Xstract Mining Consultants confirmed that Ovoot is financially robust and technically and commercially feasible.

The PFS was based on Probable Coal Reserves of 178 million tons (MT), which categorises Ovoot as the third largest coking coal deposit in Mongolia, by reserves.

Ovoot project PFS revealed prospects for a large, long life open pit coking coal project with ROM production of 185Mt, producing 153Mt of coking coal over 15 years to be mined as a contract mining operation.

High value deposit driven by life of mine (LOM) 82% average conversion of Run of Mine (ROM) tonnes to product together with a low LOM strip ratio of 7.6 bcm of waste per ROM tonne of coal including pre-strip.

Aspire Mining managing director David Paull said the positive PFS underpins the company’s vision of developing a large scale coking coal mine and associated rail infrastructure.

"Within a relatively short time period, Aspire has defined a globally significant coal project
capable of producing high quality coking coal to meet long term regional consumption

"The PFS results validate our progress to date, but also identify significant operational optimisation and project upside," he added.

Aspire said mine life and the quantity of marketable coking coal can be increased through further geotechnical and infill drilling, underground mining studies and ongoing exploration.

The PFS defines a two stage production profile for the Ovoot Project where the first will produce 6 million tonnes per annum (Mtpa) saleable coal and second 12 Mtpa.

The PFS assumes completion of the multi-user rail line extending the Trans-Mongolian railway at Erdenet through to Moron by 2016.

A separate rail pre-feasibility study for this line has been approved by the Mongolian Rail Authority and Northern Railways are in discussions with potential financiers to fund this line.