TMK CEO Dougal Ferguson said: “We will be working collaboratively with Jens over the coming months to put in place the pieces to allow the first coal seam gas production in Mongolia to be beneficially used for power generation, commencing the pathway to energy independence utilising Mongolia’s vast coal seam gas resources.”

TMK says the milestone MoU further solidifies it as a frontrunner to deliver critical energy solutions for Mongolia as it transitions away from coal towards cleaner, gas-based power sources.

Located in the South Gobi desert, a region known for its mammoth coal deposits, the Gurvantes XXXV project holds a 1.2 trillion cubic feet (Tcf) contingent resource, with further upside potential from its 5.3Tcf prospective resource.

The company’s recent progress comes just 12 months after it acquired 100 per cent ownership of the Gurvantes project, which is seriously close to northern China’s gas pipelines and has mammoth development potential.

It offers TMK a platform to become a key player serving the broader Asian energy landscape.

Management maintains it can achieve the commercial gas rates required from the very thick coal seams at its Lucky Fox pilot area, which run up to 6om. It believes sustainable revenue and further positive reports are yet to come as TMK continues to accelerate its transformation from explorer to producer.

The rapid installation of the gas-fired power plant marks a critical next step in TMK’s path to production, offering a tangible revenue stream for more pilot wells while demonstrating the project’s broader commercial viability to organically grow.

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