SAIL sings a MoU with Mongolia
India’s steel major, Steel Authority of India Limited (SAIL) said on Friday that it has signed a memorandum of understanding (MoU) with the authorities in Mangolia allocation of coking coal mines, setting up mineral processing units for iron ore and coal as well as the establishment of steel producing units in the country.
“The MoU envisages exploration of opportunities for investments to be made by SAIL either individually or in consortium with other entities to develop mineral processing/steel manufacturing facility in Mongolia,” SAIL said in a statement.
SAIL is aiming to diversify its supply base from Australia and is looking for other options in Africa and Monglia. The MoU was signed between SAIL and Ministry of Mineral Resource and Energy (MMRE), Government of Mongolia, at Ulaanbaatar, Mongolia, on Friday. Officials including SAIL Chairman C. S. Verma and MMRE Vice-Minister T. Garamajav were also present on the occasion.
The state-run company also said that the SAIL Chairman commended the Mongolian Government for the steps it has taken to develop the mining sector, which will attract significant FDI into the land locked country in central Asia. The policy will also help meet the demand of India and other Asian countries.
MMRE and SAIL will conduct pre-feasibility study for setting up a mineral processing facility for iron ore and coal in Mongolia and explore future opportunities.