The Cabinet has approved a feasibility study for the new railroad projects outlined in the first and second stages of the State Railroad Policy. The study will be performed by McKinsey and Company. The Cabinet also approved USD 55 million to get the projects started.

The new lines to be built are: Tavantolgoi-Sainshand (468km); Sainshand-Khuut (450km); Khuut-Choibalsan (155km); Khuut-Numrug (Tavantolgoi-Russian border) (380km); Tavantolgoi-Gashuunsukhait (267km); and Nariinsukhait-Shivee Khuren (46 km). It is estimated that each kilometer of new line will cost between USD 2.5 million and USD 2.8 million to build, but the new lines would dramatically increase Mongolia’s export capacity.