O.BATBOLD

VISITING MAADEN’S MANSOURAH MASSARAH GOLD MINE

Riyadh – Taif – Mansourah Massarah. 10-11 January 2026

At 07:30 in the morning, two helicopters lifted off from Taif Airport, heading northeast toward the central regions of Saudi Arabia. Within minutes, the city disappeared beneath us. In its place emerged an immense and ancient geological landscape stretching across the western part of the Arabian Peninsula. From the air, the terrain told a deeper story, one of mineral wealth shaped over hundreds of millions of years. Saudi Arabia has intensified exploration activities along its western belt, particularly near the Red Sea coast, where new deposits of gold, copper, zinc, nickel, and phosphate continue to be identified. This mineral-bearing zone, known as the Arabian Shield, has long carried the Kingdom’s geological heritage. Today, it stands at the center of Saudi Arabia’s economic transformation. This was not an ordinary flight to a mine. It was a journey into the emerging core of Saudi Arabia’s mining future. On board were just five mining journalists representing four continents: Mining Magazine from the United Kingdom, Mining. com.au from Australia, Mining Weekly from South Africa, Bloomberg Saudi Arabia, and myself representing Mongolia’s Mining Insight and Energy Insight. Selected as official media partners of the Future Minerals Forum, we were invited by Maaden to visit one of the Kingdom’s most strategically important gold operations, a site rarely opened to international media. For Maaden, this was far from a routine press tour. It was a deliberate and carefully planned strategic decision to open one of its flagship projects to professional scrutiny and allow the global mining community to see firsthand how Saudi Arabia is building its mining sector.

MAADEN AND SAUDI ARABIA’S MINING TRANSFORMATION

Saudi Arabia’s Vision 2030 aims to diversify the national economy and reduce dependence on hydrocarbons. Within this framework, mining has been identified as the country’s third major economic pillar. At the center of this transformation stands Maaden, the Saudi Arabian Mining Company. The company leads the development of the Kingdom’s most significant mineral projects and plays a defining role in shaping the future direction of the sector. Through the extraction, processing, and export of gold, copper, phosphate, and rare metals, Maaden directly contributes to economic diversification. Equally important is how Maaden operates. The company has introduced advanced mining and processing technologies, formed strategic partnerships with international mining firms, and aligned its operations with global industry standards. As a result, Maaden has strengthened its competitive position in international markets. Gold, in particular, holds strategic importance in Saudi Arabia’s mining strategy. It is a stable source of export revenue and foreign currency, and a key instrument in achieving Vision 2030 objectives. Beyond economics, gold mining serves as a platform for introducing advanced beneficiation and processing technologies, showcasing the Kingdom’s mining capabilities to the world and attracting international investment and partnerships. Within this context, the Mansourah Massarah gold mine stands out.

MANSOURAH MASSARAH: A NEW BENCHMARK FOR SAUDI MINING

Mansourah Massarah is not only Maaden’s largest and most modern gold mine. It is a tangible demonstration of how Saudi Arabia’s mining sector has entered a new phase. The operation integrates large-scale open-pit mining, advanced processing and smelting infrastructure, strict safety standards, and a long term exploration strategy aimed at continuously expanding the resource base. This integrated approach positions Mansourah Massarah not merely as a revenue generating asset, but as a strategic project underpinning economic diversification, technological advancement, and international competitiveness. The mine also plays a critical role in local development by supporting employment and contributing to infrastructure growth in surrounding regions. Before traveling to the site, reviewing background information made one thing clear. Inviting leading international mining media to Mansourah Massarah was no coincidence. It was a statement. The flight from Taif to Mansourah Massarah took just over an hour, yet offered a rare perspective. From above, the Arabian Shield unfolded as a vast and sparsely populated expanse, reinforcing why Saudi Arabia is increasingly viewed as one of the world’s least explored yet most resource-rich mineral regions. Traveling with the journalists were senior Maaden executives, including H.E. Eng. Khalid Al Mudaifer, Vice Chairman, and Dr. Darryl Clark, Executive Vice President for Exploration and Resource Development and Acting Executive Vice President for Base Metals and New Minerals. Representatives from the Saudi Ministry of Industry and Mineral Resources and the Future Minerals Forum media team also joined the flight. The presence of top leadership sent a clear signal. Maaden treats engagement with international media as a strategic priority. Throughout the visit, executives were open, accessible, and willing to answer even the most detailed technical questions.

THE MOMENT ORE BECOMES GOLD

The helicopters landed at the mine’s helipad roughly ten minutes apart. Senior staff from various departments welcomed the group with precise coordination. Journalists were divided into small groups and transported to prepared rest areas marked with name signage. Each of us received personalized protective clothing and equipment. These small details reflected the level of preparation and respect invested in hosting such a limited group. Before entering operational areas, a comprehensive safety induction was conducted. Safety, it became clear, is not treated as a procedural requirement at Maaden, but as a core organizational value. The route of the site visit and key points of attention were then explained in detail, and Dr. Darryl Clark introduced the team responsible for the tour. Interestingly, Dr. Clark had previously worked in Mongolia, and surprised me by greeting me in Mongolian with “zugeer uu (alright).” The tour began at the central operations control room. Large screens displayed real-time data streams, charts, and operational metrics supported by digital platforms such as Hexagon. The control center offered a live snapshot of the mine’s heartbeat, with every process monitored, measured, and managed in real time. From there, we moved to the open-pit mine. The scale of the operation, the layout of haul roads, and the precision of equipment movement reflected disciplined planning and operational rigor. Although dozens of machines performed different tasks, they moved in harmony, giving the impression of a single, living system. The next stop was the blasting area. Engineers explained how meticulous sequencing, timing, and safety protocols govern blasting operations. According to the team, controlled blasting is fundamental to both safety and productivity across the entire mine. At every step, the emphasis on engineering precision and risk management was unmistakable. The highlight came with the visit to the primary gold processing and smelting facilities. The glow of high-temperature furnaces, the metallic structures, and the controlled industrial environment left a strong impression. Even for journalists who had visited mines across Africa, Australia, Asia, and the Americas, this section stood out. Here, ore completes its transformation into gold. Engineers walked us through each stage in detail, explaining processes openly and without hesitation. Filters, furnaces, conveyors, and packaging systems formed a seamless chain. Such transparency and depth of engagement are rare in media visits and deeply telling.

