Mongolia eyes C919s for national carrier MIAT www.ch-aviation.com

Mongolia is interested in introducing C919s as part of the renewal of its national carrier's fleet. Following talks with COMAC in Shanghai on September 24, 2026, transport minister Borkhuu Delgersaikhan said any introduction of the aircraft into the fleet of MIAT - Mongolian Airlines (OM, Ulaanbaatar) would depend on factors including airworthiness certification, safety, operational suitability. Previously this year, MIAT expressed interest in purchasing ten Airbus jets and acquiring additional Boeings, while also preparing for future network growth to the United States.

Cable car offers small hope for Mongolia's gridlocked capital www.afp.com

Mongolia's capital Ulaanbaatar has long been plagued by notorious traffic jams and suffocating winter smog -- the result of breakneck urban growth and infrastructure that has struggled to keep up.

Developers now hope that a 4.2-kilometre (2.6-mile) cross-river cable car might help on the margins, cutting a three-hour journey to just minutes.

Weary residents, however, have long wished for a more ambitious response to the city's heavy traffic and pollution problems.

"I think (the cable car) might improve things a bit," 68-year-old Narantsetseg Aleksandr told AFP in one of Ulaanbaatar's sprawling northern suburbs.

"For families living up on these -remote hillside areas, cable cars could be very beneficial since they wouldn't have to rely entirely on buses," he said.

Authorities have long touted various plans to reduce pollution and traffic, which sound "effective on paper" but ended up being "mostly talk", he said.

"There isn't much actual work or real tangible progress being made."

For more than a decade, an underground metro system has been touted for the city to tackle congestion -- but work has yet to begin.

For 25-year-old truck driver Enkhbayar Myanganbayar, metro promises always seemed "far beyond realistic expectations" as congestion in the capital has worsened.

"Ever since I was a child, various ministers have promised to build a metro," he told AFP.

"It was obvious from the start that it was untrue."

In contrast, the Tuul River cable car -- spearheaded by French firm Poma with a concessional loan from the French government -- is already under development and expected to be completed by the end of the year, potentially followed by more lines.

"The project's cost is low and construction is very fast compared with a metro," project manager Cecile Broi told AFP.

Mongolia's capital has expanded significantly since the end of the Soviet-allied communist era.

In 1990, it was home to around half a million people. Now, Ulaanbaatar's population exceeds 1.5 million.

While the city centre is nestled in the Tuul River valley, its sprawling suburbs stretch into the surrounding mountainous areas.

The project is a "perfect illustration of a situation where cable transport makes a lot of sense", Broi said.

By car, getting between the line's two stations can take as long as three hours when traffic is at its worst, she said, while a ride on the cable car will take just 12 minutes.

Construction on the electric cable car, which Poma says will be capable of transporting 2,300 passengers per hour, began last March.

The line will soar over a major thoroughfare, as well as the wide Tuul River floodplain and the Trans-Mongolian Railway.

During cold winters, Ulaanbaatar is frequently ranked as one of the world's most polluted cities and regularly exceeds World Health Organization recommendations for air quality.

For 42-year-old resident Erdenejargal Khorolsuren, solutions could not come fast enough.

She told AFP that the city's incessant traffic has negatively impacted her son's education.

Five years ago, when he began attending a school across the city, "he was full of energy and enthusiasm, but over time the long commute exhausted him", she said.

"His motivation to attend school plummeted and he became constantly fatigued and sick with frequent headaches."

Narantsetseg said that air pollution severely affects quality of life, particularly during the frigid winters when residents in the "ger" districts -- named after traditional nomadic dwellings -- burn coal or other solid fuels to heat their homes.

"Schoolchildren cough a lot from the smoke and catch frequent colds... Buying medicine when (they) get sick puts a real financial strain on us," he said.

Broi, the project manager, acknowledged that a single cable car line will not be a panacea for all of Ulaanbaatar's longstanding woes.

"The usual model is to build a cable transport system that... allows the public to discover the technology, understand how it works and become familiar with this mode of transport," she said.

"Of course, the idea afterwards is to build more of them."

