Prophecy Coal Corporation said on Monday that it has received permission from the Mongolian government to build a 600 megawatt coal-fired power plant in Chandgana.

Coal for the plant will come from Prophecy’s Chandgana Tal deposit, which contains 141 million tons of coal and is located just nine km north of the company’s Chandgana Khavtgai project, a deposit with over one billion tons of coal.

The license for the power plant was received by Prophecy”s Mongolian subsidiary, East Energy Development. It is the first such license of its kind issued by the Mongolian government in terms of size.

Chandgana is 60 km from Underkhann city and 150 km from Baganuur city. Construction of transmission lines linking the two cities through Chandgana is considered a top priority for improving Mongolia’s national electric grid.

“Prophecy has distinguished itself as the premier candidate to build the next Mongolian thermal power plant,” said Prophecy Chairman and CEO John Lee. “There is an understanding among all stakeholders that Mongolia, being one of the world’s fastest growing economies, needs additional power.”