WORKFORCE, KNOWLEDGE, AND LOCAL DEVELOPMENT

One defining feature of Mansourah Massarah is its internationally experienced management team. Senior operational roles are held by professionals with global expertise in gold and base metals mining. The message is clear. Competence matters. Equally notable are the living and working conditions for employees. The mine offers comfortable accommodation, recreational facilities including swimming pools, and a wide range of training and skills development programs. These initiatives support long-term professional growth and reflect a strong commitment to workforce welfare. Maaden’s human resource strategy emphasizes sustained local employment, complemented by community development programs. Employment, skills, and regional development begin at the mine and extend far beyond it. The visit took place just two days before Maaden announced a significant increase in its gold resources. Mansourah Massarah now hosts total mineral resources of 116 million tonnes at an average grade of 2.8 grams per tonne, containing 10.4 million ounces of gold. Across four core areas, Ma’aden added 7.8 million ounces of new gold resources, with Mansourah Massarah contributing a net annual increase of 3.0 million ounces. These figures underline the mine’s long-term potential and its suitability for continued open-pit operations, with future underground development also under consideration. Drilling results confirm that mineralization remains open, with extensive exploration planned through 2026. Power for the operation is supplied by a dedicated 58-megawatt hybrid power plant, with solar PV integrated into the system and prioritised when conditions allow, although Ma’aden has not publicly disclosed the exact share of renewable energy within the mine’s overall power mix. Like all large-scale mining operations in arid regions, Mansourah Massarah faces structural challenges, particularly in relation to water management, energy efficiency, and cost control. Yet its current development trajectory reflects a high level of technical discipline and strategic maturity.

MINING AND THE NATION’S FUTURE

The Mansourah Massarah visit was not an ordinary mine tour. What made it exceptional was not only what was shown, but to whom and how it was shown. By dedicating a full day of senior management time and granting unrestricted access to five journalists, Maaden demonstrated confidence and intent. This was a statement about Saudi Arabia’s mining future and Ma’aden’s readiness to engage the global mining community on equal terms. In terms of scale, operational execution, and governance, the mine increasingly stands alongside major gold operations in Australia and Africa underscoring Saudi Arabia’s emergence as a serious global mining player. Mansourah Massarah stands as tangible proof of Ma’aden’s capabilities. Traditional perceptions of mining give way here to digital control, disciplined planning, and sustainable operations. More than showing how gold is produced, Ma’aden demonstrates how mining is being woven into the nation’s long-term future. As we flew back to Taif at 14:00, it was clear that this half-day visit had delivered insights no report or presentation could fully capture. As a Mongolian proverb says, “Seeing once is better than hearing a thousand times.” Experiencing Mansourah Massarah firsthand gave that saying real meaning. Thanks to the partnership built through the Future Minerals Forum, where Mining Insight became an official media partner, this opportunity to witness Saudi Arabia’s mining transformation on the ground became possible. It was a journey well worth taking.

Mining Insight Magazine, January 2026 №01 (050)

He noted that the appointments come at a challenging time marked by fuel supply disruptions, rising prices, shortages, and inflation affecting both Mongolia and the global economy. Emphasizing that ministerial roles carry significant responsibility rather than privilege, he urged ministers to act decisively, work efficiently, and turn challenges into solutions.

The Prime Minister called on ministers to uphold high ethical standards, ensure accountability, and work free from corruption and conflicts of interest, while demonstrating unity, patriotism, and determination.

Enkhbayar Jadamba – Deputy Prime Minister and Minister of Economy and Development

Dorjkhand Togmid – Deputy Prime Minister

Nomtoibayar Nyamtaishir – Deputy Prime Minister

Enkhbayar Battumur – Chief of the Cabinet Secretariat

Battsetseg Batmunkh – Minister of Foreign Affairs

Mendsaikhan Zagdjav – Minister of Finance

Amarsaikhan Sainbuyan – Minister of Justice and Home Affairs

Damdinyam Gongor – Minister of Industry and Mineral Resources

Batlut Damba – Minister of Defense

Sandag-Ochir Tsend – Minister of Environment and Climate Change

Enkh-Amgalan Luvsantseren – Minister of Education

Aubakir Tileukhan – Minister of Family, Labour and Social Protection

Delgersaikhan Borkhuu – Minister of Road and Transport

Aldarjavkhlan Zhukov – Minister of Culture, Sports, Tourism and Youth

Bat-Amgalan Enkhtaivan – Minister of Urban Development, Construction and Housing

Iderbat Tsagaankhuu – Minister of Food, Agriculture and Light Industry

Nomin Chinbat – Minister of Digital Development, Innovation and Communications

Naidalaa Badrakh – Minister of Energy

Batshugar Enkhbayar – Minister of Health

Source: Mongolia.gov.mn

- We will focus on new railway routes and cross-border connections to expand mineral export corridors -

The current state of Mongolia’s transport sector, the progress of railway projects, and cross border connectivity were discussed in an interview conducted by Mining Insight’s E. Odjargal with B. Delgersaikhan, Minister of Roads and Transport.

As Chair of the National Committee to Reduce Traffic Congestion in Ulaanbaatar and as Minister of Roads and Transport, you are directly involved in transport infrastructure. What key issues and priorities are you focusing on?

In essence, the work of the Minister of Roads and Transport is about creating domestic and international connectivity, and it also has a diplomatic dimension. In modern political and economic thinking, connectivity has become a central concept. As strategist Parag Khanna has noted, countries that can connect to multiple markets are the ones that develop. Transport infrastructure networks therefore play a critical role in the economy. Mongolia, which is highly dependent on imports, is incurring significant losses due to inefficient domestic freight transport, slow turnover, weak connectivity, and the absence of a well-developed national network. Improving connectivity across all modes of transport is essential, though this must be done with clear priorities and a focus on strategically and economically viable routes. When I assumed the role of Minister, I committed to focusing on the country’s key strategic projects. First, to improve safety for Ulaanbaatar and its residents, we are advancing the Bagakhangai–Khushig Valley railway project to address the rail line running through the capital. Second, we are prioritizing cross-border railway connections by expanding access to foreign markets. This includes new railway routes and border connections to support mineral exports. These efforts aim to reduce transport costs, strengthen export competitiveness, and increase Mongolia’s participation in international logistics networks.

