The Government has decided to launch an international Expression of Interest (EOI) process to bring the Borteeg coal deposit, part of the strategically significant Tavan Tolgoi deposit group, into economic circulation. The decision was made at a Cabinet meeting, with the EOI announcement scheduled for January 9, 2026.
Under Resolution No. 103, adopted by the Parliament on November 14, 2025, the Government was instructed—within the framework of implementing the Law on the National Wealth Fund—to bring unused sections of the Tavan Tolgoi deposit group into economic circulation. The resolution aims to ensure equal benefits for current and future citizens and to promote the long-term, efficient utilization of strategic mineral resources.
At its most recent meeting, the Government of Mongolia established a working group tasked with preparing the Borteeg section of the Tavan Tolgoi deposit for economic circulation and conducting the investor selection process.
As part of this effort, the Government plans to implement a phased approach that includes providing investors with transparent and open access to information, collecting proposals, organizing the selection process, and submitting the results to the Government and Parliament. In the initial phase, an international EOI will be announced on January 9 to gauge investor interest.
A Project with a Solid Foundation
The Borteeg deposit lies within the special license area held by Erdenes Tavan Tolgoi JSC, which encompasses several strategically important coal deposits within the Tavan Tolgoi group, including Tsankhi, Bortolgoi, Onchkharaat, and Borteeg.
A technical and economic feasibility study (TEFS) for the Borteeg deposit was prepared in 2020, and detailed exploration has been conducted in accordance with JORC standards. A refined and validated TEFS is expected to be completed in the first quarter of 2026.
Global Coal Market Context
Global trends in the coal market indicate a growing share of electricity and renewable energy in China’s energy mix, alongside increasingly stringent climate policies. As a result, there is a growing risk that coal demand and prices could decline significantly after 2030.
In response, many countries are pursuing policies to bring coal deposits into economic circulation swiftly and in phases over the next five years, maximizing export opportunities to sustain economic returns, revenues, and profits.
Key Principles for Developing the Borteeg Deposit
The Government has outlined the following principles for bringing the Borteeg deposit into economic circulation:
- Soliciting investor proposals through a transparent and open EOI process
- Determining coal prices based on market principles
- Ensuring that the majority of project benefits accrue to Mongolia
- Supporting value-added development and production
- Conducting all processes, stages, and activities in a transparent and open manner
Expected Outcomes
Once the Borteeg project begins generating tangible revenue, it is expected to:
- Increase the benefits that citizens derive from natural resources
- Strengthen the National Wealth Fund
- Expand fiscal space and financial resources to address pressing social and economic challenges facing citizens and domestic producers
The Government views the Borteeg project as a key step toward maximizing the value of Mongolia’s strategic coal resources while ensuring transparency, fairness, and long-term national benefit.
