Ya.Batsuuri asks for expansion of Shivee-Ovoo operations - News.MN

Ya.Batsuuri asks for expansion of Shivee-Ovoo operations

Old News! Published on: 2011.04.29

Ya.Batsuuri asks for expansion of Shivee-Ovoo operations

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Б.Амарбаясгалан
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The Chief of the Standing Committee on Security and Foreign Policy, Ya.Batsuuri, has sent a letter to the Minister for Mineral Resources and Energy, D.Zorigt, on the State-owned Shivee-Ovoo coal mine. The mine has a license over 91 hectares or just 0.3% of a coal deposit spread over 29,500 hectares. State-owned Erdenes MGL owns 4,199 hectares or 14.2%, and a private company Shine Shivee 22,300 hectares or 75.6%.  
Shivee-Ovoo has leased another 200 hectares from Erdenes MGL on payment. Exploration of the deposit had been done with state funds and mining was begun with USD67 million from foreign sources.

Batsuuri thinks division of a strategic deposit hampers efficient exploitation and also says several such areas under special license elsewhere have not been registered as strategic mines. He wants the law on mineral resources to be amended to stop this practice.
Batsuuri wants Shivee-Ovoo to be awarded the special license over the entire deposit, so that it can both improve efficiency and increase output. That would help repay the foreign loans. Also, a power plant using the coal will be able to meet domestic energy demand.  

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