Supply of Thermal Coal and Transport Service

Oyu Tolgoi” LLC (the ‘Company’) would like to invite potential and/or experienced suppliers to submit their Expression of Interest (EOI) in relation to supply of “Thermal Coal and Transport Service”.

[An EOI is only a preliminary step to a formal tender process to understand and identify whether there are potential suppliers in the market that are interested in and capable of satisfying the procurement needs].

The supplier will be required to carry out all of, but not limited to, the following works:

Scope description:

Supplier will supply and deliver the thermal coal to CHP coal yard of OT Mine site, located in Khanbogd soum of Umnugovi province, Mongolia, in compliance with below coal specifications and service requirements:

1. Coal specifications: to supply the screened coal that complies with below criteria:

Coal Property Design Range Ash Plant Design
Proximate Analysis (% as-received basis)
Total Moisture 10.5 4 – 17 17
Ash 24.8 10 – 33 40
Volatile Matter 25.1 18 – 30
Fixed Carbon 39 35 – 55
Sulphur 0.6 0.6 – 1.0
Ultimate Analysis (% dry, ash-free)
Carbon 85.9 84 – 87
Hydrogen 5.15 2.0 – 6.7
Nitrogen 1.97 1.7 – 2.3
Sulphur 0.96 0.8 – 1A
Oxygen 6 4.6 – 7.6
Chlorine 0.02 0.01 – 0.03
Specific Energy
Gross Calorific Value (kcal/kg, as-received basis) 5394 4415 – 6205
Gross Calorific Value (MJ/kg, as-received basis) 22.6 18.5 – 26.0 18.5
Ash Fusion Temperatures (reducing atmosphere, °C)
Initial Deformation 1080 1080 – 1400
Sphere 1110 1100 – 1400
Hemisphere 1200 1200 – 1400
Flow 1350 1300 – 1400
Coal Size option#1
Maximum Top Size (mm) 10
Minimum size of (mm) 0
Coal Size option#2
Maximum Top Size (mm) 150
Minimum size of (mm) 0

2. Coal supply schedule: to supply the coal as per agreed schedule based on quarterly forecast provided by OT team.

3. Coal transportation: The supplier shall:

  • be capable to supply approx. 70,000 tons of coal annually,
  • have enough trucks to transport as per schedule,
  • have delivery trucks that are compliant with technical requirements and readiness (national and OT C3 standard)
  • be flexible to increase and decrease of number of trucks depending on OT demand and schedule.
  • be capable to fix and carry out the truck breakdowns and routine maintenance
  • ensure delivery personnel to complete mandatory trainings to escort delivery trucks within OT site. The lead of the road-train shall attend the proper and mandatory training to escort the coal road-train in the OT site.
  • have and maintain Trigger Action Responsible Plan (TARP) to implement for the risks of interruption to supply of coal.

General requirements

This EOI is eligible for only Umnugobi suppliers. As per Oyu Tolgoi’s Supplier Development Policy, an Umnugobi supplier is a national supplier that is:

  • registered in Umnugobi province;
  • produces or supplies the products or services within the Umnugobi province;
  • have a permanent workforce of over 75 per cent of Mongolian employees residing in Umnugobi province; and
  • have their business head or branch office registered in the Umnugobi province and Oyu Tolgoi uses this office as the contracting entity.

Any supplier who registered to Umnugobi province on or after the release of this Expression of Interest is not eligible, subject to the reference letter from the Umnugobi province/ soum government authority.

Interested and experienced suppliers are invited to submit their EOI and must include/attach, as a minimum, the following documentations / information:

Mandatory documents:

  • State registration certificate (copy)*
  • HSE policy & procedures (copy)*
  • Business Code of Conduct (copy)*
  • Audited Financial statement from last 3 years (copy)*
  • Brief introduction of company (copy)*
    • Ownership/ shareholder information such as Company charter (copy)*
    • Executive team structure/ introduction (copy)*
    • Organization structure & Total manpower (copy)*
    • Reference letter from Umnugovi province/soum government authorities to ensure the supplier is registered and operating from the Umnugobi province/soum.

* If latest copies of above documents are not uploaded in “Oyu” Supplier Database, please upload them in the additional attachment field when you submit the EOI.

Scope specific documents:

  • Scope specific experience
  • Customer reference (at least 2)
  • Special licenses applicable (copy).

Any interested suppliers who wishes to participate in the EOI, must be registered in “Oyu” supplier database. If you have not registered in “Oyu” database, please register at https://oyu-supplierdatabase.ot.mn/.

EOI documents must be prepared in Mongolian and/or English and must be submitted via “Oyu” Supplier database before 5.00 pm (Ulaanbaatar time), 08 July 2024.

Important notice:

  • The Company is only seeking Expression of Interest from potential suppliers and makes no representation or promise in relation to procuring work from a supplier or suppliers.
  • The Company reserves the right to refuse any document(s) which is incomplete or submitted after the specified date & time.
  • The Company will not accept any EOIs stored in internet storage or in any other webpages and links.
  • The Company will not be responsible for any costs associated with preparing and submitting an Expression of Interest to the Company.
  • There will be no Questions and Answers provided during the EOI process.

“OYU TOLGOI” LLC

PROCUREMENT DEPARTMENT