Russia, Mongolia Form Working Group To Examine Feasibility Of A Western Rail Corridor www.russiaspivottoasia.com

Mongolia and Russia have agreed to establish a working group, including representatives from China, tasked with finalizing the design details and financing terms for the Russia-Mongolia-China western railway corridor. The decision came after a meeting between Mongolian Deputy Prime Minister Nyamtaishiryn Nomtoibayar and Russian Deputy Prime Minister Alexei Overchuk.

The Mongolian government stated that “Minister Nomtoibayar expressed interest in advancing the western railway corridor project, a matter previously discussed by the two countries’ leaders during the Shanghai Cooperation Organization (SCO) summit. The railway project should be a key hub for regional trade, investment, and transport logistics.”

Overchuk emphasized the great importance of the trade and economic sphere for expanding and developing cooperation between the two countries.

Mongolia proposed constructing a railway from the northwestern border with Russia to the northwestern border with China as part of efforts to develop cooperation with the Eurasian Economic Union and China in June this year. The planned corridor is intended to link Russia with Mongolia’s Uvs Province via the Arts Suuri checkpoint on the border with Tuva, the Bulgan checkpoint in Khovd Province, and the Takshiken checkpoint on the border with China’s Xinjiang Province.

China has responded positively to the initiative, as the intensification of railway construction is part of the country’s development plan for the upcoming five-year period. Mongolian President Ukhnaagiin Khurelsukh discussed the project with President Vladimir Putin during the SCO summit in early September.

Russia, China, and Mongolia are currently implementing a project for another railway corridor linking the three nations from Altanbulag, the largest border crossing in Mongolia, on the border with Buryatia, to Zamyn-Uud on the southeastern border with China. Constructing the railway is part of the program to establish an economic corridor running from Russia through Mongolia to China. The line should be completed in 2031.

Mongolia Submits Candidacy for UN Security Council Non-Permanent Seat for 2048–2049 www.montsame.mn

President of Mongolia Khurelsukh Ukhnaa announced Mongolia’s candidacy for election as a non-permanent member of the United Nations Security Council for the 2048–2049 term while attending the 81st session of the UN General Assembly in New York, the United States.

While addressing the General Debate of the 81st UN General Assembly session to outline Mongolia's position on pressing international relations issues, foreign policy goals, priorities, and socio-economic status, he emphasized that Mongolia believes "UN Security Council reform must be at the core of UN reform." Consequently, Mongolia maintains a principled position advocating for an increase in both permanent and non-permanent seats on the UN Security Council, adequate representation for developing countries, and greater openness and transparency in its operations.

Mongolia is one of 58 countries that have never served as a non-permanent member of the UN Security Council.

President of Mongolia Khurelsukh Ukhnaa stated, "Our country strives to actively participate in the Security Council's activities and contribute to finding collective solutions to the issues and challenges facing the international community. Thus, Mongolia officially announces its candidacy for a non-permanent seat on the UN Security Council for the 2048-2049 term."

‘Gasoline disruption may last 2 to 3 years’ www.ubpost.mn

The country’s fuel shortage has stretched to roughly 50 days, with the wholesale price of AI-92 fuel climbing from 85 to 105 USD per tonne over the past month, the government’s fuel supply task force reported at a regular meeting on September 21.

State Secretary of the Ministry of Industry and Mineral Resources B.Dashpurev briefed the task force, established by Prime Minister’s order, on the country’s response to the crisis. He explained that the Ulaanbaatar Railway system currently holds a reserve of 79 railcars of AI-92 fuel, and a contract to import 8,000 tonnes of the fuel from China this month remains on track.

B.Dashpurev attributed the price spike largely to the deteriorating situation in Russia, where drone strikes have damaged oil refineries. He estimated that disruptions to Russian fuel supply could persist for two to three years, given the scale of repair and restoration work required.

To offset the shortfall, authorities are diversifying import sources. Mongolia has already brought in 2,000 tonnes of AI-92 fuel from South Korea, and officials are in talks to secure additional supply from Malaysia, Singapore and Belarus. A preliminary agreement has also been reached to import 20,000 tonnes of fuel from China next month, and all border crossings have been opened to facilitate imports.

The government’s policy is to hold the price of standard AI-92 fuel steady or limit increases to a minimum, officials said, while prices for AI-95 and diesel will continue to move according to market principles.

Distribution imbalances are also straining supply in the capital. Stocks of AI-92 fuel in Ulaanbaatar are running low as reserves are redirected to rural areas, and four provinces are currently experiencing delivery delays. Officials noted that Euro-95 fuel supplies remain sufficient nationwide, with the shortage concentrated in standard AI-92 grade. Businesses have been urged to build up their own reserves as a precaution.

