Eg Hydro Power Plant Project

The Eg Hydor Power Plant project has been discussed for the past 20 years, but has been repeatedly delayed. The Eg Hydro Power Plant will be situated in Khutag-Undur soum, in Bulgan Province. The Russians were exploring building a hydropower plant on the Egiin River in 1964. The Project was to be financed by a soft loan from China in 2006, but was put on hold due to a change in government. In 2015, preliminary agreements were made with China to provide one billion USD in financing through a soft loan. The project team was commissioned in 2011. They have contracted multiple firms to conduct feasibility studies and plan to conduct a new environmental study. The new feasibility study puts the cost of the project at 827 million USD. Forty-eight percent of the cost is construction, 30 percent will be spent on machinery, and the remainder will be spent on building roads. The feasibility study of the project and the documents required for procurement are finished.