Page | 42Mineral Resources
Mongolia is richly endowed with mineral
resources. Even though many of its mineral
deposits have yet to be exploited, they still
constitute a majority of the nation’s total
exports.^221 Foremost among these mineral riches
is copper, which is mined at Erdenet from the
second-largest copper deposit in Central Asia.^222
Another huge open-pit copper and gold mine—
known as the Oyu Tolgoi mine—is under
construction in Dornogovi and is projected to
eventually produce more than one-third of Mongolia’s GDP after it reaches full
production.^223 The size of the mineral deposits at the Oyu Tolgoi mine, which is expected
to open in August 2012, has been compared to the island of Manhattan in New York City.
It is estimated these deposits could last through more than half a century of active
mining.224,^225 The Canadian company Ivanhoe Mines is building the multi-billion-dollar
facility, which some investors believe will help raise the per capita income of the
Mongolian people from its current level of USD 3,200 to exceed USD 10,000 within 10
years.^226
Several other minerals currently mined in Mongolia are also important to its economy.
The nation is the world’s third-largest producer of fluorspar (behind China and Mexico),
and it also exports significant amounts of gold, iron, zinc, and molybdenum.
227,228, 229
(^221) Susan Wacaster, “The Mineral Industry of Mongolia,” in 2009 Minerals Yearbook, U.S. Geological
Survey, U.S. Department of the Interior, February 2011,
Construction materials (such as lime and stone) and salt are also mined for domestic use.
http://minerals.usgs.gov/minerals/pubs/country/2009/myb3-2009-mg.pdf
(^222) Erdene Gold, Inc., “Copper and Gold: Mongolia Projects,” 2007,
http://www.erdene.com/assets/pdf/Erdene Cu Au.pdf
(^223) Mining-Technology.com, “Oyu Tolgoi Gold and Copper Project, Mongolia,” 2011, http://www.mining-
technology.com/projects/oyu-tolgio/
(^224) Bloomberg News, “Oyu Tolgoi May Start Earlier Than Planned, Executive Says,” 6 April 2011,
http://www.bloomberg.com/news/2011-04-07/oyu-tolgoi-copper-project-to-start-in-aug-2012-executive-
says.html
(^225) BBC News, “Mongolia on Verge of Mineral Boom,” 7 April 2010, http://news.bbc.co.uk/2/hi/asia-
pacific/8605549.stm
(^226) Michael Kohn, “Mongolia Targets Global Mining Role as Investments Soar,” BBC News, 20 April
2011, http://www.bbc.co.uk/news/business-13078336
(^227) Susan Wacaster, “The Mineral Industry of Mongolia,” in 2009 Minerals Yearbook, U.S. Geological
Survey, U.S. Department of the Interior, February 2011,
http://minerals.usgs.gov/minerals/pubs/country/2009/myb3-2009-mg.pdf
(^228) International Trade Centre, “Trade Performance HS: Exports and Imports of Mongolia–26 Ores, Slag
and Ash etc (2009, in USD Thousands),” 2011,