Cargo shipments from Rio Tinto\u2019s Oyu Tolgoi copper mine in Mongolia have been disrupted following a road blockade by protesters, according to a statement made by the mining company on social media, reported Bloomberg.<\/p>\n
Oyu Tolgoi is located around 80km north of the Chinese border and is considered one of the world\u2019s major copper projects.<\/p>\n
Trucks carrying copper concentrate to China were prevented from leaving the site after the blockade began at 9am local time.<\/p>\n
This raised concerns over Rio Tinto\u2019s ability to meet its contractual commitments.<\/p>\n
According to the statement, the disturbance could have \u201csignificant disruptions to the state budget and tarnish the reputation of Mongolia and the Mongolian mining sector in the international environment\u201d.<\/p>\n
Rio Tinto holds a 66% stake in the mine, with the remainder owned by the Mongolian Government.<\/p>\n
The protest comes as the mine is still progressing towards full operational capacity, at which point it is projected to become the fourth-largest copper mine globally.<\/p>\n
A spokesperson for Rio Tinto declined to provide further comment regarding the incident.<\/p>\n
The blockade was organised by a group known as the Radical Reform Movement, which is seeking a larger share of mining revenues for Mongolia, reported ABC News<\/a>.<\/p>\n Videos posted online by the group showed a small number of individuals blocking a two-lane road with barriers and a banner reading \u201cStop Rio Tinto\u201d.<\/p>\n The mine has long been a subject of controversy in Mongolia, with government officials seeking to renegotiate revenue shares.<\/p>\n It reportedly contributes approximately 9% of Mongolia\u2019s tax revenues.<\/p>\n Mongolian Prime Minister Uchral Nyam-Osor has instructed ministers to enforce the law and hold those obstructing lawful business accountable, according to the government\u2019s Facebook page.<\/p>\n The specific cause of the protests was not immediately specified.<\/p>\n However, the Oyu Tolgoi mine has been a point of contention in Mongolia, where authorities have called for an increased share of revenue from its operations.<\/p>\n