Rio searching for OT power solution

RIO Tinto will be forced to find a domestic power solution for the Oyu Tolgoi mine within four years after the Mongolian government cancelled a key agreement.

Rio searching for OT power solution Rio searching for OT power solution Rio searching for OT power solution Rio searching for OT power solution Rio searching for OT power solution

The government cancelled an agreement signed in 2014, which provided a framework for cooperation on a comprehensive energy plan for the South Gobi region.

The two had been looking into a power plant in Tavan Tolgoi coalfields.

The deal met Oyu Tolgoi’s obligation, under the 2009 investment agreement with the government, to establish a long-term power supply solution in Mongolia within four years of commercial production.

As a result of its cancellation, Rio and subsidiary Turquoise Hill Resources have four years from yesterday to find a domestic source of power.

Rio noted that it and Turquoise Hill were committed to fulfilling all commitments under the agreement and were ...