Mongolia Energy (00276.HK) said that the 311-km Khushuut Road has been inspected and passed by the Mongolia Authority and that it will commence China coal shipment shortly.

The company is expected to receive the final conclusion permission in writing on 28 November 2011. Once it has been received, MEC will commence coal shipment exporting to China.

The Khushuut Road was built and commissioned for a payload of up to 110 tones. The company said that a completion of a paved road had a direct positive impact to reduce the operating costs to the mining business. What used to be a gravel travel road which took over 8 hours to travel to the border would now only take 4 hours.