coal, if it is not wanted by Shenhua -- itself China’s biggest coal producer -- can be sold on the international market.

In a separate MoU with the three companies and the state-owned railway company, Shenhua agreed to build a freight line to carry the coal to the Chinese border.

MONGOLIAN MINING CORP (975:Stock Exchange of Hong Kong Limited): Stock Quote & Company Profile - Businessweek

Mongolian Mining Corporation announced unaudited consolidated financial results for the six months ended June 30, 2014. For the period, the company reported revenue of $192.638 million against $247.849 million a year ago. Profit from operations was $16.210 million against $15.465 million a year ago. Loss before taxation was $29.579 million against $23.446 million a year ago. Loss attributable to the equity shareholders of the company for the period was $28.005 million or 0.76 cents per diluted share against $25.229 million or 0.68 cents per diluted share a year ago. Net cash used in operating activities was $29.125 million against net cash generated from operating activities of $31.619 million a year ago.