SouthGobi Resources said the Mongolian government suspended exploration and mining licences for its Ovoot Tolgoi coal mine following a stake buyout bid by Chinese aluminum giant Chalco.
The Canadian coal miner said it has not received any official notification. However, if it receives one, it may need to suspend operations until an injunction is granted, the company said.
Earlier this month, Aluminium Corp of China, known as Chalco, said it would buy Ivanhoe Mines' SouthGobi stake.
SouthGobi, which sells metallurgical and thermal coal mainly to customers in China, said the suspension by the Mineral Resources Authority of Mongolia is with regard to the proposed stake buyout.
The suspension would be initiated to allow the government to review the proposed change of ownership, the company said in a statement.
SouthGobi has requested Ivanhoe and Chalco to discuss the proposed deal with the Mongolian government. It has also informed Rio Tinto, which has a 51% stake in Ivanhoe.
SouthGobi -- which owns four coal projects in Mongolia, three development projects and a mineral exploration license -- said it has no reason to believe its licences are not in good standing.