From Rome to the Steppe: Raphael and Bernini Masterpieces Make Historic Asian Debut in Mongolia www.montsame.mn

A landmark art exhibition titled “The Wind of the Great Ocean Across the Steppe: Raphael and Bernini” opened Wednesday at the Chinggis Khaan National Museum in Ulaanbaatar, bringing iconic Italian masterpieces to Mongolia for the first time.

Jointly organized by the Chinggis Khaan National Museum of Mongolia and the Borghese Gallery of Rome, the exhibition marks the first time these works are being displayed anywhere in Asia. It features a portrait attributed to High Renaissance master Raphael Sanzio and a small bronze edition of Gian Lorenzo Bernini’s celebrated marble sculpture "Neptune and Triton."

The exhibition explores the concept of power through contrasting artistic expressions. Raphael’s piece conveys strength through composure, symmetry, and inner peace, while Bernini’s work embodies power through fluid motion, physical intensity, and outward energy. The museum’s spatial design guides visitors on a sensory transition from the dramatic dynamism of the Baroque period into the quiet contemplation of the Renaissance.

"We named this exhibition the Wind of the Great Ocean Across the Steppe to symbolize the historic arrival of artistic masterpieces originating from the shores of the great ocean into the vast Mongolian steppes for the first time. That is why these two magnificent Italian works of art are visiting the homeland of nomads today," said Chuluun Sampildondov, Director of the Chinggis Khaan National Museum.

Chuluun noted that despite being established just four years ago, the museum has rapidly expanded its international reach, including an exhibition in Italy earlier this year that showcased works by the 17th-century renowned sculptor and spiritual leader Undur Gegeen Zanabazar.

Presenting these artworks in Asia for the first time, and specifically in Mongolia, is an extraordinary event. This joint project is a tangible result of professional cooperation between the Chinggis Khaan National Museum and the Borghese Gallery, serving as a vivid expression of cultural relations between Mongolia and Italy.

Professor Francesca Cappelletti, Director of the Borghese Gallery, emphasized the emotional depth of the selected pieces. "Artists of that era sought to capture not just physical appearances, but internal human emotions," Professor Cappelletti said, adding that Bernini's 17th-century innovations in movement continue to resonate across time and borders.

Giovanna Piccarreta, Ambassador Extraordinary and Plenipotentiary of Italy to Mongolia, called the exhibition a modern continuation of the legacy of the Silk Road. She noted the initiative stems from bilateral discussions held between the President of Mongolia, Khurelsukh Ukhnaa, and the Prime Minister of Italy, Giorgia Meloni, in December 2025 to deepen cultural ties between the two countries.

"Art remains one of the most effective tools for building cross-border understanding and connecting peoples through shared human values," Ambassador Giovanna Piccarreta said.

The exhibition will remain open to the public through November 1, 2026.

CAREC ministers gather to adopt regional declaration www.ubpost.mn

Ministers and senior officials from the Central Asia Regional Economic Cooperation (CAREC) program’s member countries met in Ulaanbaatar on September 28 for the program’s 25th anniversary Ministerial Conference. It is the centerpiece of a week of events hosted by Mongolia, this year’s CAREC chair, running from September 28 to October 2. The conference was set to produce the Ulaanbaatar Declaration, which reaffirms the CAREC 2030 strategy and lays the groundwork for cooperation toward the CAREC 2050 vision. 

The conference brought together government officials, ministers and high-level representatives of member countries, along with Asian Development Bank (ADB) leadership and representatives of international and regional organizations and development partners. First Deputy Prime Minister and Minister of Economy and Development J.Enkhbayar delivered the opening remarks, and ADB President Masato Kanda gave the keynote address. The conference reviewed 25 years of cooperation and discussed next-generation priorities: implementing CAREC 2030, the post-2030 vision, green and digital economic corridors, private sector participation, regional public goods, and sustainable, resilient and inclusive growth. Bilateral meetings took place between Mongolian government members and ministers from member countries, development partners and international organizations.

