Turquoise Hill suspends shipments of its Oyu Tolgoi copper concentrate in Mongolia

Turquoise Hill Resources Ltd said earlier this month that it had suspended shipments of its concentrate at the country's largest copper-gold mine, in southern Mongolia, due to problems
with transit routes.

Located just 80 kilometers from the Chinese border, the Oyu Tolgoi copper-gold mine is one of the biggest drivers of
Mongolia's economy.
The mine is known as a world-class mining project
.
At present, all the primary processing products of copper ore are exported to China, and the electricity used is also supplied by China, and the Chinese market is of great significance
to Mongolia to realize the strategy of "rejuvenating the country through mining".

Turquoise Hill said shipments were suspended on Thursday after a new requirement at the Sino-Mongolian border that coal and concentrate shipments would use the same route resulted in long wait times and increased threats
to the safety of people and property.

Shares fell 2.
5 per cent to C$4.
34 in early Friday trading, and it was unclear how long the suspension would last as it sought to figure out the problems
that existed between Mongolian and Chinese authorities, the company said in a statement.


Turquoise Hill was not immediately available for comment
.


In 2016, the Oyu Tolgoi copper-gold mine produced 175,000-195,000 tonnes of copper concentrate and 255,000-285,000 ounces of
gold-gold concentrate, the company said in early November.


Rio Tinto Plc's Turquoise Hill Resources holds a 66% interest in the Oyu Tolgoi copper-gold mine, with the remaining interest held by the Mongolian government
.
Rio Tinto is the operator
of the mine.


In June, global mining giant Rio Tinto and its partners finally approved a US$5.
3 billion expansion project at Mongolia's Oyu Tolgoi copper-gold mine, paving the way
for what could become the world's third-largest copper mine.
The first production
is expected to begin in 2020.
It will operate at full capacity by 2027, with annual copper production expected to exceed 500,000 tons
.