SouthGobi signs coal washing agreement

摘要

SOUTHGOBI Resources has entered into an agreement with Ejin Jinda, a subsidiary of China Mongolia Coal (CMC), to toll wash coal from the Ovoot Tolgoi Mine. Ejin Jinda's wet washing facility is about 10km inside China from the Mongolia-China border crossing at Shivee Khuren-Ceke and about 50km from Ovoot Tolgoi. The agreement is for five years from commencement, which' is expected in early 2012, and provides for an annual wet washing capacity of about 3.5 million tonnes of input raw coal. Raw higher-ash and medium-ash coals from Ovoot Tolgoi will be washed at this facility with the washed product to generally meet semi-soft coking coal specifications.