Signed today in Kuwait between the Government of Mongolia and Kuwait Fund for Arab Economic Development, whereby the Fund will provide the remaining balance from a Grant Agreement No. 31 in the amount of US$ 3,500,336/61 to assist in the financing the Undurkhaan Airport in Khentii Province in Mongolia.

                        The remaining balance from a Grant Agreement No. 31 was signed on behalf of Government of Mongolia by His Excellency Mr. Zorigt CHINTUSHIG Ambassador Extraordinary and Plenipotentiary of Mongolia to the State of Kuwait, whereas Mr. Ghanem Sulaiman Al-Ghenaiman, Depuyt Director-General of the Kuwait Fund for Arab Economic Development signed the Loan Agreement on behalf of the Fund.

                        The aim of the Project is to enhance the economic and social development of Khentii Province through the provision of the necessary infrastructure for air transport.

                        The Project consists of all the necessary works for the construction of Undurkhaan airport, which is located in Chinggis City, Capital of the Province.

                        The Project will consist of construction works of the following components:

1. Airstrip (gravel runway) with a length of 2,200 m. and width of 30 m., gravel taxiway, and gravel aprons.
2. Airport Perimeter fence with length of about 7 km. and gravel patrol road of about the same length.
3. Passenger terminal building with an area of about 1,440 m2, inclusive of all of its necessary utilities.
4. Air traffic control tower.
5. Heating boiler building with an area of about 32 m2.
6. Ground handling garage with an area of about 520 m2.
7. Security building with an area of about 17 m2.

The Project also consists of supply and installation of the following components:

1. Airfield lighting system.
2. Air traffic control equipment.
3. Heating plant and equipment.
4. Exterior electric sub-station.
5. Communication system.
6. X-ray equipment.
7. Equipment for ground service, passenger service, and baggage carrier vehicles.
8. Necessary furnishings.

                        The Project will also include the required consultancy services for the supervision of all the works.

                        The Project is expected to be completed by June 30th of 2021.        

                        The total cost of the project is about US$ 3,500,336/61. The Kuwait Fund contributes in total amounts. The Remaining Balance from the proposed Grant will cover the cost of the project in local currency.

                        The Fund has already provided the Government of Mongolia with 4 Loans to finance projects in different sectors. The total value of these loans was KD 23,972 million, of which KD 23,698 million had been withdrawn as at 15/05/2018, of which KD 12,025 million repaid. The Fund also provided the Government of Mongolia with technical assistance amounting to KD 433,569 to finance the preparation of the technical and economic feasibility studies, which were combined with loans for the same projects.