The week opened on Monday with a Development Partners’ Dialogue under the theme “Boosting Trade, Tourism, and Regional Competitiveness”, It was jointly organized by the Ministry of Economy and Development, the ADB and the United Nations Development Programme (UNDP). Deputy Minister of Economy and Development S.Davaasuren delivered remarks on the first day’s proceedings. He highlighted that since joining CAREC in 2003, Mongolia has implemented major projects in regional transport connectivity, as well as infrastructure for roads, border crossings, ports, trade and logistics.

Participants discussed trade facilitation, cross-border transport and logistics, customs cooperation, “Single Window” systems, regional value chains and investment. Tourism was singled out as a new growth driver. CAREC members share Silk Road heritage, the history of nomadic and sedentary civilizations, and distinctive landscapes, and could market them as a unified regional brand with joint tourism products. CAREC’s tourism policy identifies clusters that include Mongolia, such as the “Altai,” “Gobi” and “Steppe” zones.

Business Forum opens 

The CAREC Business Forum opens on September 30 and runs through October 1. It is the first time Mongolia has hosted the event. About 400 delegates from 10 countries have registered, representing governments, international organizations, entrepreneurs, investors, chambers of commerce, business associations and development partners. Pre-event trade coverage had put expected attendance at around 250.

CAREC cooperation has focused mainly on intergovernmental dialogue and infrastructure, but the program is shifting toward private sector participation, investment, innovation and business-to-business (B2B) and business-to-government (B2G) collaboration. Today’s sessions, themed “Scaling Up Investment - Accelerating Infrastructure Transformation,” cover clean energy and regional energy connectivity, smart transport and logistics, and value chains for critical minerals and manufacturing.

A memorandum of understanding to establish the CAREC Chamber of Commerce and Industry Alliance (CCA), an initiative of the Ministry of Economy and Development, is to be signed at the opening. Its inaugural meeting is scheduled for Thursday. The alliance would be a permanent mechanism linking chambers of commerce and business organizations across member countries. 

Trade publication Highways Today reported that CAREC’s current work reaches beyond physical infrastructure into digital logistics, border modernization, energy interconnection, critical minerals value chains and the financing structures needed to draw in private capital. It noted that preparations included a senior officials’ meeting in Ulaanbaatar in June, followed by August discussions on border upgrades, a CAREC Digital Corridor and a Critical Minerals to Manufacturing Financing Partnership Facility. The same outlet cautioned that a wide gap remains between presenting a project pipeline and turning those projects into reality.

Mongolia signaled its aims for the chairmanship early. In December 2025, State Secretary of the Ministry of Finance J.Ganbat said Mongolia was committed to working with all members to build a stable, prosperous and investment-friendly region. ADB set out its own direction at last year’s conference in Bishkek on November 20, 2025, where Kanda announced more than 10 billion USD in ADB financing through 2030 and described the vision as a region that is “economically resilient, environmentally sustainable, socially inclusive, and digitally connected”.

Launched in 2001, CAREC unites 11 countries: Afghanistan, Azerbaijan, China, Georgia, Kazakhstan, Kyrgyzstan, Mongolia, Pakistan, Tajikistan, Turkmenistan and Uzbekistan, along with development partners. Between 2001 and 2025, some 57.9 billion USD was invested in 300 regional projects: 19.7 billion USD from the ADB, 26.5 billion USD  from other development partners and 11.7 billion USD from member governments. The money supported transport corridors, energy connectivity, and border crossing, port and trade facilitation infrastructure. The region is home to 1.8 billion people and an economy of about 20.6 trillion USD, or 16.3 percent of global GDP. Intra-regional trade rose from 1.9 percent in 2001 to 4.9 percent in 2024, and mutual investment from 0.5 to 3.3 percent. The share of people living on less than three USD a day fell from 54.5 percent in 2001 to 17 percent in 2025.

U.S. Department of State Releases 2026 Investment Climate Statement for Mongolia www.mn.usembassy.gov

The U.S. Department of State today announced the publication of the 2026 Investment Climate Statements (ICS), a comprehensive annual report analyzing the business and investment environments of more than 170 countries and economies, including Mongolia. The full report is available HERE https://www.state.gov/reports/2026-investment-climate-statements/mongolia/  

Prepared by economic officers at U.S. embassies and consulates around the world, the Investment Climate Statements help U.S. companies make informed decisions when considering overseas markets. The reports identify potential barriers and market distortions, assess risk, and highlight opportunities to support high-quality investment. They are also a resource for host governments seeking to build business environments that ensure fair treatment for U.S. companies and investors.

