Sep 29 2014
SouthGobi Resources Ltd. announced today that construction of a paved highway from the Ovoot Tolgoi Complex to the Shivee Khuren Border Crossing has been completed. Traffic opening ceremony of the highway was held on September 27, 2014.
"With the completion of the paved highway, I am pleased to announce that we have achieved one of our key objectives for 2014. The highway will significantly increase the safety of coal transportation, reduce environmental impacts, and improve efficiency and capacity of coal transportation" said Ross Tromans, President and CEO.
On August 2, 2011, the State Property Committee of Mongolia ("SPC") awarded the tender to construct a paved highway from the Ovoot Tolgoi Complex to the Shivee Khuren Border Crossing to consortium partners NTB LLC and SouthGobi Sands LLC, a wholly-owned subsidiary of SouthGobi (together referred to as "RDCC LLC"). SouthGobi Sands LLC holds a 40% interest in RDCC LLC. On October 26, 2011, RDCC has concluded a 15 year build, operate and transfer agreement with the SPC and commenced the construction of the highway on June 16, 2012.
The paved highway has a carrying capacity in excess of 20 million tonnes of coal per year.
Source: http://www.southgobi.com/