There are two main areas of focus in ensuring the smooth transportation of our mineral resources from our Oyut Ovoo mine to the China market: (i) ensuring that the road conditions are suitable for trucks to travel from our mine sit to the Choir Station (the train station on the Trans-Mongolian Railway closest to our mine), which is 265 km away, and (ii) the establishment of a docking facility at the Choir Station that would enable the loading and unloading of up to 3.5 million tons of iron lumps/concentrate per year.

Pursuant to the Choir Docking Agreement signed with China Railway Mongolia Investment LLC (“CRMI”), CRMI will be in charge of building and operating the docking facility and the restricted rail extension line linking the docking facility to Choir Station on the Trans-Mongolian railway line.