Ulaanbaatar
Paved road between Tavantolgoi and Gashuun sukhait to be built within 2.5 years
Society
Ulaanbaatar /MONTSAME/ At its regular meeting today, the Cabinet agreed to establish concession agreement with ‘Development Road in the Steppe’ (Tal Nutgiin Hogjliin Zam) Company on construction of 250 km of high capacity paved road in route Tavantolgoi-Gashuun sukhait border checkpoint under design-build-operate-transfer condition.
The Company will develop the
road within 2.5 years since the agreement takes effect and the road will be
operated for 12 years and then will transfer to the government ownership. The
Government will not give any financial support and guarantee to the company. By
having the paved road, it is expected to drastically reduce negative influence
to the environment by improving road flow that transports 50-60 percent of coal
export.
Moreover, the Cabinet decided to have a concession agreement with Undrakh Gobi Company on building of 270 km of road from the end of 32 km of road between Tavantolgoi and Baruunnaran in Khankhongor soum of Umnugobi aimag to Tsagaan del mountain border point under design-build-operate-transfer condition. It will be financed by the company itself.
Concurrently, the Cabinet discussed
process of paved road in route Tavantolgoi-Khanbogd-Khangi. According to
the parliamentary resolution No 73, 2018, Head of the National Development
Agency B.Bayarsaikhan was tasked to hold talks with Nako company on concession
agreement, changing its route into Tavantolgoi-Oyutolgoi-Khangi and to
introduce recommendations and conclusion.