What policies are China and Russia pursuing in terms of transport infrastructure connectivity, and what kind of discussions are being held with Mongolia?

In reality, Mongolia has only two neighboring countries. By making use of the opportunities offered by these large markets, Mongolia is focusing on developing its western and eastern railway corridors and, in the longer term, opening the shortest route connecting Europe and Asia. This is considered essential for the country’s future development. The programme to establish the Economic Corridor, signed in 2014 by the heads of state of Russia, Mongolia, and China, clearly outlines railway routes along the eastern and western vertical axes. At present, Mongolia’s main source of income is mineral resources. Six types of mining products account for 95 percent of the country’s exports, most of which are bulk cargo. It is estimated that 25 to 30 million tonnes of mineral products and raw materials are exported annually via Ulaanbaatar Railway. However, the Zamyn-Uud border crossing has a capacity of only about 12 million tonnes per year, which limits the transport of both domestic mineral products and transit cargo. Ulaanbaatar Railway, a joint venture owned 50:50 by Mongolia and Russia, has traditionally focused on maintaining the northern route. Meanwhile, the southern sections, particularly beyond Sainshand, have gentle gradients that restrict both passenger and freight transport. The Zuunbayn–Sainshand line was not originally designed for full freight use and can carry loads of only two to three tonnes.

Mongolia has been transitioning to a market economy for more than 30 years. As a result, export-oriented railway lines that connect the country to international markets are critically needed.

For this reason, the Gashuunsukhait–Gantsmod border railway project is being implemented as a priority.

The Gashuunsukhait–Gantsmod border railway project, which will open Mongolia’s second cross-border railway connection after more than 60 years, has been discussed since 2008, yet construction has only recently begun. When is it expected to be completed?

Discussions on connecting the Gashuunsukhait–Gantsmod railway across the border date back to 2010, and it is said that 55 meetings were held with the Chinese side. After I was appointed Minister of Roads and Transport, I participated in the 56th meeting. It is true that negotiations with the Chinese side were complex, particularly regarding missed opportunities. China also consistently raised the issue of cross-border railway connections. Following the agreement reached, construction of the long-delayed Gashuunsukhait–Gantsmod cross-border railway finally began in June 2025. As Mongolia has waited many years to move this project forward, border and customs-related issues have been carefully addressed. In particular, a dedicated zone for incoming workers has been established, and border protection authorities have been instructed to ensure that the work proceeds without disruption. As a result, construction is progressing according to plan. Of the more than 3,000 bridge pillars required, around 1,100 have been completed to date. The target is to reach 70 percent completion by 2026.

How much bulk cargo is currently being transported on the Tavan Tolgoi–Gashuunsukhait railway?

Under a resolution of the Government of Mongolia, the infrastructure and rolling stock of the Tavan Tolgoi Gashuunsukhait railway are being operated under a lease agreement by Mongolian Railways. In accordance with a long term coal transportation agreement signed between Mongolian Railways and China Energy Coking Coal, transportation began on 24 June 2025. To date, over a seven-month period, a total of 4 million tonnes of coal have been transported.

Will the Tavan Tolgoi–Gashuunsukhait railway be extended westward toward Dalanzadgad?

Yes. Design work is currently underway for a 100-kilometer railway line along the Tsogttsetsii–Dalanzadgad route. First, this will connect the capital of Umnugovi Province to the cross border railway. The line will later form part of the planned Zamiin Uud–Zuunbayan–Dalanzadgad–Shiveekhuren railway corridor. By linking the provincial capital to the Tavan Tolgoi–Zuunbayan railway and providing southbound access as well as a route toward Zamiin-Uud, this project will enable not only the transport of mining products but also the movement of goods for local residents and private businesses.

One of the key elements of the intergovernmental agreement on the Gashuunsukhait–Gantsmod cross border railway is the plan to connect the next phase of border crossings, namely Shiveekhuren–Sekhe and Khangi–Mandal, by rail. When is the Shiveekhuren–Sekhe cross-border railway expected to be connected?

That is correct. The agreement stipulates that once construction at Gantsmod begins, negotiations on cross-border rail connections at other border points will also commence. In line with this, at the opening ceremony of the Gashuunsukhait Gantsmod cross-border railway construction, an agreement was reached with the Chinese side to begin the Shiveekhuren–Sekhe railway connection. Discussions are currently ongoing at the working level, and the agreement is expected to be signed this year. There is a possibility that the Shiveekhuren–Sekhe railway could be connected and become operational ahead of the others. Essentially, the connection requires laying approximately 300 meters of railway to link with the Chinese side. Construction on the Mongolian side of this cross-border railway project was fully completed in 2024 and accepted by the state commission.

Will a railway be built from the Shiveekhuren border crossing to the Nariinsukhait group of deposits, and if so, when?

Yes, it will be built. Once the Shiveekhuren–Sekhe cross-border railway connection is completed, a railway line will be extended to the Nariinsukhait group of deposits. The companies currently engaged in coal mining at those deposits will construct this railway themselves, as they have the right to do so.

More broadly, will Mongolia’s western vertical railway corridor be extended as far as Arts Suuri? The “State Policy on Railway Transport” includes the Arts Suuri Nariinsukhait–Shiveekhuren route.

This has not yet been finalized. At present, there is no clearly identified investor for this railway project. The main unresolved issue remains the question of railway gauge.

What is the current operational status of the Tavan Tolgoi–Zuunbayan railway, which forms part of the east–west horizontal axis connecting the western and eastern vertical corridors, including the Shiveekhuren Dalanzadgad–Tavan Tolgoi–Zuunbayan route? Is freight transportation increasing?

At present, six coal trains per day are operating on this railway, transporting coal to the Khangi border crossing. From this year onward, coal exports from the Umnugovi side, particularly from Tavan Tolgoi, will increase. From the Dornogovi side, transportation of lignite coal for export will also increase significantly.

