Within the framework of general loan agreement between Mongolian government and Export-Import bank of Republic of India for the issuance of US$ 1 billion loan, oil refinery will be built in Sainshand soum of Dornogobi aimag, Mongolia.
Total investment of the project is US$ 1 billion, of which
- US$ 0.7 billion for oil refinary,
- US$ 264 million for oil pipelines.
The oil refinary is projected to earn net profit of US$ 43 million annually from its annual sales of US$ 1.2 billion and planned to recover its investment in 8-10 years.
The oil refinery will process US$ 1.5 million oil annually and produce 560 thousand tons of gasoline, 670 tons of diesel fuel,107 thousand tons of liquefied petroleum gas and other products that meet the standards of Euro 4, 5.
After establishment of the oil refinery, oil product import will be decreased by US$ 1 billion and currency outflow decreases by 20 percent, and the dollar by 18-25. GDP is expected to be risen by 10 percent while processing industry to be doubled.
Within the framework of general loan agreement between Mongolian government and Export-Import bank of Republic of India for the issuance of US$ 1 billion loan, oil refinery will be built in Sainshand soum of Dornogobi aimag, Mongolia.
Total investment of the project is US$ 1 billion, of which
- US$ 0.7 billion for oil refinary,
- US$ 264 million for oil pipelines.
The oil refinary is projected to earn net profit of US$ 43 million annually from its annual sales of US$ 1.2 billion and planned to recover its investment in 8-10 years.
The oil refinery will process US$ 1.5 million oil annually and produce 560 thousand tons of gasoline, 670 tons of diesel fuel,107 thousand tons of liquefied petroleum gas and other products that meet the standards of Euro 4, 5.
After establishment of the oil refinery, oil product import will be decreased by US$ 1 billion and currency outflow decreases by 20 percent, and the dollar by 18-25. GDP is expected to be risen by 10 percent while processing industry to be doubled.