The Ministry of Industry plans to build a copper smelter in Khentii Province in the Bor-Undur Soum (district). The decision was based on the several factors, namely:
there is a well-developed infrastructure
it is located between two large copper deposits
it is possible to solve the management of sulphuric acid processing in an environmentally friendly manner.
it is located in an area with a high geological concentration of fluorspar and and between fluorspar enrichment plants.
Bor-Undur has a railway, therefore there is access to the Russian and Chinese markets.
Bor-Undur sum is only 50 km distant from the highway from Ulaanbaatar to Zamiin-Uud on the Chinese border.
The annual capacity of the plant will be 530,000 tons of enriched copper.