Responding to public complaints over fuel quality, the task force said inspections and monitoring of fuel currently on sale would be carried out. Price data for October is expected to be released on September 25, officials added, as authorities prepare fuel storage capacity ahead of anticipated continued volatility.

Mongolia, Australia discuss increasing Oyu Tolgoi returns and localizing technology www.gogo.mn

On September 22, 2026, Prime Minister of Mongolia N.Uchral received Milton Dick, Speaker of the House of Representatives of Australia, and held broad discussions on bilateral cooperation.

Prime Minister N.Uchral described Australia as an important “third neighbor” and a close partner in the Pacific region, sharing common values with Mongolia including democracy, human rights, the rule of law, and a market economy.

He noted that mining and mineral resources are among the key areas of economic cooperation between the two countries, with the Oyu Tolgoi project being a major example.

The Prime Minister highlighted the Government’s negotiations with Rio Tinto Group, noting that progress had been made in reducing project costs and increasing the returns accruing to the Mongolian side. He said Mongolia would continue working to maximize the project’s long-term benefits, develop a national workforce, increase the participation of domestic companies in the project’s supply chain, and localize technology and know-how.

Prime Minister N.Uchral also expressed interest in increasing bilateral trade and making its structure more balanced, diversified, and mutually beneficial, particularly by expanding the range and volume of Mongolian exports to Australia.

He said the Government is implementing comprehensive reforms to improve the investment and business environment and protect investors’ legitimate interests. In particular, he highlighted the “Let’s Free” initiative, which he originally proposed while serving as Speaker of Parliament and is now being advanced as a government policy, focusing on reducing bureaucracy, transferring certain government functions and services to the private sector, and promoting investment and innovation.

The Prime Minister also expressed interest in working with Australia, a global leader in renewable energy, to draw on its expertise in investment, technology, standards, accreditation, and professional training.

In particular, Mongolia proposed cooperation in specialist training and certification by studying Australia’s accreditation system for photovoltaic (PV) installers and designers, with the aim of improving safety and quality in the installation and operation of rooftop solar power systems.

Bilateral trade reached USD 66.8 million in 2025, while approximately 28,000 Mongolian citizens live in Australia.

The Prime Minister also requested Australia’s attention to improving visa conditions and post-graduation employment opportunities for Mongolian students studying in the country.

The two sides aim to advance Mongolia-Australia relations toward a Comprehensive Partnership and translate agreements reached during high-level reciprocal visits into concrete results.

Plan Presented to Reach USD 5.5 Billion Foreign Investment www.montsame.mn

At the regular session of the Cabinet of Mongolia on September 23, 2026, Dorjkhand Togmid, Deputy Prime Minister, presented a draft action plan for implementing comprehensive measures to attract, retain, and support investments.

The 2026-2028 plan aims to attract foreign investment, steadily increase its inflows, and retain capital in Mongolia. A primary objective is to bring the country's annual foreign direct investment inflows to USD 5.5 billion by 2028.

Deputy PM Dorjkhand emphasized that both foreign and domestic investments are crucial for ensuring sustainable economic growth, diversifying the economy, boosting productivity and competitiveness, and introducing new technology, knowledge, and innovation.

The action plan was developed across five key areas:

Creating a favorable legal environment for investment
Developing a system to attract foreign investment 
Strengthening institutional capacity and human resources
Resolving the grievances of foreign investors
Establishing an investor aftercare system
The plan will be jointly implemented by the Ministry of Economy and Development, the Ministry of Foreign Affairs, the Ministry of Finance, and the Ministry of Digital Development, Innovation and Communications.

Coal Pyrolysis Plant to Be Built in Baganuur through Public-Private Partnership www.montsame.mn

At its regular meeting, the Government decided to establish a coal pyrolysis plant based on the Baganuur coal mine through a public-private partnership.

The Board of Directors of Chinggis Khaan Sovereign Wealth Fund Holding LLC was tasked with establishing Baganuur Coal-Chemical Plant LLC, which will operate the plant, in partnership with a legal entity owned by the capital city. Chinggis Khaan Sovereign Wealth Fund Holding LLC will hold 67 percent of the company’s total issued common shares, and the remaining 33 percent will be held by a shareholder to be determined by a resolution of the Citizens’ Representative Khural of the Capital City.

To reduce air pollution in Ulaanbaatar, Prime Minister Uchral Nyam-Osor has instructed that construction of the coal pyrolysis plant, with an annual capacity to produce 600,000 tonnes of semi-coke and a 40 MW thermal power plant, and employing 400 people, begin in the fourth quarter of this year and be commissioned in the first quarter of 2028.

Chinggis Khaan Sovereign Wealth Fund Holding plans to exercise its ownership stake through Erdenes Industrial and Technological Park LLC, while the capital city plans to exercise its stake through Ulaanbaatar Partnership Fund Private Fund LLC.