The Mongolia chapter reflects the U.S. Embassy’s ongoing assessment of the country’s business climate, an issue the Embassy has prioritized in its engagement with the Government of Mongolia and the private sector. Speaking earlier this year to the American Chamber of Commerce in Mongolia, U.S. Ambassador Richard L. Buangan underscored the urgency of translating reform pledges into concrete results:

“Mongolia needs to move past quick fixes and bandage solutions,” he said. “It must deliver a predictable legal environment where contracts are fiercely protected.”

The Embassy continues to work closely with the American Chamber of Commerce in Mongolia and other stakeholders to advocate for a transparent, predictable, and fair investment climate that benefits both Mongolian and American businesses.

Please see the executive summary below.

EXECUTIVE SUMMARY

Mongolia’s government and Parliament delivered no substantial improvement to the investment climate in 2025. While this frontier market continues to offer potentially lucrative opportunities in the natural resource sector, caution is warranted due to:

Vulnerability to external economic and financial shocks

Ineffective dispute resolution

Lack of input from stakeholders during rulemaking and

Increased risk of expropriation

Investing in such potentially lucrative but politically sensitive sectors as mining and energy carries substantial political risks. More positively, Mongolia imposes few market-access barriers, and investors face few investment restrictions, enjoying mostly unfettered market access. Franchises such as fast food and convenience stores have outperformed expectations, suggesting that investors can bring successful international business models to Mongolia. The agricultural and livestock sectors also show strong promise. Mongolia attracts investor attention but has trouble converting interest into investment. Unless and until Mongolia embraces a stable business environment that transparently creates and predictably implements laws and regulations, investors may find Mongolia too risky and opt for more competitive countries. Businesses face substantial and unpredictable regulatory burdens at every level and state that officials across ministries and agencies routinely contravene existing laws and regulations. Investors cite long delays obtaining court judgments, followed by equally long delays enforcing decisions, and report that such administrative bodies as the General Tax Authority are so chronically unable and unwilling to resolve disputes that their behavior is an indirect expropriation risk. Investors are particularly concerned about a tax process that effectively lets officials issue excessive, confiscatory tax assessments to coerce settlements. The perception that the government favors its own state-owned entities over private sector companies discourages existing investors from expanding, and new investors from coming. Finally, Mongolia passed a 2024 package of laws aimed at reestablishing its sovereign wealth funds by, among other steps, limiting each private sector owner to no more than 34 percent of mining assets designated by Parliament as strategic deposits and requiring private owners to transfer no less than 34 percent to the state without compensation. Investors consider these requirements expropriatory and fear the government could apply them to all mining projects and potentially to sectors outside resource extraction. Investors have asked government and legislative leaders to amend these provisions while ensuring a balanced sharing of mining benefits, including revenues. Businesses and investors state that the government’s public demands for 60 percent of all mining revenues, if enacted into law, would drive exploration and mining entities away from Mongolia. In 2026, Parliament passed legislation to streamline permitting and licensing processes and remove other bureaucratic burdens. However, these laudable efforts come without any commitment to improve implementation, making government and Parliament actions more symbolic than practical.

Cable Car Transport to Be Commissioned on December 15 www.montsame.mn

 The "Cable Car Transport" project is being implemented to diversify public transportation in Ulaanbaatar, improve service standards, increase accessibility, and reduce traffic congestion.

Construction and assembly work for the project is fully complete, with overall progress currently reaching 90 percent. The cable car line is scheduled to open on December 15. Running along the Yarmag–Kharkhorin route, the 4.2-kilometer system with two stations will transport 2,320 passengers per hour using 98 cabins.

Munkhbayasgalan B., Project Manager at Monnis Engineering, stated, "The mechanical assembly of the cable car transport is fully finished. Safety testing and calibration are currently underway. Under our subcontracting agreement with France's Poma Group, our company is executing its assigned work on schedule. By December 15, the cable car will be ready for public use. A team of 56 personnel is currently working on-site."

