The MoU was signed in conjunction with a visit by the Mongolian prime minister to China.

Aspire said a draft feasibility study for the Erdenet to Ovoot Railway was completed and submitted in March, with the pair aiming to finalise it by next month as it is a key document for obtaining financing. Their goal is to have an EPC contract for the line by November.

Aspire said the Russian Ministry of Rail has requested a review of the rail feasibility study on completion before considering an investment. CGGC will be seeking to fund the remaining pre-development work per an October 2017 MoU, though that is subject to the connecting line having sufficient capacity for additional freight and sufficient time for the pre-development work to be completed.

The Erdenet to Ovoot Railway extends 549km and will extend from the former location to Aspire's coking coal project in order to join together northern Mongolia to China and international markets. The multi-user rail line will be available for transport of bulk materials, agricultural and general freight from the region to export markets including China, Russia and seaborne markets.