The adoption of the Government resolution establishes the legal entity representing the public-sector partner and creates the conditions for conducting the selection process, concluding the partnership agreement, and preparing for construction.

Temuulen Appointed Minister of Justice and Internal Affairs www.montsame.mn

At the plenary session of the State Great Khural on September 22, Members of Parliament approved the appointment of MP Temuulen Ganzorig as Minister of Justice and Internal Affairs, and he took the oath of office as a member of the Government.

Temuulen, Minister of Justice and Internal Affairs, was born in 1981 in Ikhtamir soum, Arkhangai aimag. He holds a degree in international relations and contract law and a master’s degree in public administration.

2003- BA in International Relations, American University

2005- MA in International Public Administration, American University

2006- Officer, Contract department, Mineral resources and petroleum authority of Mongolia

2007- Senior Officer, Contract Department, Mineral Resources and Petroleum Authority of Mongolia

2008 – 2009  Head of Contract department, Mineral resources and petroleum authority of Mongolia

2009 – 2014 Deputy Director, State-owned “ERDENES MGL” LLC

2013 – 2015 Board member, “OYU TOLGOI” LLC

2014 – 2015 Deputy Minister of Mining of Mongolia

2015 – 2020 President of the Social Democracy-Mongolian Youth Association

2015 – 2020 Board member of the Mongolian People's Party

2016 – 2020 Member of the State Great Khural (Parliament) of Mongolia

2020 – 2024 Member of the State Great Khural (Parliament) of Mongolia

2022-2024 Chair of the Budget Standing Committee of the State Great Khural

2024 Member of the State Great Khural of Mongolia

2024 Chair of the Standing Committee on Security and Foreign Policy of the State Great Khural

Mongolian herders enlist new tech against harsher, drier climate www.france24.com

"If they drank or stepped into it, the whole flock would be destroyed," she told AFP outside her traditional ger, the tent's shape silhouetted on the vast horizon of the Gobi Desert.

But thanks to an app helping herders navigate the risks that climate change is bringing to Mongolia, her husband was able to reach the sheep before they drank the brackish water.

"He immediately rushed over at top speed and intercepted them," said Ganchimeg, a mother of four who, like many Mongolians, goes by just one name.

"If we hadn't used that GPS tracker, we might have lost our entire flock."

Herders are on the frontline of both climate change and desertification impacts -- climate change is bringing extreme weather, including deadly cold snaps and droughts, which compound desertification caused by overgrazing.

Huge and sparsely populated, Mongolia is disproportionately affected by human-driven climate change, threatening the country's nomadic population and livestock.

Bilgudei Gankhulug, the 26-year-old founder of the Hunu app used by Ganchimeg, told AFP he was inspired to help herders after a 2024 "dzud" -- an extreme weather event that brought temperatures as low as minus 45C.

"Over eight million livestock died. I saw a lot of herders losing their income, losing their livelihoods in just the span of a few months," said Bilgudei.

Meaning "strong nomad", the name Hunu "embodies our mission of empowering nomadic herders with the help of technology," he said.

'Strong nomad'
The app allows nomads to track their livestock with a solar-charging GPS device attached to one animal per group -- sufficient for herds that tend to stick together on the spacious steppe.

It has an artificial intelligence-powered weather feature with updates on the deadly dust storms and blizzards made more common in recent years by climate change, which scientists say is intensifying globally.

The app also compiles useful information on maps showing snow depth, wind direction, soil moisture and drought, assisting nomads in crucial decisions on where to move next.

Mongolia hosted talks on a global desertification treaty, known as COP17, last month.

Countries agreed financing for land restoration and tackling drought resilience, but concerns remain over a massive funding shortfall to the growing problem.

Bilgudei told AFP he hopes to expand Hunu to central Asian countries, and met with pastoralists from Tanzania and Uruguay at COP17 interested too.

"Our problems are pretty similar," he said.

Global dilemma
About 80 percent of Mongolia is rangelands, large tracts of unfarmed land covered by native grasses and shrubs, according to Chimeddorj Buyanaa, Mongolia conservation director at the World Wildlife Fund.

"Rangelands are critically important for the local communities and also for the livelihoods of all of the Mongolian people," he told AFP.

Compounding the issue of climate change is rampant overgrazing that also endangers the region's wildlife, including snow leopards and saiga antelope, Chimeddorj said.

Around one in four Mongolians are nomadic herders.

Nearly 82 percent of the country's territory is affected by desertification and land degradation, authorities said in August.

Many herder families have simply decided to pack up and seek new lives in the city.

"Dundgovi Province's population has been declining continuously in recent years," the southern region's governor, Munkhchuluun Samdannyam, told AFP at COP17.