Additionally, 48 rules and regulations necessary for starting passenger operations have been received from the main contractor, the Poma Group of France, and translated into Mongolian.

Japan, Mongolia agree on airport, energy cooperation www.nhk.or.jp

The leaders of Japan and Mongolia have agreed on support for the expansion of Chinggis Khaan International Airport near the Mongolian capital and to cooperate in the field of energy.

Japanese Prime Minister Takaichi Sanae met with her Mongolian counterpart Nyam-Osor Uchral at the Prime Minister's Office in Tokyo on Tuesday.

At the outset of the summit, Takaichi said Japan will continue to support Mongolia's freedom to decide for itself and resilience under the updated "Free and Open Indo-Pacific" vision as a peace-loving nation as well as Mongolia's most important "third neighbor."

The leaders have agreed that Japan will provide assistance through the yen loan to expand the international airport near Ulaanbaatar. They also concurred that the two countries will actively work together in the fields of oil reserves and renewable energy, in light of Mongolia's dependence on Russia for oil products.

Both sides affirmed that they will advance discussions on cooperation in other fields, including security and artificial intelligence. They also confirmed that the Japan External Trade Organization, or JETRO, will work to open a Mongolian office.

Additionally, Takaichi expressed her gratitude for Mongolia's understanding and cooperation on the abduction issue of Japanese nationals, as the country has friendly ties with North Korea.

Japan-Mongolia Summit and Working Dinner www.mofa.go.jp

On September 29, commencing at 5:45 p.m. for approximately 35 minutes, Ms. TAKAICHI Sanae, Prime Minister of Japan, held a Summit with H.E. Mr. Nyam-Osor UCHRAL, Prime Minister of Mongolia, who is on an official working visit to Japan.  Following the meeting, the two leaders had a working dinner for approximately 60 minutes.

At the outset, Prime Minister TAKAICHI welcomed Prime Minister Uchral’s visit to Japan his first bilateral visit since taking office and stated that, as the most important “Third Neighbor”, Japan would continue to support strengthening Mongolia’s freedom to decide for itself and resilience under the Updated “FOIP”. In response, Prime Minister Uchral highly appreciated Japan’s long-standing contributions to peace and stability of the international community as a peace-loving nation and stated that Mongolia would steadily implement the 2022 Joint Statement.
The two leaders concurred to pursue further cooperation under “the Special Strategic Partnership for Peace and Prosperity ”, and concurred on further discussing cooperation in the security field as well, and, moreover, in new fields such as Artificial Intelligence.
Marking the 55th anniversary of the establishment of diplomatic relations’ next year, with this Summit as a kick off, the two leaders concurred in jointly reviewing progress in areas of cooperation, particularly in the economic sector, and strengthening their collaboration. Furthermore, in light of Mongolia’s robust economic growth in recent years, the two leaders discussed how to further deepen bilateral economic cooperation under the Updated “FOIP”. Furthermore, the two leaders concurred in deepening discussions utilizing the Japan-Mongolia Government and Business Sector Joint Committee scheduled for November this year, in order to promote the improvement of the business environment championed by Prime Minister Uchral, and to promptly commence negotiations with a view to concluding a bilateral tax convention in order to develop cooperation in the economic field. They also concurred in holding preliminary consultations on a social security agreement in the future. Furthermore, Prime Minister Uchral requested the opening of a JETRO office in Mongolia, to which Prime Minister TAKAICHI responded that Japan would cooperate towards its establishment. In addition, Prime Minister TAKAICHI announced that long-term dispatchment of the “NIHONGO Partners” would commence this year, to which Prime Minister Uchral expressed his gratitude.
The two leaders welcomed the signing and exchange of the Exchange of Notes (E/N) concerning the yen loan for the expansion of Chinggis Khaan International Airport, in which Japanese companies are involved in its operation and concurred on the importance of cooperation between Japan and Mongolia at the airport, which is key to improve air connectivity. This cooperation will help to promote trade and business of Japanese companies with Mongolia.They also concurred to actively cooperate in the fields of oil reserves and renewable energy under the POWERR Asia.
The two leaders concurred to further strengthen cooperation in international fora, including the United Nations, and to work together to promote regional peace and stability. Prime Minister TAKAICHI also expressed support for Mongolia’s candidacy for the Security Council of the United Nations in 2047. Prime Minister TAKAICHI once again expressed her appreciation for Mongolia’s understanding and cooperation on the abductions issue.

