Mongolian Mining Corp Posts Lower Q2 Coal Output, Eyes Q3 Gold Launch

KUALA LUMPUR, July 25 (Bernama) -- Mongolian Mining Corporation (MMC), the largest internationally listed private mining company operating in Mongolia, reported a 28 per cent year-on-year (YoY) drop in coal output for the second quarter (Q2) ended June 30, 2025, amid operational headwinds.

In its unaudited operational update, MMC said run-of-mine (ROM) coal production from its Ukhaa Khudag and Baruun Naran coking (metallurgical) coal mines fell to 3.43 million tonnes (Mt), compared with 4.79 Mt in Q2 2024. Quarter-on-quarter (QoQ), production declined seven per cent.

Despite the lower ROM output, MMC increased its processed coal output slightly to 2.18 Mt of washed coking coal, a three per cent increase from the first quarter of 2025. However, YoY production was still down two per cent.

MMC’s coal mining activities are conducted through its wholly owned subsidiary Energy Resources LLC and majority-owned subsidiary Khangad Exploration LLC, with both mines located in Umnugobi province.

Sales of washed coking coal rose nine per cent QoQ to 1.74 Mt but remained 25 per cent lower than the same period last year, according to a statement.

The company also announced that its gold mining joint venture, Erdene Mongol LLC, has completed commissioning activities at the Bayan Khundii gold project, with commercial production expected to begin in the third quarter (Q3) of 2025.

Gold sales to the Bank of Mongolia and/or its designated commercial banks will be conducted at international market prices, in local currency, and subject to a five per cent royalty tax under Mongolia’s Minerals Law.

The group, also active in copper and other non-ferrous metals, is seeking to broaden its resource portfolio across Mongolia’s southern and western regions.

MMC is listed on the Hong Kong Stock Exchange and is a key supplier of metallurgical coal to the Chinese steel market.

-- BERNAMA