Rare Metal Mining, a company based in Mongolia, has discovered large gold and copper ore bodies near Oyu Tolgoi, according to a recent statement issued by the company.

The company recently signed a joint venture with MarketPeak and Rare Metal Mining after discovering large gold and copper ore body which covers a majority of the 2,398 hectares. The mining exploration license is located in South Mongolia within the same metallic belt as Oyu Tolgoi. Precisely the land is approximately 240 km from Oyu Tolgoi, which happens to hold the largest copper deposits in Asia.

Prime Mongolian Resources group of companies focuses on flipping and developing mines and exploration licenses, now co-owns over 1% of all the mining exploration licenses in the territory of Mongolia.

With drillings expected to commence in 2021, agreements have been signed to support the local community needs. Also, its an effort to build the company’s brand reputation within the mining industry. Prime Mongolian Resources hopes to make its first Copper and gold extractions by 2023.

Mongolia lies among the top 30 resource-rich developing nations, according to a report by the International Monetary Fund (IMF). The nation is also rated number 47 in the world based on political stability index, which puts it above countries such as Germany ranked 62, the USA at 69, and France at 88, according to a survey conducted by the World Bank in 2018.

Incredibly, the mining statistics are also in favor of Mongolia as it has one of the highest mining success ratios. From a total of 2,796 mines and exploration licenses between 2016 and 2019, only 617 failed either through being surrendered, canceled, or by expiring, according to the Petroleum Authority of Mongolia Statistics.

The current mines and explorations licenses cover a total area of 4.8% of Mongolia’s territory. And with the nation being one of the richest in natural resources, this leaves vast unexplored potential. According to government sources, the country’s untapped mineral wealth is worth around $1.3 trillion, consisting of Gold, Copper, Nickel, cobalt, oil, and other resources, which makes Mongolia an exciting market.

Interestingly, Mongolia’s mining fortune heavily depends on Chinese demand for copper, coal, and other resources, which account for over 90% of all its exports. For now, the outlook for commodity exporters looks promising in the near future as new mining projects begin to open up in the Asian nation.

According to UN Comtrade, in 2018, Copper was among the top two export commodities for Mongolia at an estimated $2 billion. And it’s the booming mining activities that are fueling the economic development of the nation with the Asian Development Bank expecting Mongolia’s GDP to grow at 6.1% in 2020, the highest in Asia.

Copper, gold, and other resource mining have also had a positive impact on the Mongolian economy as the nation has seen substantial labor shifts where citizens have moved from the agricultural sector to the mining, manufacturing, and construction sectors. Those that have moved to the capital have shifted from pastoral occupations to construction jobs and the service sectors. Others have seasonally worked in mines around the booming southern Gobi or in the capital.