Prophecy Coal Corp has announced the debut of its wholly-owned Mongolian subsidiary, Prophecy Power Corp, which focuses on the power sector in the region.

Prophecy Power, formerly known as East Energy Corp, aims to supply power to Mongolia through the construction of the Chandgana Thermal Power Plant.

Prophecy Coal’s Chandgana in parallel will develop the Chandgana coal project to ensure fuel supply to Prophecy Power.

A 600MW (150MW x 4) mine mouth power plant complex of the Prophecy Power is expected to be built next to Prophecy Coal’s Chandgana coal deposit located in Central Mongolia.

The Mongolian company, which obtained the construction license in November 2011, has been in talks with the government to finalize a power purchase agreement in order to secure the region’s long-term energy supply, and enable project financing and construction to move forward.