One of the oldest open-cut mine in Mongolia, Sharyn Gol mine signs
a contract to receive a debt financing package of 10 million USD from the EBRD
to support its appropriate project to develop an environment friendly mine and
to produce clean fuel briquettes for Mongolians.
The debt financing package, a contract signed between parties of EBRD and
Sharyn Gol JSC (MSE:SHG), is to be spent for the acquisition and installation
of a de-stoning plant and the upgrade and expansion of a coal enrichment and
briquetting plant. These plants will supply washed coal and smokeless coal
briquettes.
The washed coal and coal briquettes from these facilities will go to industrial
consumers for use in processes such as smelting and cement production, and to
households for domestic heating. The expanded facilities following completion
of the first phase of the project are expected to produce over 75 thousand tons
of semi-coke and briquetting products per annum.
Eric Rasmussen, EBRD Director, Natural Resources said: “We are delighted at the
opportunity to be working with Sharyn Gol on this Project to improve air
quality in Ulaanbaatar. We also value the Company’s commitment to make a very
positive impact to the social and economic developments in the local region. We
look forward to supporting the company’s strategic move into value-added clean
coal products”.
Sharyn Gol JSC Director James Passin said: "We are honoured to receive a
debt financing package from the EBRD, following deep operational, financial,
legal, geological, environmental, and social due diligence by the Bank and its
consultants. The long-term debt financing will enable Sharyn Gol JSC to
accelerate its plans to turn its subsidiary Naco Fuel JSC into a producer of
smokeless fuel for the Mongolian market. We anticipate that our products will
make a material improvement in Ulaanbaatar's air quality by the winter of
2015."
With a financing debt package from EBRD, Sharyn Gol Mine is a step closer to
become a social and environment friendly mine.
For further information, please contact below address:
Mrs. Otgonzul Baatar
E-mail address: otgonzul@sharyngol.com