At what stage is the cross-border railway connection project at the Khangi–Mandal border crossing?

A working group has been established to ensure unified management and coordination of negotiations with the Chinese side and to develop technical solutions for the construction of the Khangi–Mandal cross-border railway. Discussions with the Chinese side are ongoing. It is necessary to include this railway project in China’s 15th Five-Year Plan, to amend the 2004 intergovernmental agreement between Mongolia and China on border crossings and their regimes, and to formally approve the border connection point. Construction work will begin after these steps are completed.

What expansion and modernization works are being carried out at the Khangi border crossing? What export capacity is being achieved? What are the prospects for increasing Mongolia’s mining exports through this crossing, and how strong is demand from the Chinese side?

At the Khangi border crossing, terminals for bulk cargo, hazardous cargo, and fuel are being constructed. All construction work at the border crossing is expected to be completed this year. Demand for coking coal, which is Mongolia’s main export revenue source, is strong among end users in the Baotou industrial region, one of China’s leading steel-producing centers and the world’s second-largest industrial hub. Baotou is the most important, largest, and closest market for Mongolia’s coking coal. This reflects Mongolia’s geopolitical reality.

Erdenes Tavan Tolgoi has announced plans to increase coal exports through the Khangi border crossing. Freight volumes on the Zuunbayan–Khangi railway are expected to grow. Will the capacity of this railway be expanded?

At present, there are orders totaling 10 million tonnes from the Zuunbayan side. Looking ahead, as conditions improve for delivering coal to Chinese end users via a shorter route, freight demand on this railway is expected to increase, and the railway’s capacity will therefore be expanded.

What is the status of the Bichigt–Zuunkhatavch cross border railway project?

The issue of railway gauge at Bichigt has not yet been resolved. Because the gauge issue remains unsettled, investment decisions have also been delayed. There are estimates that more than 400 kilometers of railway would need to be constructed along the eastern vertical corridor to reach the Bichigt border crossing. The feasibility study for the Bichigt–Zuunkhatavch cross-border railway project is currently being prepared by Mongolian Railways. After that, a selection process will be conducted. The project is planned to be implemented as a public–private partnership. Mongolia’s eastern corridor railway would pass through China’s Zuunkhatavch border crossing and continue through Liaoning Province to the Jinzhou seaport. This is expected to help reduce congestion and pressure at Tianjin Port, which currently handles much of Mongolia’s foreign trade cargo. Mongolia also sees potential for cooperation with Russia on the Solovyovsk Ereentsav–Bichigt railway route, although Russia is currently facing limited financial resources. The Ereentsav railway line is operated by the Ulaanbaatar Railway joint venture. Overall, in parallel with the construction of the Bichigt border railway, domestic infrastructure will need to be upgraded and improved.

What is the current progress of the Bagakhangai Khushig Valley railway project, which branches off from the 1,100-kilometer railway network operated by Ulaanbaatar Railway?

Although a decision was made three years ago to implement the Bogd Khan Railway project, no construction work had begun until it was restarted. Agreements were reached through negotiations with Russian Railways. Construction of this railway officially commenced on 25 April 2025, with plans to put it into operation in 2027. This is a project of strategic importance for national development. Once this branch railway becomes operational, it will be possible to transport 34 types of hazardous cargo, including fuel, chemicals, and explosive materials, along a new route south of Bogd Khan Mountain without passing through the city center, significantly improving safety for residents of the capital. In addition to traffic congestion, hazardous cargo should not pass through the city. At present, 424 trains carrying explosive materials are stopped in Ulaanbaatar. Due to a lack of storage facilities and other constraints, these cargos are not unloaded and remain stationary for extended periods. This issue has been repeatedly raised with relevant authorities, including the Cabinet Secretariat, the State Emergency Commission, and the General Intelligence Agency. Despite budget constraints, work has continued. With the efforts of 62 domestic companies, 82 kilometers of basic infrastructure have been completed, and the upper structure has reached 10 percent completion. Mongolian Railways has been financing part of the project through its own efforts. In general, management at Mongolian Railways and Ulaanbaatar Railway is required to operate with the efficiency of private companies. We must reduce excessive structures and unnecessary burdens in order to operate profitably. Once this branch railway enters operation, it will be capable of transporting 3.5 million tonnes of cargo in the first year, increasing to up to 20 million tonnes annually over time. As a result, between 316 and 1,800 heavy trucks per day will no longer need to operate on the capital’s roads. This is expected to reduce traffic congestion in Ulaanbaatar by 20 to 30 percent and lower noise and air pollution.

What road infrastructure projects are currently being implemented?

For the first time in Mongolia, a heavy-duty, special-purpose road will be constructed through a public–private partnership. This will serve as a model for the country and mark the beginning of a gradual transition toward toll roads in line with international practice. In recent years, vehicles transporting mining products and fuel operated by individuals, businesses, and organizations have frequently exceeded weight limits. Vehicles with an actual weight exceeding 44 tonnes while traveling on public roads are required to use non-public, special-purpose roads. Last year, construction began on the first phase of a 152-kilometer paved road along the Baruun-Urt–Bichigt route, connecting Baruun-Urt, the center of Sukhbaatar Province, with the Bichigt border crossing. The project is planned for implementation between 2025 and 2027 with state budget funding totaling MNT 324 billion, of which MNT 31.6 billion has been allocated in the 2025 state budget. Once the paved Baruun-Urt–Bichigt road is completed, a new Asia–Europe road network passing through Mongolia will be added, and the Bichigt border crossing is expected to develop into a major gateway after Zamiin-Uud. This will create opportunities for trade with Northeast Asian countries via Chinese ports such as Tianjin, Jinzhou, and Dalian, giving the project significant economic importance.

What are the main priorities in the aviation sector for 2026?

This year, the focus is on passing the international audit (USOAP CMA), launching flights to the United States, and increasing the number of international flights transiting through Mongolia’s airspace. Under Mongolia’s 2026 State Budget Law, the amount of air navigation service charges transferred to the state budget will be reduced, with MNT 40 billion allocated for upgrading technical equipment to ensure flight safety. In addition, efforts will be made to upgrade Gurvansaikhan Airport in Umnugovi Province, Murun Airport in Khuvsgul Province, and the airport in Bayan-Ulgii Province to international airport status.

