PERTH (miningweekly.com) – ASX-listed coal developer Aspire Mining has signed a nonbinding memorandum of understanding (MoU) with the owner of the Zavkhan power station, in Mongolia, to provide oxidised coal from the Ovoot coking coal project.
The MoU covered a possible commitment by New Asia Group to purchase up to 250 000 t/y of oxidised coal, as well as to cooperate with Aspire in developing the necessary transmission infrastructure connecting the Ovoot project directly with the Zavkhan power station.
The MoU also covered the supply of 35 MW of power a year to the Ovoot project.
In April, Aspire signed a similar MoU with Sainshand Industrial Complex, which was developing the largest industrial park in Mongolia.
The $144-million Ovoot project would have an initial production of five-million tonnes a year, with first production targeted for 2017, to coincide with the commissioning of the railway.