On October 16, 2018, Silver Elephant Mining Corp executed a lease agreement with an arms-length private Mongolian company (the “Lessee”). The Lessee is responsible for all capital and operating expenses, government taxes and royalties related to Ulaan Ovoo operation.
There were limited Ulaan Ovoo coal shipments to China via the Erenhot rail port due to low coal prices in 2021. As a result, the mine operation was curtailed in late 2021. Since then, coal prices have increased whereby NewCastle 5,500 GCV thermal coal quintupled to an all-time high of US$427 per tonne.
Silver Elephant Mining Corp. announces that its wholly-owned subsidiary, Mega Thermal Coal Corp., is preparing to commence Mongolia coal production at its Ulaan Ovoo project in Q4 2022. |