Marubeni, Toyo in Mongolia's 1st oil refinary project

Mongolia to rely less on oil product imports from Russia

* Mongolia seeking foreign help to boost oil output, as well (Recasts lead, adds details)

TOKYO, Sept 29 (Reuters) - Marubeni Corp (8002.T) said on Wednesday it has joined a local Mongolian government-backed firm and Japan's Toyo Engineering Corp (6330.T) on a $600 million project to build the first oil refinery in Mongolia.

The refinery, slated to be up and running in autumn 2014 and located in Darkhan city about 200 km north of Ulan Bator, will help the land-locked country reduce its full dependance on imports of oil products from Russia.

Capacity is seen at an estimated 44,000 barrels of crude per day to produce 1 million tonnes of gas oil, 630,000 tonnes of gasoline and 60,000 tonnes of jet fuel, each per year, Japan's No.5 trading firm said on Wednesday.

Marubeni would work with Toyo Engineering to build, maintain and operate the facility, in the project with Mongol Sekiyu Co., headquartered in the capital of Ulan Bator.

Marubeni said it plans to deliver oil to the refinery from Russia's Irkutsk Oil Co, which signed a comprehensive business pact with Marubeni in June on supplies. [ID:nTOE65K01H] Crude supplies will also come from Kazakhstan.

"We're looking to utilise a finance instrument provided by JBIC," a Marubeni spokeswoman said, referring to the government-backed Japan Bank for International Cooperation.

Mongolia, which sits on vast quantities of untapped mineral wealth, currently produces crude oil near the border with China for export to the neighbouring nation via a pipeline.

Mongolia has previously said it was looking for foreign investors to help it boost domestic crude production tenfold in the next three years and build the country's first refinery. [ID:nSGE65E06W] (Reporting by Risa Maeda; Editing by Ed Lane)

Source:Reuters News Service


Post a Comment

Facebook page

Powered by Blogger.


Advertising in Mongolia An Culture Editorial of the Mongolianviews education Environmental protection Famous Mongolians Foreigners in Mongolia Inner Mongolia Ivanhoe Mines Mongolia agriculture Mongolia analysis Mongolia and Australia Mongolia and Belorussia Mongolia and Cambodia Mongolia and Canada Mongolia and central Asia Mongolia and China Mongolia and Cuba Mongolia and EU Mongolia and Germany Mongolia and Hongkong Mongolia and Hungary Mongolia and India Mongolia and Inner Mongolia Mongolia and Iran Mongolia and Italy Mongolia and Japan Mongolia and Kazakhstan Mongolia and Korea Mongolia and Kuwait Mongolia and Malaysia Mongolia and Nato Mongolia and North Korean Mongolia and Poland Mongolia and Russia Mongolia and Singapore Mongolia and South Korea Mongolia and Taiwan Mongolia and the world Mongolia and Tibet Mongolia and Turkey Mongolia and UK Mongolia and Ukraine Mongolia and UN Mongolia and USA Mongolia and Vietnam Mongolia Banking Mongolia civic society Mongolia crime Mongolia diplomacy Mongolia Economy Mongolia Education Mongolia Energy Mongolia Finance Mongolia Health Mongolia History Mongolia holiday Mongolia in international media Mongolia Industries Mongolia Joke Mongolia law Mongolia LGBT Mongolia medical Mongolia military Mongolia Mining Mongolia Mining Developments Mongolia Mortgage Mongolia natural disaster Mongolia Petroleum Mongolia public announcements Mongolia railways Mongolia Religion Mongolia society Mongolia Sports Mongolia Stamp Mongolia telecommunication Mongolia tourism Mongolia Urbanization Mongolia Wild Life Mongolian Agriculture Mongolian Archeology Mongolian Food Mongolian Gay Mongolian Government news Mongolian History Mongolian Military Mongolian Mining Development Mongolian Movie Mongolian News Mongolian Parliament Mongolian Political news Mongolian Press Mongolian Songs Mongolian Women Mongolian Youth Mongolians abroad Moninfo Opinion Oyu Tolgoi Investment Agreement Photo news Press Release Rio Tinto Tavan Tolgoi coal mine Ulaanbaatar development Weird expatriates in Mongolia

Blog Archive


Live Traffic