Ulaanbaatar
Coal miners urge government to hurry up railroad construction
Economy | Mining
The conference’s attendees are focusing discussion on coal transportation problems and its solution as Mongolia loses many opportunities due to lack of good infrastructure.
Constructions of railroads in a route from Tavantolgoi to Gashuunsuhait needs to be hurried up in order to augment the export size in times of the coal price soar in the world market, miners stressed.
Edwin Yeo, Senior Managing Editor of Steel Raw Materials, S&P Global Platts made presentation on a role of Mongolia in the changing coal market. In his presentation, Mr Edwin said, “Coal price is quite volatile. For instance, the coking coal price has exceeded three times over USD 300 per ton in the past decade,”
“The coal market is highly dependent on the supplying issue. The world's major coal buyer is China, while this country's major coal supplier is Australia. So, the coal trade between these countries is very influential as they have become definers of the coal in the world’s coal market. Since July 2017, the coal price has grown up by 30 to 40 per cent, which was resulted by a decline in the coal supply from Australia. Meanwhile, Mongolia is exporting coal mainly to China. Therefore Mongolia now should not lose this period of coal price rise. Over the last two years by statistics, the coal supply of Australia minimized, whereas the Mongolian coal supply gone up,” Mr Edwin said.
B.Ooluun
