| Work Detail |
The European Bank for Reconstruction and Development (EBRD) is supporting sustainable mining operations and creating new employment opportunities in rural areas of Mongolia by providing funds to Khan Altai Resource (KAR), a special-purpose gold-mining company based in the Gobi Altai province of south-western Mongolia.
KAR, a group company of a long-term EBRD client and national sustainability leader Max Group, will receive a loan of up to US$ 10 million (€9.2 million equivalent) to procure specialised equipment for ore processing purposes. This will help KAR, a founding member of the Mongolian Responsible Mining Initiative, to put in place sustainable infrastructure based on advanced technology that will enable the firm to process and produce gold bars with the minimum environmental impact.
The project is supported by a US$ 454,000 (€ 422.600) grant from the EBRD’s Finance and Technology Transfer Centre for Climate Change (FINTECC) programme funded by the Global Environment Facility.
The new, MMD-manufactured, ore crusher is expected to reduce KAR’s energy consumption by 30 per cent, thus contributing to greater operational efficiency and reducing its carbon emissions.
KAR is committed to developing training programmes for potential employees and will create hundreds of new jobs for the region.
The project is consistent with the recently approved EBRD mining sector strategy, which recognises the important role the mining industry is set to play in developing greener economies that are aligned with the Paris Agreement.
To date, the EBRD has invested €2.4 billion in Mongolia’s economy through 145 projects. Around 90 per cent of these funds have been channelled to support private-sector companies. |
