SouthGobi Resources Ltd.(TSX:SGQ) announced that it has commenced construction of a new paved coal highway from its Ovoot Tolgoi complex to the Mongolia-China border. Construction started on June 16, 2012.
As quoted in the press release:
On August 2, 2011, the State Property Committee of Mongolia 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 Resources (together referred to as “RDCC”).
SouthGobi, President and CEO, Alexander Molyneux, stated:
The new paved coal highway will significantly increase the safety of coal transportation to the border, reduce dust, and improve efficiency and capacity of coal transportation.