Critical minerals will define the next industrial era www.mongolianminingjournal.com

The proposed amendments to the Minerals Law are expected to formally establish a critical minerals category and list, creating a new legal framework to support investment in the sector. The Ministry of Industry and Mineral Resources and the National Geological Survey have announced that preparations are underway to include 19 types of minerals on the country's critical minerals list.

Reflecting the transition to renewable energy and global market demand, the proposed list will primarily include copper, non-ferrous metals, and rare earth elements.

However, the geology and exploration sector—the foundation for implementing these policy reforms—has stagnated, continuing to limit the potential for major new discoveries.

Of the 2,817 valid mineral licenses nationwide, 1,778 are mining licenses, while only 1,039 are exploration licenses. The number of exploration licenses is nearly half that of mining licenses, indicating that the continuity of geological exploration has been disrupted and the pace of exploration has slowed.

Although the government has increased funding for basic geological surveys, investment from the state budget remains limited. Ultimately, it is clear that reviving the exploration sector will require attracting private investment.

Mineral exploration frequently faces local opposition due to a widespread perception that exploration inevitably leads directly to mining. The minister said the proposed amendments therefore include specific provisions to clearly distinguish the lower-impact exploration stage from mining, while also addressing environmental, social and governance (ESG) considerations and ensuring that socioeconomic benefits remain in local communities as projects transition to the mining stage.

By simplifying the exploration licensing process and making engagement with local communities more transparent and institutionalized, Mongolia could accelerate geological exploration for the next generation of strategically important deposits comparable to Oyu Tolgoi and Erdenet. By unlocking its vast reserves of strategic minerals such as copper, rare earth elements and lithium, the country could strengthen its position in the global critical minerals network and emerge as a key player in global supply chains.

Its geographic proximity to major Asian consumers such as China, South Korea, and Japan offers a significant advantage in reducing export costs and expanding strategic partnerships. Moreover, Mongolia has considerable potential to move beyond simply extracting and exporting raw materials by processing them domestically and adding value.

ADB LAUNCHES NEW FUND TO STRENGTHEN SUPPLY CHAINS

We have been talking about "critical" minerals for quite some time. Although Mongolia has yet to officially announce which minerals will fall into this category, the rest of the world is already taking an interest. According to the Asian Development Bank's (ADB) Market Assessment of Critical Minerals in Mongolia, Mongolia is currently active at the extraction stage for only a limited number of minerals, primarily copper and fluorspar.

Yet the country has vast mineral resources, including 61.4 million tonnes of copper, 37.4 billion tonnes of coal, and around 1.2 billion tonnes of iron ore. It also hosts major rare earth deposits such as Khotgor and Khalzan Buregtei, with combined resources of around 3.5 million tonnes. Beyond these, Mongolia has substantial geological resources of critical minerals, including copper, lithium, rare earth elements, tungsten, uranium, fluorspar, graphite, and nickel.

The Critical Minerals-to-Manufacturing Financing Partnership Facility, established at the 59th Annual Meeting of the Asian Development Bank (ADB), aims to help the region move beyond mineral extraction into processing, recycling and other higher-value-added activities.

In other words, it seeks to help countries across Asia and the Pacific become not merely suppliers of raw materials, but value creators in global critical minerals supply chains.

ADB President Masato Kanda said, "Critical minerals will shape the next industrial era. Asia and the Pacific should be more than a source of raw materials. The region should also capture the jobs, technology, and value these minerals provide." He added, "This facility is about urgency and fairness: building responsible supply chains now, so our developing member countries can compete in advanced manufacturing and create opportunities at home."

