D. Amarbayasgalan:  The government is prioritizing this project in Mongolia because of its significance in addressing geopolitical, economic, and energy-related issues

D. Amarbayasgalan: The government is prioritizing this project in Mongolia because of its significance in addressing geopolitical, economic, and energy-related issues

The memorandum of understanding (MoU) for an investment agreement, facilitating uranium exploration in Mongolia, was signed by representatives of the French state-owned Orano Mining Company and the Mongolian state-owned Erdenes Mongolia during the Mongolian president’s official visit to France last October. 

As a result,  working groups have initiated the drafting process for the investment agreement. However, there have been reports of delays in finalizing the agreement.

In this regard, the chief of the Cabinet Secretariat of Mongolia D. Amarbayasgalan gave the following explanation:

“Negotiations for a uranium agreement are ongoing, with both the Mongolian group Erdenes and the French company Orano Mining actively participating. We have put forth the following proposals: 

Firstly, the Mongolian side firmly advocates for the regulation of uranium mining and mine closures under a unified agreement.

Examining uranium projects in other countries reveals that when the mining and mine closure processes are governed by separate agreements, the level of responsibility decreases. Regrettably, instances of mining companies departing a country without appropriately closing a mine after successful extraction do occur.

The project is projected to span 47 years and will be divided into three main phases: preparation, extraction, and restoration. Rehabilitation efforts are scheduled for a period of 9 years, from 2061 to 2070.

Secondly, if uranium mining is to take place in the Ulaan-Badrakh soum of Dornogobi aimag, it is imperative to employ technologies that safeguard the local environment. Mining operations, conducted at depths of approximately 1.2 kilometers, must be devoid of technological failures, pipe leaks, and any adverse environmental impacts.

The investor must employ advanced technology to prevent uranium leakage, especially considering that uranium mining will involve a pipeline traversing a vast body of water.”

The project holds significant geopolitical, economic, and energy importance for Mongolia, prompting the government to give it special attention,” he said.