Monday, July 14, 2025

Mongolia’s Natural Gas Pipeline Project Advances

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On April 2, 2025, Mongolia’s Deputy Prime Minister, Amarsaikhan Sainbuyan, updated the Cabinet on the natural gas pipeline project. The pipeline will connect Russia to China, passing through Mongolia’s territory. This ambitious project is a joint effort between Mongolia’s “Erdenes Gaz” unit under “Erdenes Mongol” LLC and Russia’s “Gazoprovod Soyuz Vostok” LLC, funded by the state-owned company Gazprom.

The project took significant steps forward after the feasibility study received approval in January 2022. Engineering surveys for the pipeline were also completed in the same year. Currently, the project is on track, with detailed design documentation expected to be finalized by 2024. An environmental impact assessment is scheduled for completion in the third quarter of 2025. Additionally, the government will designate the necessary land as special state-use territory.

The pipeline will stretch 958.6 kilometers from Mongolia’s northern to southern border, crossing six aimags and 22 soums. According to the feasibility study, the project is technically viable, economically beneficial, and poses no harm to the environment. The pipeline will enhance Mongolia’s economic prospects, creating 12,000 jobs during construction. Once operational, over 1,000 permanent jobs will be available.

The benefits of the pipeline extend beyond economic growth. Natural gas, a cost-effective energy source, will improve Mongolia’s energy system. The project’s design includes connections for major cities such as Darkhan, Ulaanbaatar, Choir, and Sainshand. These connections will allow Mongolia to use natural gas domestically, addressing the country’s persistent air pollution problems.

The natural gas pipeline project promises to not only boost Mongolia’s economy but also enhance energy security and environmental sustainability. It will help modernize Mongolia’s energy infrastructure while creating long-term economic benefits for its citizens.

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