The facility has two main components. Grant Window: This window will fund early-stage project activities, including feasibility studies, environmental and social impact assessments, technical assistance, and knowledge-sharing. The Government of Japan has committed $20 million to the Grant Window, while the Government of the United Kingdom has committed $1.6 million.

Catalytic Finance Window: This window is designed to bring in cofinancing and risk-sharing from other financing partners. Korea Eximbank and the Korea Trade Insurance Corporation (K-SURE) each signed a $500 million memorandum of understanding, becoming the facility's first partners.

The facility builds on ADB's 2025 strategy to support responsible and sustainable critical minerals-to-manufacturing value chains across the region. ADB is already supporting several projects, including geological data mapping in Mongolia.

DEMAND FOR SOME CRITICAL MINERALS TO RISE SEVERAL-FOLD

Over the next 25 years, global demand for some minerals is projected to increase several-fold. Compared with 2024 levels, demand for platinum group metals is expected to rise 66-fold, while demand for lithium could increase 8–13-fold and manganese 18–29-fold.

However, ADB estimates that by 2040, current production capacity will meet only 35% of lithium demand, 59% of copper demand, 70% of cobalt demand, and 76% of nickel demand, highlighting the risk of a significant global supply shortfall.

According to several studies, mine production is expected to continue rising until 2030, peaking at 27 million tonnes. However, unless major new deposits are developed, declining ore grades at existing mines could cause output to steadily fall after 2030, reaching 22 million tonnes by 2040.

Over the same period, the supply of secondary, or recycled, copper is expected to rise from 4 million tonnes in 2025 to 10 million tonnes by 2040, but this will not be enough to keep pace with rapidly growing demand. By 2040, global copper supply is projected to reach 32 million tonnes, compared with a demand of 42 million tonnes, leaving a supply shortfall of 10 million tonnes.

ENERGY INFRASTRUCTURE CHALLENGES

Despite rapidly growing demand and the discovery of new deposits, there are several reasons why mining and processing have yet to get fully underway. Inflation has driven up project costs, while permitting procedures and ESG requirements have lengthened development timelines. At the same time, tighter lending conditions and higher interest rates have made financing more difficult. A range of other factors, from commodity price volatility to government policy, may also warrant closer scrutiny.

In fact, mineral smelting and refining are highly energy-intensive processes. For example, energy accounts for around 25% of the operating costs (OPEX) of copper smelting and refining, giving countries with access to low-cost, reliable electricity a competitive advantage.

China currently dominates global mineral processing, accounting for 100% of the world's processing capacity for natural graphite and dysprosium, more than 90% for manganese, 70% for cobalt, nearly 60% for lithium, and 40% for copper.

For Mongolia, constraints in basic energy infrastructure currently limit its ability to provide processing plants with a continuous and reliable power supply. In addition, flawed government policy decisions, a lack of policy continuity, and frequent changes to the legal and regulatory environment are sending signals of political risk to international markets, making it increasingly difficult for Mongolia to attract investment.

By O. Dulguun

Construction of President Sports Complex Begins www.montsame.mn

 Construction of the “President” Sports Complex, named after the heads of state of Mongolia and China, has officially begun. The project is a major development aimed at strengthening friendly relations and cooperation between Mongolia and China and making a tangible contribution to the development of physical education and sports.

The sports complex will provide children, young people and the public with opportunities and facilities to engage regularly in physical education and sports, while supporting athletes’ training and contributing to the advancement of sports development and cooperation. The project is also intended to further strengthen friendship, mutual understanding and long-term cooperation between the peoples of the two countries through sports and physical education, while creating a lasting facility for future generations.

The complex will be built in a green recreational area east of the Dunjingarav Shopping Center and in the northern part of the National Garden Park. The complex will have a daily capacity for around 4,500-6,000 children and young people to engage in sports and a total service capacity of 8,000-10,000 people. It will have a capacity to accommodate 1,327 people at a time.

Covering 58,560 square meters, the complex will offer facilities for 19 sports, including basketball, volleyball, football, swimming, tennis, table tennis, air tennis, squash, boxing, wrestling, rock climbing, fencing, shooting, archery, fitness, yoga, spinning, and cycling.