China Restricts Transportation of Metallurgical Coal by Truck to Ceke

摘要

It has turned out that China has restricted the transportation of metallurgical coal by truck from Mongolia to Ceke having a border with Mongolia. Ceke is a transshipment station for Mongolian metallurgical coal, and the coals produced at the respective coal mines in Mongolia are trucked to Ceke, where those are shipped by rail, etc. to the customers within China. In view of this, if the transportation of metallurgical coal by truck is restricted, the export of Mongolian metallurgical coal to China will inevitably come down. In fact, SouthGobi Resources Ltd., Canada developing the metallurgical coal business in Mongolia made it clear on June 7 that the problem had occurred with regard to the Company’s metallurgical coal production as well as export due to the aforementioned reason.