TEPK elaborates the plan of Elegest development

The details of Ruslan Baisarov’s plan for the development of Elegest coal deposit have been specified. By 2016 Tuva Energy Industrial Corporation (TEPK) is going to increase its mining to 5 million tons of coal per year, then – to 15 million tons. The total investments taking into account the railroad, sea terminal and the power plant in Tuva will make up $9 billion. TEPK hopes for the credits of VEB and Sberbank and is going to finance up to 25% itself. Taking into account current coal prices, the recoupment period of the project can make up 20 years, though coal consumption in the RF falls and TEPK will depend on export markets.

Today Tuva Energy Industrial Corporation of Ruslan Baisarov will obtain the license for development of Elegest coal deposit with the reserves of coking coal making up about 1 billion tons (TEPK was the only pretender at the contest on April 26). As told by Baisarov, TEPK is going to mine more than 15 million tons of coal per year, this volume will be gradually reached from 2017 when construction of Elegest-Kyzyl-Kuragino railroad is completed. In compliance with the license, the designated capacity will be reached within 6.5 years, i.e. by November 2019.