Is the new international airport reaching capacity?

It is true that passenger numbers have increased and the airport is becoming crowded, but this is a positive challenge. In my capacity as Minister of Roads and Transport, I paid an official visit to Japan this month and met with Japan’s Vice Minister for Foreign Affairs as well as the Vice Ministers of Land, Infrastructure, Transport and Tourism. These were decision-making meetings. In line with agreements previously reached at the government level between the two countries, the airport will be expanded using Japan’s loan facility of up to USD 1 billion. The currently operating Chinggis Khaan International Airport was originally designed to serve 1.6 million passengers, with a total area of 37,000 square meters. As of 2025, it is handling 2.4 million passengers. With increases in both international and domestic flights, passenger numbers are expected to continue growing. Demand for international flights is particularly strong. Therefore, the airport will be expanded to a total area of 86,000 square meters, which will add 11 additional boarding and disembarkation gates. The expansion work is scheduled to begin in 2027.

What challenges is Mongolia’s transport sector currently facing?

The development of Mongolia’s railway sector is influenced by many external and internal factors. At a time when global economic and geopolitical conditions are changing by the minute, it is essential for us to act quickly and decisively in developing the railway sector. Within the framework of Mongolia’s foreign policy concept, we strive to cooperate on railway sector development on an equal footing with all countries around the world. In particular, we are working to expand cooperation with our neighboring countries, Russia and China. Cooperation with neighboring countries must be based on aligned interests. From a domestic perspective, however, it is very difficult to secure political decisions for the railway sector. Railways are mega projects that are directly linked to the country’s economy and development, involving decisions at the level of Parliament and the Government, as well as complex investment issues. There are many challenges in this regard. Nevertheless, compared to the past, an important shift has taken place in Mongolia’s mindset. There is now a growing recognition that Mongolia is capable of building railways using its own internal resources and capacities.

Thank you for the interview.

Mining Insight Magazine, January 2026

S&P Global, one of the world’s leading research organizations, recently presented an interesting study on the copper market. According to the report, the development of artificial intelligence will drive the production of humanoid robots to exceed one billion units by 2040, and manufacturing these robots could require around 1.6 million tonnes of copper annually. This is considered one of the key factors that will increase copper demand. Global copper demand stood at 28 million tonnes last year and is projected to reach 42 million tonnes by 2040. The main drivers of this growth are expected to be the energy transition and the increasing demand from artificial intelligence and data centers. Based on currently known reserves and the capacity of existing mines, a shortage of around 10 million tonnes of copper could emerge within the next 14 years. To address such a shortage, opening new copper mines and providing strong policy support for the sector will be essential.

At a time when the development of artificial intelligence and the energy transition are driving global economic growth and demanding large quantities of minerals, Mongolia is actively working to amend its Minerals Law. The Ministry of Industry and Mineral Resources has prepared draft amendments to the law, which has been discussed for more than a decade, and organized public consultations. Discussions were held with industry stakeholders, companies and local residents in all 21 provinces. Suggestions gathered during these consultations have been incorporated to some extent, and the draft law is now being prepared for submission to Parliament. If the amendments are adopted there are high expectations that several issues that have slowed the development of the mining sector could be addressed. At the same time mining companies may operate with greater responsibility and broader support from stakeholders. Representatives of mining companies in particular have emphasized to the ministry that these changes are urgently needed. Mining Insight highlights what the key amendments to the Minerals Law are and how companies are responding to them. We also present an interview with B. Dashpurev, State Secretary of the Ministry of Industry and Mineral Resources, discussing not only the legal amendments but also ongoing projects in the mineral resources sector, including the implementation of new gold projects.

As Mongolia bid farewell to the Year of the Wooden Snake known as “Eldev Erdenet” and welcomed the Year of the Fire Horse known as “Sureer Daragch”, many notable developments took place in the country’s mining sector. Some of these events could even be described as developments capable of reshaping the future of Mongolia’s mining industry. Mining Insight highlights the key figures of the mining sector in the Year of the Snake. Amid policy changes in the mining sector, major merger and acquisition deals among leading companies and the commissioning of new projects, who were the individuals standing at the forefront of these developments. Among the major developments, one example that could potentially bring the most significant change to Mongolia’s mining sector is the negotiations between the government and several companies to accumulate 60 percent of the benefits from strategic deposits into the National Wealth Fund. Three of the 26 companies holding licenses on strategic deposits have already announced that they have negotiated with the government and agreed to contribute 60 percent of their benefits. Many questions remain unclear, including how much money 60 percent of the benefits represents, how benefits are defined, how the arrangement will affect investors and companies, and whether more major deposits will be designated as strategic deposits in the future with the same requirement applied. However it is evident that this negotiation could establish a new precedent for Mongolia’s mining sector.

INSIDE MONGOLIA’S MINING: ACHIEVEMENTS, CHALLENGES, AND WHAT’S NEXT

As 2025 draws to a close, it’s time to look back on the past year’s milestones and hurdles in Mongolia’s mining sector—and forward to what lies ahead. Mining Insight asked the country’s leading mining executives about last year’s performance and next year’s strategies, revealing not just company successes and challenges, but also offering an essential lens on national budget impacts, sector trends, and investment directions.

Erdenet Mining Corporation sets a new all-time record

G. Yondon, General Director of Erdenet Mining Corporation SOE

How would you describe 2025 for Erdenet Mining Corporation? What were the key achievements, and what challenges did you face?

2025 will go down in the history of Erdenet Mining Corporation as a year of exceptional achievement. This year, the company mined 47.1 million tonnes of ore and processed 39.9 million tonnes, the highest figures recorded in its 47 year history. As a result, 574,000 tonnes of copper concentrate were produced and exported. Sales revenue reached an all time high of MNT 4.6 trillion, with USD 1.2 billion transferred to the Bank of Mongolia. A total of MNT 2.2 trillion in taxes was paid to the state and local budgets, and the company is currently operating with no long-term liabilities. One of the most notable outcomes of 2025 was real cost savings. Previously, out of every tugrug in revenue, 75 tugrugs went to costs and 25 to profit. This year, costs fell below the 75-tugrug level, leading to a marked improvement in profitability. According to an updated geological resource estimate completed in 2024, Erdenet now has the potential to operate for another 55 years.