The worsening climate is a major problem for the province -- three-fifths of its economy depends on livestock husbandry, Munkhchuluun said -- but consequences are felt further afield.

"Dust storms can begin here and travel south to China, Korea, Japan and even as far as the United States," Munkhchuluun said.

"(It) is not only Mongolia's problem.

"It is also a global problem."

'Learn from traditions'
Speaking to AFP before heading to milk several camels tethered nearby, 49-year-old herder Bolormaa Erdenee said she was sceptical of forums like COP17.

"I often question whether the true voice of our herders is actually reaching decision-makers or not," she said.

Bolormaa and her husband raise about 400 livestock.

In their usual summer grazing area, she said roads for heavy mining trucks now criss-cross the steppe, kicking up dust and disrupting her animals.

Several nomadic households nearby have already relocated nearly 200 kilometres (125 miles) away in search of greener pastures.

Hunu app founder Bilgudei -- whose ancestors were nomadic herders -- said traditional migration itself is a form of environmental protection.

Bilgudei told AFP it's important to "learn from the traditions... and combine it with the science and technology".

Petro Matad halts Mongolian oil production amid ongoing dispute with PetroChina www.pluang.com

Petro Matad has stopped production at its Heron-1 and Gazelle-1 wells in Mongolia after PetroChina ordered a halt to deliveries of Block XX crude, continuing a dispute over their 2026 Oil Sales Agreement. Despite PetroChina's earlier written assurance that issues were resolved, internal discussions at PetroChina's head office have delayed invoice processing, leading to storage capacity concerns and a delivery stop ahead of Chinese national holidays. Petro Matad is escalating the issue through government and diplomatic channels while exploring alternative buyers. The company remains financially stable to operate into 2027 despite the sales delay.

Petro Matad production halt in Mongolia is the subject, with Pluang's energy sector market data providing context. As of Sep 22, 2026 10:51 WIB, 11 of 35 priced Energy-sector US stocks rose while 24 fell. Notable prices include Sunrun Inc (RUN) at USD 8.79 with a 3.05% increase, Exxon Mobil Corporation (XOM) at USD 158.32 with a 2.98% decrease, and Ecopetrol SA (EC) at USD 17.06 with a 2.96% decrease.

Russia limits diesel exports as Mongolia details its confirmed orders www.energynews.pro

Since August 1, 2026, Russia has enforced a temporary ban on exports of certain types of fuel, including diesel, accompanied by exceptions whose precise conditions determine the legality of each shipment. Volumes attributed to traders, published on September 21, 2026 and describing deliveries of Russian diesel to neighboring countries during this restriction period, remain without independent confirmation at this stage.

The regulatory framework and its exceptions
Decree No. 954 of the government of the Russian Federation, titled "On the establishment of a temporary ban on exporting certain types of fuel," was signed on July 30, 2026 before entering into force on August 1. It was subsequently amended by Decree No. 1097, signed on August 28, 2026. A first exception covers shipments made under intergovernmental agreements, within the limits of the applicable balances or protocols, and remains in force until September 30, 2026 inclusive. Other countries are adjusting their own diesel-related measures in parallel: France has extended the sale of summer-grade diesel until November 15, while Greece is preparing support for heating oil and road diesel prices.

The text then provides for an additional exception to enter into force on October 1, 2026, whose conditions concern in particular exports made directly by producers. This change in regime must be verified for each export, since its conditions of application differ from those of the intergovernmental exception currently in force. The general ban regime, for its part, is set to end on January 31, 2027 inclusive, a deadline distinct from the one governing intergovernmental deliveries.

Mongolia's orders, a partial indicator
The Mongolian government published, on August 5, 2026, a meeting report stating confirmed orders for 178,650 tonnes of diesel from Russian, Chinese and South Korean suppliers, for the month of August 2026. This figure describes planned purchases from suppliers of various origins; it measures neither Russian deliveries alone nor volumes actually recorded at the Mongolian border.

Mongolia belongs to East Asia, not Central Asia. A total presented as covering "Central Asia" but including this country should therefore be described through the explicit list of countries concerned, a distinction that also applies to aggregates including Afghanistan, which fall under a different scope and are not directly comparable to other regional totals.

Volumes without independent confirmation
The quantities by destination country, Russian production and deliveries intended for the domestic market, put forward by anonymous traders and an anonymous industry source on September 21, 2026, have not been found in any accessible customs, statistical or primary industry record. The available material therefore does not make it possible to validate the announced monthly increase, its breakdown by country, or its explanation through a production rebound. The existence of a regulatory exception does not by itself prove that every cargo reported by traders used that route: establishing such a link would require matching export declarations against the corresponding intergovernmental agreements, indicative balances or protocols.