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Mongolia's first coal processing plant

SEDGMAN has secured a $A20 million contract from Energy Resources for a new coal handling and pro...

Claire Svircas
Mongolia's first coal processing plant

The contract to provide engineering design, procurement and construction management services is the first won through the company’s Beijing office, which opened in mid-2008.

Sedgman managing director Mark Read said the UHG project was strategically important to the company given the region’s future development potential.

“This coal processing plant is the first to be built in Mongolia and will set the standard for future mine developments here,” Read said.

“The South Gobi region is forecast to grow production rapidly due to its close proximity to China’s major steel makers.”

The 800-tonne per hour Phase 1 coal handling and processing plant is due to be completed in 2010.

Sedgman will start work on the design immediately.

Production is planned to double at the UHG mine on completion of a new rail link to China in 2011.

Sedgman remained unchanged at 46c in morning trade.

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