If additional reserves from the Oyut deposit are confirmed, the mine life could be extended to 65-75 years. In line with this outlook, we launched the Phase I upgrade of the ore preparation line to modernise the concentrator. This involves extensive underground excavation and concrete works equivalent in scale to an eight- to nine-storey building. We have also begun construction of a new tailings storage facility using advanced thickened tailings technology. As more than 98 percent of the ore we mine is transferred to the tailings system, tailings management is a critical component of our operations. Accordingly, in February 2025, a government resolution designated over 8,000 hectares across Orkhon and Bulgan provinces for special use as a tailings facility. In addition, under four major projects related to water supply, power supply, roads, and railways for the Industrial and Technology Park, the total investment reached USD 68 million. The water supply and railway projects have been fully completed and accepted by the State Commission. Road construction is more than 60 percent complete, while the power supply project, delayed due to a tender dispute, has now reached around 30 percent completion. In August 2025, the feasibility studies for a copper smelter and refinery, as well as a copper wire and cable plant, based in Erdenet, were approved by the Mineral Resources Professional Council. These studies were notable for incorporating a pilot elemental sulphur plant. An open international tender has been announced to select a strategic investor, with invitations extended to global investors. Erdenet is technically ready to produce sulphuric acid, and demand is emerging from major domestic projects, including Badrakh Energy, Oyu Tolgoi, and the Bor-Undur Industrial and Technology Park. Since 2022, we have invited the international “Big Four” audit firms Deloitte, PwC, KPMG, and Ernst & Young to work with us. Our financial statements for the past three years have been audited by KPMG, and our mineral resources have been evaluated in accordance with the JORC standard. These are concrete steps toward becoming a publicly listed company and preparing for an IPO. Following recommendations from KPMG and the National Audit Office, an asset valuation was conducted, confirming total assets of approximately MNT 6.7 trillion. Over the past four years, the average ratio of net profit to total assets has stood at 11.6 percent, which we consider a solid and stable performance indicator. In 2025, Erdenet began implementing Canada’s Towards Sustainable Mining (TSM) standard, becoming the first state owned company in Mongolia to do so. As part of this effort, we hosted the International TSM High Level Meeting at Erdenet on 10 September. Senior representatives from the Mining Association of Canada and the China Mining Association attended, providing specialised training and guidance. In 2026, our progress in implementing the TSM standard will be validated by international experts and auditors.

What are the company’s main objectives for 2026?

Our primary objective for the coming year, as a 100 percent state-owned enterprise, is first and foremost to fully deliver on our 2026 business plan and target indicators, and to ensure the stable transfer of revenues to the state budget in the form of taxes, fees, and payments, as well as dividends to the Savings Fund. In addition to these obligations to the state budget, we plan to commence construction of the copper smelter project being implemented in project form, and to continue works on the Phase I ore preparation line, the thickened tailings technology, and the construction of the tailings storage facility.

Our 2026 investment plan has been calculated in detail. By prioritising and optimising investment activities that have averaged MNT 1.1–1.2 trillion annually over the past four years, the approved investment volume for 2026 was set at MNT 776 billion. We began planning the 2026 investment program early, starting in March 2025.

At that time, all of our departments and units submitted what could be called their “wish lists.” In April, these proposals went through an initial screening and were ranked and streamlined based on factors such as previously completed works, economic calculations, studies, and investment payback periods. On 1 May, the investment list was finalised. We then approved an investment ceiling of MNT 700 billion, carried out feasibility studies, marketing research, and design work, and gave final approval on 1 August. The reason for this approach was that, as one of the Government’s mega projects, the copper smelter project will inevitably place a certain financial burden on us. We therefore calculated how much we could realistically reduce our investment spending and, from three scenarios, selected the MNT 700 billion option. However, in October, due to factors such as unsuccessful tenders for some projects planned in 2025, complaints that resulted in their rollover into 2026, and unexpected additional costs arising from government decisions such as wagon leasing, it became necessary to increase the originally planned 2026 investment by MNT 76 billion. As a result, costs related to the copper smelter project are not yet included in the approved investment plan. In other words, we have deliberately left room for them. It is clear that the level of financial burden on Erdenet will depend on how and to what extent we cooperate with the investor, and on the shareholding that Erdenet Mining Corporation will hold in the copper smelter project. We expect that the scale of investment required for the copper smelter will become clearer and be finalised in the first half of 2026, based on the outcomes of negotiations and contracts to be concluded during that period.

How do you assess the market outlook for next year? What key trends are you observing?

Every year, major global forums are held where copper price outlooks are discussed and finalised. These include London Metal Exchange (LME) Week held in October, LME Asia Week in Hong Kong in May, and Chile’s Copper Week (CESCO), among other international events. In addition, we receive advice from analysts at global financial institutions such as Wood Mackenzie and Goldman Sachs. Based on all of these inputs, we calculate our copper price assumptions. Relying on research and recommendations from reputable international institutions and analysts, we have calculated the copper price for 2026 at USD 9,653 per tonne. This figure is intended to avoid creating excessive expectations or risks on the revenue side of the state budget. It is a realistic and conservative lower-bound estimate, rather than an overly optimistic one. Using inflated assumptions can create budgetary risks and significantly affect the company’s economic indicators. In 2025, we calculated the copper price at USD 9,486, whereas the state budget projection was USD 10,000, resulting in a difference of more than USD 500. For 2026, based on the recommendations of international analysts and forecasts from 28 major financial institutions, we set the copper price at USD 9,653. In comparison, the state budget uses a figure of USD 9,700, meaning the difference this time is only around USD 50. As of late 2025, today the copper price has reached USD 12,000, driven by several objective factors. First, technical incidents occurred at several major copper mines worldwide, including Kamoa-Kakula, El Teniente, and Grasberg. As a result, global copper supply has faced a shortfall of approximately 550,000 tonnes of refined copper, creating what is referred to as a deficit. The current price level of USD 12,000 is likely to decline after a certain period. However, analysts believe that during 2026, the price may reach the USD 12,000 level several times. In terms of market trends, one notable development is that the benchmark treatment and refining charges (TC/RC) are likely to settle around zero. This is a positive and profitable situation for mining companies, while it suggests a more challenging year ahead for smelters and refiners. In particular, smelting operations that do not own mines or secure raw material sources and operate independently are likely to face significant difficulties.

