Check out the prospectus http://www.asx.com.au/asx/research/upcomingFloatDetail.do?asxCode=HUN
Seems that this will be a good float.
Mongolia's vast reserves of high-quality coal, combined with its close proximity to China, the world's largest consumer of coal, and high demand Asian markets - make Mongolia a growing strategic player in the global coal market. Mongolia plays an important, expanding role in powering China's heavy industries and coal-fired generating capacity.
While significant volumes of sub-bituminous coals are currently mined in Mongolia, the emerging export focus is on hard coals, with those suitable for coke making attaining highest priority. Current transport infrastructure constraints dictate that higher value coals (coking coal and high-energy thermal coal) will be most marketable in the near-term Chinese market and to the seaborne market in the future.
The future focus for the Mongolian coal production will undoubtedly be in the south of the country in the South Gobi Basin, where billions of tonnes of coking and thermal coal has been discovered.
