en.Wedoany.com Reported - Construction progress on Mongolia's first large-scale oil refinery has surpassed 60% after a two-year hiatus. The project, located in Dornogovi Province, had previously remained at around 20% completion for an extended period.

At the construction site, 4,500 professionals are currently working in three shifts around the clock, with equipment installation now in full swing. The tank farm, designed to store raw materials and finished petroleum products with a total capacity of 276,400 cubic meters, is currently under construction.

Pipeline network construction is a critical component of the infrastructure. Of the planned 289 kilometers of above-ground and underground pipelines, 190 kilometers have been laid; the 527-kilometer oil transmission pipeline project has entered its final stage, with a completion rate exceeding 90%.

The refinery, with an annual crude oil processing capacity of 1.5 million tons, is scheduled to commence operations in the second quarter of 2028. Project funding comes from a $1.7 billion credit agreement provided by India. Upon reaching designed capacity, the facility will produce 824,000 tons of diesel and 396,000 tons of AI-95 gasoline annually, meeting approximately 55% of Mongolia's national fuel demand.

Currently, Mongolia's fuel supply is almost entirely dependent on imports. Given that domestic consumption is growing at an average annual rate of 14%, the new government has decided to resume construction of the refinery project while simultaneously initiating the construction of 22 fuel storage tanks—the first such undertaking in 33 years.

According to data from Mongolia's Ministry of Road and Transport, Mongolia plans to import 270,910 tons of fuel from Russia, South Korea, and China in August this year. Of this, Russia will supply nearly 59,000 tons of AI-92 and AI-92 Euro gasoline, China will supply 6,000 tons of AI-92 and AI-95 gasoline, and South Korea will supply 20,000 tons of AI-92 Euro gasoline. Additionally, according to reports this week, Russia will provide an extra 25,000 tons of AI-92 gasoline to Mongolia before the end of this month. The above information was released by the Mongolian news agency Montsame.