Coal railway construction on China-Mongolia border in full swing

sxcoal.com Inland Shipment 2021-01-25 11:57:50

Coal transport from Mongolia to China is expected to further increase in a couple of years as the two governments are accelerating railway construction on the border.


Railway connecting Mongolia's largest coal mine of Tavan Tolgoi and land port of Gashuunsukhait is slated to come online in the third quarter of 2022, the Mongolia government said on November 18 last year in a cabinet conference.



Construction of the railway, which started in 2013, resumed from August 2019 after being suspended several times due to a lack of construction funds. The railway is expected to transport more than 30 million tonnes of coal per year once commissioned.


Construction of another two ways is in the pipeline.


A railway within Mongolia stretching from Tavan Tolgoi to Zuunbayan is scheduled to come online in the third quarter of 2021. The 414.6-km railway will enable putting 37 mineral deposits in the regions along the railway into economic circulation, such as Tsagaan Suvarga copper mine, Kharmagtai copper-gold mine and Manlai coal mine. The Ministry of Road and Transport Development previously reported that the total reserves of mineral deposits in the region mentioned amounts to 6.02 billion tonnes.


Another line from Zuunbayan to border port Khangi will start design this year and is due to commission in 2024.


In mid-September, Mongolia and China reached an agreement to open up railway delivery at Gashunnsukhait/Ganqimaodu, Shiveekhuren/Ceke and another land port, besides the existing Zamyn-uud/Erlianhot, the largest land port along the border.


Mongolia exported 28.59 million tonnes of coal in 2020, falling 21.61% year on year, in which 27.21 million tonnes were shipped to China, down 23.99% on the year, showed latest data from Mongolian Customs General Administration (MCGA) on January 14.


Coking coal takes the bulk of its exports to China. With railways to come online through the border, China will likely more drive apart from Australia, the largest seaborne coking coal export in the world, which worried dry bulk owners and miners that Australia might permanently loss part of its shares in China even after a thaw in the current political spat. In December, China's imports of thermal coal and coking coal declined to zero.


(Writing by Alex Guo  Editing by Emma Yang)
For any questions, please contact us by inquiry@fwenergy.com or +86-351-7219322.

Share this article
Connect with us

Editor's Pick

1 Germany's hard coal imports fall 25.8% on yr 2024-03-29

Germany imported 2.40 million tonnes of hard coal in January 2024, falling 25.80% from the year-ago level, according to preliminary data from German Statistics Bureau.The imports, however, were 8.33%

2 Vietnam Feb coal output hit 5-yr low 2024-03-29

Vietnam's coal production in February fell substantially to a new low since March 2019, latest customs data showed.The country produced 3.03 million tonnes of coal in February, slumping 21.23% from 3.

3 China futures market updates at close (Mar 29) 2024-03-29

Check out latest updates on the Chinese futures market for coking coal, coke, iron ore and others at close.

4 CISA proposes steel mills to reduce production amid supply-demand imbalance 2024-03-29

China Iron and Steel Association (CISA) called for production controls at steel mills in response to a lacklustre steel market characterized by high output, cost and stocks yet low demand, prices and

5 China's major coal power producer returns to profit, yet challenges persist 2024-03-29

Huaneng Power International, Inc., one of leading listed coal-fired power producers in China, recorded a profit last year after losing money for two years.In 2023, the company recorded operating reven

6 U.S. coal output estimated to fall to 9-wk low in wk ending Mar 23 2024-03-29

U.S. coal output over the week ending March 23 was estimated to drop 4.04% week on week, the lowest since late January, according to data from the Energy Information Administration (EIA) on March 28.T

7 China's coal and electricity industries see profit diverge 2024-03-29

China's coal mining and downstream power generation industries witnessed clear divergence in profit growths over January-February, while both slowed down, showed the latest data released by the Nation

8 Henan pledges to prevent gas disasters in coal mines 2024-03-29

Central China's Henan province is severely affected by gas disasters in coal mines, mainly due to a considerable share of high-gas and coal-and-gas outburst mines, according to a meeting held by the p

9 China met coal market in figures (Mar 29) 2024-03-29

China coking coal, met coke and steel market key figures in focus.

10 China Longyuan Power 2023 net profit up 23.9% YoY 2024-03-29

China Longyuan Power Group Co., Ltd., one state-owned wind power generator under China Energy Investment Corporation, reported a 23.9% year-on-year increase in its net profit attributable to equity ho

Most Read Articles

1 China futures market updates at close (Mar 26) 2024-03-26

Check out latest updates on the Chinese futures market for coking coal, coke, iron ore and others at close.

2 Shanxi faces economic pressure as coal production and sales slump 2024-03-26

Northern China's Shanxi province is grappling with economic challenges in the first quarter of this year, as its pivotal coal industry experiences a notable decline in production and sales.At a govern

3 Mongolian coking coal prices in mixed trends; China's market improves 2024-03-26

Mongolian coking coal prices posted mixed trends at the border crossing Ganqimaodu on the China's side, a price pattern different from previously continuous downturn, as demand from Chinese buyers par

4 Inner Mongolia sets slightly higher coal output target in 2024 2024-03-28

Northern China's Inner Mongolia aims to produce 1.22 billion tonnes or so of coal this year, said Inner Mongolia's energy bureau.To achieve this target, the region plans to keep the total production c

5 Japan Feb crude steel output down 3.8% MoM 2024-03-27

Japan produced 6.99 million tonnes of crude steel in February, falling 3.8% month on month (MoM) yet up 1.1% year on year (YoY), according to data released by the Japan Iron and Steel Federation.The o

6 China met coal market in figures (Mar 28) 2024-03-28

China coking coal, met coke and steel market key figures in focus.

7 China Coal Daily Track (Mar 26) 2024-03-26

Thermal coalProduction area Mine-mouth thermal coal prices were mixed. More coal trucks were arriving at mines with premium grades, pushing up prices by 5-10 yuan/t. But these mines saw no queues of t

8 China's coal mining and washing industry profits down 36.8% YoY in Jan-Feb 2024-03-28

Profits in China's coal mining and washing industry totaled 95.48 billion yuan ($13.2 billion) in January-February, down 36.8% from a year earlier, according to data from the National Bureau of Statis

9 Newcastle coal prices rebound on Vietnam's buying spree, Baltimore bridge collapse 2024-03-27

Newcastle thermal coal futures continued to strengthen in the first two trading days of this week, driven by strong purchases from Vietnam, and the bridge collapse in Baltimore that added to supply co

10 China thermal coal market in figures (Mar 27) 2024-03-27

China thermal coal market key figures in focus. The latest data for thermal coal prices, stocks, shipments in major production areas, transfer ports and most followed downstream sector data.