SouthGobi Energy coal producer operating in a sandy area of southern Mongolia, plans to increase coal production reached 8 million metric tons in 2012. Coal production comes from coal mines in the Gobi desert. Increased coal production in order to anticipate the demand for coal from China. Investment needed to increase the production capacity of coal worth $ 800 million. This investment will gradually until three years into the future.
SouthGobi is currently developing a coal mine at Ovoot Tolgoi. This coal mine has been producing coal for power supply makers to producers. SouthGobi require $ 500 million for the construction of railway facilities used to deliver coal to the Chinese border.
This year the coal mine have been producing Ovoot Tolgoi coal 1.2 million. The results of coal mines in China sent to the province of Inner Mongolia. It is estimated that coal reserves in Ovoot Tolgoi mine site 114.1 million tons.
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