Mining Insight Magazine, December 2025 №12 (049)

Toronto (March 4, 2026) - The Prospectors & Developers Association of Canada (PDAC) Convention brought together the global mineral exploration and mining community this week, continuing a 94-year tradition of connecting industry, governments, investors, Indigenous communities and students. PDAC 2026 welcomed 32,155 participants from around the world, the highest participation in the event’s history.

“There was a clear sense of energy throughout the convention,” said PDAC President Karen Rees. “Strong commodity markets are contributing to optimism across the sector. At the same time, governments and the public are recognizing more clearly how essential minerals are to economic growth, electrification, defence and modern technologies.”

The convention also set a record with more than 1,300 exhibitors, delivering the largest trade show footprint in PDAC’s history and filling the Metro Toronto Convention Centre across both the North and South buildings.

Over four days, PDAC 2026 facilitated networking, investment discussions and dealmaking. The convention’s programming featured hundreds of expert presenters examining the key opportunities and challenges shaping mineral exploration, project development and financing.

PDAC 2026 also welcomed participation from governments around the world, alongside Canadian policymakers and leaders from municipal, provincial and federal levels. Their presence reflects the growing global focus on mineral supply, investment and the policies needed to support responsible development.

“Government policy choices play a critical role in supporting the mineral sector and ensuring Canada remains a global leader in mineral exploration and development,” Rees said. “Proven, made-in-Canada exploration tax credits and greater regulatory predictability are essential to maintaining Canada’s competitiveness and investor confidence.”

While the Convention is an important moment for the association, PDAC advocates throughout the year on behalf of its members and the broader sector.

“In a more complex global environment, a strong mineral sector is fundamental to Canada’s economic prosperity, supply-chain security and sovereignty,” Rees said.

PDAC thanks its volunteers, speakers, sponsors, exhibitors and participants for contributing to a successful Convention and looks forward to welcoming the global mineral exploration and mining community back to Toronto for PDAC 2027, March 7– 10, 2027.

The official opening of Mongolia’s exhibition booth took place within the Trade Show North section of the PDAC 2026. At the PDAC2026 convention, held from March 1–4, 2026, the Minister of Industry and Mineral Resources, Member of Parliament G. Damdinnyam, along with representatives from the Parliament, the Government, and the private sector, are participating with a broad delegation. At the exhibition area, leading mining companies from Mongolia are presenting their operations, projects, and investment opportunities to international participants and investors.

More than 1,300 organizations and companies are participating in the exhibition component of “PDAC 2026,” showcasing minerals, exploration activities, equipment, technology, and investment opportunities — with Mongolia proudly among them.

Mongolia’s exhibition booth is evolving into an important platform for presenting the country’s mineral sector development policies, major ongoing projects, and partnership opportunities to representatives of the global mining industry, while also fostering new business connections.

Within the framework of the PDAC-2026 international convention taking place in Toronto, Canada, the Ministry of Industry and Mineral Resources of Mongolia, the Mongolian National Mining Association, and the Canada–Mongolia Chamber of Commerce jointly organized the “Mongolia Day 2026” event. The event aimed to expand Mongolia’s international cooperation in the mining sector, enhance investment opportunities, and promote strategic projects.

The event was officially opened by Mr. G. Battsengel, Chairman of the Board of the Mongolian National Mining Association, and H.E. Ms. E. Sarantogos, Ambassador Extraordinary and Plenipotentiary of Mongolia to Canada. Mr. G. Damdinnyam, Minister of Industry and Mineral Resources delivered the keynote address, presenting Mongolia’s mineral sector policy, recent legal and regulatory reforms, and ongoing measures to support investment.

In addition, Asian Battery Metals PLC, Erdene Mongol LLC, and Erdene Resource Development Corporation introduced their projects in Mongolia, outlining exploration activities, project development progress, and strategic objectives.

In the second part of “Mongolia Day 2026,” a panel discussion was held under the theme: “Why Mongolia? A Reliable, Responsible and Ready Partner for Mining Investment.” Representatives from the public and private sectors, as well as geological professionals from Mongolia and Canada, exchanged views on Mongolia’s mining competitiveness, investment climate, and international cooperation.

We extend our sincere appreciation to Erdenes Mongol LLC, Erdenet Mining Corporation SOE, Erdenes Tavantolgoi JSC, Mongolian Mining Corporation (MMC), and Asian Battery Metals PLC for their support in organizing this event.

Source: Miningmongolia.mn

Held annually since 1932, the PDAC Convention is one of the largest and most influential gatherings in the global mining industry, bringing together more than 27,000 participants, investors, and industry leaders from over 125 countries. This year’s convention features more than 1,300 exhibitors and approximately 700 speakers, who are discussing key development trends and policy issues in the minerals sector.

The content and significance of “PDAC 2026” have further expanded, with a strong focus on strategic issues in the mining industry and practical, solution-oriented discussions. Key topics include critical mineral supply chain security, the real-world application of artificial intelligence and digital technologies, strengthening the implementation of Environmental, Social, and Governance (ESG) principles, as well as emerging investment and financing trends and long-term strategic partnerships.

Mongolia’s participation is of great importance in expanding sectoral cooperation, enhancing investment opportunities, and gaining insights into international best practices and global trends in the mining industry.

Source: Miningmongolia.mn

Every year in early March, the PDAC Convention of the Prospectors & Developers Association of Canada (PDAC) is held in Toronto, Canada. Mining Insight Magazine is pleased to announce that it is serving as an official media partner of the convention for the fourth time. Ahead of the event, we present to our readers an interview conducted by Mining Insight journalist E. Odjargal with Karen Rees, President of the PDAC. By way of brief introduction, Karen Rees is a professional geologist with 37 years of experience in Canada’s mineral exploration sector. In addition to serving as President of PDAC, she is also a board member of three junior exploration projects located in Ontario, Quebec, and Manitoba.

