Russia, Mongolia agree to modernize Ulaanbaatar thermal power plant

By Burc Eruygur

ISTANBUL (AA) - Russia and Mongolia on Tuesday signed a deal on developing a basic project for the reconstruction of the Ulaanbaatar Thermal Power Plant No. 3 (TPP-3), as President Vladimir Putin started an official visit to the neighboring country despite an international arrest warrant.

The agreement, along with four other documents, was signed in a ceremony in the Mongolian capital Ulaanbaatar, which was attended by Putin and his counterpart Ukhnaagiin Khurelsukh following narrow and expanded format talks.

Putin later told a press conference that the Russian energy company Inter RAO expects to join the modernization and reconstruction of the plant, as well as help install new equipment and triple the generating capacity of the station.

He said such work on the plant will "improve the reliability of supplying residents of the capital of Mongolia with light and heat," and that Moscow is also open to implementing joint projects in the nuclear energy sector.

Putin said Moscow has been providing Mongolia "with the energy resources it needs," suggesting 90% of the gasoline and diesel fuel that entered the country last year came from Russia itself.

"We see good prospects for cooperation in the gas sector. The design documentation for the Soyuz Vostok gas pipeline, which is almost 1,000 kilometers long and will connect Russia, Mongolia and China, has been completed," he added.

"This is not just about the transit of Russian gas through Mongolia. The possibility of supplying this fuel to Mongolian consumers is also being considered. Gazprom is ready to provide the necessary support in practical matters of gasification of the country."

Putin said Russian-Mongolian relations are developing with regards to the comprehensive strategic partnership agreement signed in 2019.

He said they paid particular attention to increasing mutually beneficial trade and investment, and that bilateral trade turnover in the first seven months of 2024 increased by over 21%.

"Moreover, commercial settlements between our two countries are almost entirely carried out in currencies alternative to the dollar and euro," Putin said, adding that close contacts between Mongolia and the Eurasian Economic Union (EAEU) would contribute to further growth.

For his part, Khurelsukh said a free trade agreement has been agreed on between Mongolia and the EAEU, which will "improve the regulatory environment for bilateral trade and create specific new opportunities for expanding economic cooperation."

He said Mongolia supports developing and expanding cooperation with Russia "within the framework of its peaceful, independent, open and multi-vector foreign policy."​​​​​​​

Putin arrived in Ulaanbaatar late Monday to mark the 85th anniversary of Russia and Mongolia’s joint victory over Japan during the battles of Khalkhin Gol in World War II.

This is Putin's first visit to a country that is member of the International Criminal Court since the tribunal issued a warrant for his arrest in March 2023.