Erdenet power station

From Global Energy Monitor
This article is part of the CoalSwarm coverage of Mongolia and coal
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Erdenet power station is small coal-fired power station with a 50-megawatt (MW) coal unit expansion under development at Erdenet, Orhon, Mongolia.


The undated satellite photo below shows the plant, which is in Erdenet, Orhon, Mongolia.

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The Erdenet power station is a 35 MW coal plant built in 1988.[1] It is located between a mining and residential area, and uses sulfur coal from the Sharingol and Baganur strip mines.[2]

A May 2014 brochure for the Energy Mongolia International Conference & Expo referred to an expansion of the Erdenet power plant as one project for which international investment was being sought.[3]

In March 2016, it was reported China’s Hunan Industrial Equipment Installation (HIEI) and the Ministry of Energy planned to expand the plant to 50 MW total. Around 85 percent of the investment is a Chinese concessional loan (to be recovered in 7.5 years), with the remaining financed by Development Bank of Mongolia.[4][5]

A groundbreaking ceremony for an expansion of the plant to 50 MW was held in March 2019.[6]

As of October 2020, the Mongolian government reports the renovation project is 90% complete and on track for commissioning in 2021.[7]


This expansion project was projected to cost US$53 million.[8] A US$51.8 million loan was provided by the Export Import Bank of China.[7] The rest of the funding came from a loan from the Development Bank of Mongolia and equity from Chinggis bonds, which are issued by the Mongolian Ministry of Finance.[8]

Project Details of Expansion

  • Sponsor: Hunan Industrial Equipment Installation
  • Parent company: Ministry of Mineral Resources and Energy
  • Location: Erdenet, Orhon, Mongolia
  • Coordinates: 49.0408, 104.098 (exact)
  • Status: Construction
  • Gross Capacity: 50 MW
  • Type: Subcritical
  • Projected in service: 2021
  • Coal Type:
  • Coal Source:
  • Source of financing: US$51.8 million in debt from the Export Import Bank of China;[7] US$600,000 in debt from the Development Bank of Mongolia; US$600,000 in equity from Chinggis bonds issued by Mongolian Ministry of Finance[8]

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