With more than 90 years of history, PDAC has played a significant role internationally. How would you describe its long-term impact?

We’re proud to bring the global mineral exploration and mining community together in Toronto each year for the PDAC Convention. Over time, its impact has come from creating a trusted place for people across the sector to have direct, practical conversations about the issues that shape projects, investment decisions and policy. Those conversations matter. The connections made at PDAC influence where capital flows, how projects move forward and how jurisdictions position themselves in an increasingly competitive global landscape.

Under your leadership, what strategic directions and priorities will PDAC pursue in the coming years?

The focus is on keeping Canada competitive as a place to explore, invest and advance mineral projects responsibly. Maintaining investment momentum depends on policy certainty, particularly for mineral exploration, where stable and predictable frameworks are essential. A top priority is securing long-term investment certainty. That includes improving access to capital, reducing regulatory duplication and delays, streamlining permitting processes, and continuing to invest in public geoscience and enabling infrastructure. Responsible exploration is central to this work. Practical, industry-led tools such as Driving Responsible Exploration help companies manage risk, strengthen environmental, social, and governance frameworks, and build respectful, long-term relationships with Indigenous communities. Talent is another key part of the picture. Attracting the next generation of workers and ensuring students and early career professionals have clear pathways into the industry, opportunities to connect with employers and the skills needed to build lasting careers is essential to the sector’s future.

The 2026 Convention marks the 94th edition of PDAC. What will distinguish PDAC 2026?

PDAC 2026 will build on strong momentum following a year that welcomed more than 27,000 participants from around the world. It will feature the largest trade show in the event’s history. For the first time, Trade Show North will span the entire North Building, bringing the total to more than 1,300 exhibitors. PDAC 2026 will also feature a wide-ranging program, with senior industry leaders and policymakers focused on the challenges and opportunities that are top of mind right now, including investment, supply chains and policy certainty. And as always, the convention is really about the connections. The conversations that start here often carry well beyond the four days in Toronto.

How has PDAC integrated critical minerals and supply-chain resilience into its program?

Critical minerals and supply-chain resilience are woven throughout PDAC 2026 programming because of their growing importance to electrification, energy systems, infrastructure and advanced manufacturing. Rather than being confined to a single stream, these themes appear across multiple program areas, reflecting how central they are to exploration, investment and development decisions. To name just a few examples, the Technical Program includes sessions such as Hiding in Plain Sight: Critical Minerals Recovery from Base Metals, which looks at how existing deposits and processes can contribute to future supply. In the Capital Markets Program, Metal Supply Security: What Would It Take to Reduce Geopolitical Risk? examines the investment and policy considerations shaping global mineral supply chains. The Short Courses Program also addresses these issues through sessions like Geology of Deep and Shallow Porphyry Copper Deposits and Implications for Exploration, highlighting the geological fundamentals that underpin long-term supply.

Have you observed growing engagement from national governments at PDAC?

Yes. Engagement from national and regional governments at PDAC has grown steadily in recent years, reflecting the strategic importance of minerals to economic growth, energy security and industrial policy. PDAC is the most important meeting place on the industry calendar, and governments recognize the value of engaging here as policies, supply chains and investment priorities are actively being shaped.

How do you assess Mongolia’s potential to attract mineral investment?

Mongolia has long been recognized for its geological potential and its position in global mineral supply chains. Its continued presence at PDAC, including initiatives such as Mongolia Day, reflects a clear commitment to engaging international investors and partners. PDAC provides a valuable opportunity to showcase those strengths, share policy priorities and meet directly with decision-makers. Over time, those conversations help build relationships and reinforce investor confidence, supporting Mongolia’s efforts to position itself as a competitive destination for exploration and development.

How would you characterize the current global investment climate for mineral exploration?

There is more momentum than a year ago, supported by stronger commodity prices and increased attention on minerals needed for electrification, infrastructure and economic growth. At the same time, investors remain focused on competitiveness, regulatory timelines and policy certainty. Exploration companies still face real challenges, including access to capital and permitting complexity. That’s why predictable regulatory frameworks and supportive investment environments matter so much. PDAC provides a place to have these conversations openly and to reinforce what is needed to support investment over the longer term.

What recent federal initiatives are aimed at accelerating critical minerals exploration and strengthening supply chains in Canada?

Federal Budget 2025 included several measures aimed at supporting critical minerals exploration and development. One of the most significant is the commitment to establish a C$2 billion Critical Minerals Sovereign Fund to make strategic investments in projects and companies, helping bridge financing gaps and advance priority supply-chain assets. The budget also expands the Critical Mineral Exploration Tax Credit (CMETC) by broadening the list of eligible minerals to include additional elements essential for defence, semiconductors, energy and clean technologies. Together, these measures are intended to mobilize private capital into early-stage exploration and reinforce Canada’s role in securing critical mineral supply chains.

How does Canada channel mining revenues into public and community benefits?

In Canada, mineral development contributes to public and community benefits through employment, taxation, infrastructure investment and long-term partnerships with Indigenous and local communities. Mining revenues support public services, while projects themselves often create lasting economic opportunities at the regional level. When projects are developed responsibly and in partnership with stakeholders, those benefits can extend well beyond production and support stronger, more resilient communities over time.

Mining Insight Magazine, 2026 №01 (050)

“MiningWeek & MinePro 2026” was successfully held in London on February 24, 2026, in cooperation with the Ministry of Industry and Mineral Resources. The event aimed to enhance foreign investment in Mongolia’s mining sector and strengthen the linkage between strategy and capital.

The event brought together a distinguished group of participants, including Fiona Blyth, Ambassador of the United Kingdom to Mongolia, Erdenetuya Ganbold, CEO of MNMA, representatives of enterprises, UK-based financial institutions, international financial organizations, institutional investors, capital market professionals, and mining sector stakeholders. In total, more than 80 participants attended and exchanged views.

A panel discussion under the theme “From Strategy to Capital” was held, accompanied by project presentations, market discussions, and B2B meetings with investors.