(EnergyAsia, June 14 2011, Tuesday) — US engineering giant Bechtel Corp said it has secured a contract worth US$12 to $14 billion from the Mongolian government to develop a master plan for a new heavy industrial complex that includes an oil refinery, a coal gasification power plant, and mineral processing plants.
Bechtel said it was selected by the National Development and Innovation Committee (NDIC) to provide master planning services to develop the Sainshand Industrial Complex, considered a centrepiece of the country’s national development strategy. The San Francisco-based firm will also oversee debt financing options for the industrial and infrastructure projects, and will provide economic analyses.

Sainshand is located about 320 km southeast of the capital city of Ulan Bator.

Bechtel spokesperson Michelle Allen said the master plan, which will be ready in six months, will set the guideline for the schedule of the complex’s development.

“The mineral processing will most likely include a copper smelter, iron plants, coking coal processing and handling facilities and a cement plant.  It will also have all of the utilities necessary to support the complex including a power plant and related infrastructure,” she said.

Khashchuluun, head of the National Development and Innovation Committee, said:

“The Sainshand Industrial Complex is key to Mongolia’s social and economic development. Bechtel’s experience and expertise will help us achieve our vision of creating an industrial complex that will allow us to be more competitive in the global market.”

Steve Katzman, President of Bechtel Asia, said:

“Bechtel has successfully delivered hundreds of projects across Asia including the CSPC Nanhai Petrochemicals Complex and Hong Kong International Airport, and we are delighted to add the government of Mongolia to our client roster.  We are confident we can apply our decades of expertise to help NDIC achieve its vision to create a world class industrial complex.