Steppe Gold Ltd., a leading gold producer in Mongolia, has announced a major financing milestone for the Phase 2 Expansion of its 100% owned ATO Gold Mine. The company has successfully drawn down $40.4 million, marking the second payment towards the $150 million expansion project.
Jeremy South, Steppe Gold’s Chief Financial Officer, explained that the funds will cover the procurement of critical long lead items, mobilization costs, early construction works, and foundational work. Key equipment being procured includes flotation cells, grinding mills, cluster cyclones, thickener units, filters, and pumping systems.
The Phase 2 Expansion is progressing according to projected timelines and budgets, with commissioning planned for the first quarter of 2026. Notably, the $150 million project is fully funded through a project finance package provided by TDB Capital and the Trade and Development Bank of Mongolia.
South emphasized Steppe Gold’s commitment to advancing the expansion efficiently and effectively, stating, ‘This financing milestone underscores Steppe Gold’s commitment to advancing the Phase 2 Expansion of the ATO Gold Mine efficiently and effectively.’ The successful drawdown reflects the company’s strong financial position and strategic approach to project development.
By securing project financing and advancing procurement activities, Steppe Gold is poised to unlock further value and solidify its position as a leading gold producer in Mongolia. The Phase 2 Expansion aims to enhance the ATO Gold Mine’s production capacity, contributing to the company’s growth and profitability in the coming years.
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