Hunnu coal received the licence for an initial term of 30 years with an option to be extended twice to 20 years, which will be equal to total of 70 years of mining operations.
The MV- 016872 mining licence is located in the South Gobi coal province of southern Mongolia, and covers a total area of 69,233 ha.
Hunnu Coal is planning to produce 1.5 million tonnes of coal initially from the mine in 2012, and to expand it to three million tonnes in 2013.
The Tsant Uul project has a current compliant resource of 90 million tons, with measured and indicated resource of 61 million tons.
