International
Mongolia Tawang Tolgoi Coal-Gashusu Haitu Port Railway Opens
Seetao 2022-09-15 09:25
  • The three railways are expected to be completed by the end of 2022 and will have a huge impact on the commodity market
  • Allows China and Russia to look inland for trade opportunities, especially for commodities such as coal and metals, increase energy security for both countries and reduce exposure to sanctions pressure
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Mongolian President Khuri Sukh attended the opening ceremony of the railway from Tawang Tolgoi Coal Mine to Gashusu Haitu Port, announcing the official opening of Mongolia's self-built heavy-haul railway and first-class railway. This is a road of development, investment and opportunity for Mongolia, Khurilsukh commented in his speech. Under the severe international geopolitical and epidemic situation in recent years, he would like to express sincere thanks and warm congratulations on behalf of the Mongolian people for the railway's scheduled opening.

Tawang Tolgoi Coal Mine is located in the southern part of Mongolia, about 180 kilometers away from the Sino-Mongolian border and about 245 kilometers away from Ganqimaodu Port. The proven reserves are about 1.5 billion tons, and the estimated reserves are over 6.4 billion tons, making it the largest in Mongolia. The coal mine is also one of the largest opencast coking coal mines in the world that has not yet been fully developed, and the quality is very good.


The railway links the Tawang Tolgoi Coal Mine and the Gashusu Haitu Port on the Mongolian side of the China-Mongolia border, with a total length of 233.6 kilometers. The export capacity of the Tawang Tolgoi coal mine is expected to be greatly increased, transportation costs will be reduced to a quarter, and about 2,000 jobs are expected to be created. The opening of the railway will help Mongolia's ability to export minerals to China and to third countries through Chinese ports, and will lay the foundation for the opening of the second railway channel between China and Mongolia in the future.

On September 9, 2022, at the meeting of Mongolian President Khürelsukh, Chief of Staff of the President Soderbater, Minister of Transportation Development Bimba Choget, Minister of Mines and Heavy Industry Gangbaatel, Minister of Economic Development Khurilebater and Witnessed by several members of parliament and nearly 1,000 people from construction companies, the first coal freight train from Tawang Tolgoi Coal Mine was launched to the Gashusu Haitu Port.

Today, you and I jointly witnessed the historic event of the opening of the railway from Tawang Tolgoi Coal Mine to Gashusu Haitu Port. I am very happy. Become a catalyst for the future development of Mongolia. Under the severe international geopolitical and epidemic situation in recent years, he would like to express, on behalf of the Mongolian people, "heartfelt thanks and warm congratulations for the railway's scheduled opening. This is a road of development, investment, and development for Mongolia. The road of opportunity is also the door to the future.

The Tawang Tolgoi Coal Mine-Gashusu Haitu Port Railway is a heavy-haul railway and a first-class railway independently constructed by Mongolia. The main line of the railway is 233.6 kilometers long, with 2 stations, 6 crossings and 16 bridges. After the railway is opened to traffic, Mongolia's annual export capacity of coking coal and thermal coal will increase from 10 million tons to 30 million to 50 million tons, and the coal export revenue will double. At the same time, the transportation cost of export goods from the Tawang Tolgoi coal mine to the Gashusu Haitu port will be reduced to a quarter, from $47 to $12. The railroad will also create new jobs and development opportunities, with an initial forecast of creating about 2,000 permanent jobs and generating $44 million a year in tax revenue for the government. In addition, with the opening of the railway, ecological damage such as grassland degradation, dust, noise, soil and air pollution is expected to be reduced by 74%.

The National Development and Reform Commission, the Ministry of Finance and the Ministry of Transport Development of Mongolia implemented the consensus reached by the leaders of the two countries and the requirements of the joint statement of the two governments on accelerating the construction of railway ports that have been agreed upon. The memorandum of understanding on the cross-border railway integration plan of Du-Gashusu Haitu Port. The signing of the memorandum is conducive to accelerating the integration of the southern Mongolian railway and the Chinese railway, and has a positive effect on improving the level of infrastructure connectivity between China and Mongolia and deepening practical cooperation in industry and investment.

In fact, Mongolia has been preparing for the construction and opening of the railway from the Tawang Tolgoi coal mine to the Gashusu Haitu port for a long time. Due to its inland location, Mongolia's economic development naturally requires strategic connections and trade ports with its neighbors. Up to now, Mongolia and China have a total of 13 trade ports, mainly exporting coal, iron ore and copper concentrate. For decades, Mongolia's exports have relied on the railway system and highways of the former Soviet Union, and most of its trade is transported by truck. Now, Mongolia's export capacity is underdeveloped due to infrastructure constraints.

In August 2018, the Mongolian government issued Resolution No. 242 on strengthening the railway project from Tawang Tolgoi Coal Mine to Gashusu Haitu Port. At the same time, Tawang Tolgoi Railway Co., Ltd. was established and the project implementer was determined. According to the resolution, the relevant companies and contractors need to complete the construction and operation of the railway within four years. Keywords: engineering news, overseas news

During Mongolian Prime Minister Oyun Erden's visit to China in February 2022, the two governments finalized Mongolia-China border crossings for three major railway projects, all of which connect China and Mongolia's mineral-rich South Gobi. In addition to the Tawang Tolgoi Coal Mine to Gashusu Haitu Port Railway, the other two railways are: Tawang Tolgoi to Zongbayan Railway with a total length of 416.1 kilometers, which is expected to be completed before October, which can increase 15 million tons The transportation capacity of goods; the Zongbayan-Hangji railway has a total length of 226 kilometers and will reach the Hangji port on the Mongolian side of the Sino-Mongolian border. The project has broken ground in March, with a target export volume of 20 million tons.Editor/XingWentao

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