IKHER BAR LLC

own pipeline of assets and maybe consolidate further. That’s quite impressive.”

Proudly Mongolian Mr Waraich asserts that from its inception in 2016, the company was very clear about its intention to build a company that is perceived as local, with its core team having a sound track record in the country, going back to 2009.

“Today, our CEO is Mongolian, half our Board is Mongolian and, most importantly, 99% of our team are from our local communities. That has always been key for us from the very beginning. We are well embedded in the local cul - ture and working to the benefit of our local population.”

Steppe’s impact may be quite substantial, as the mining sector is very important for Mongolia’s economy –it is the biggest employer in the country, the largest driver of GDP, taxes, and royalty revenues. Mining has a role to play in driving the country forward, improving the way of life for its population and creating more jobs and educational opportunities. “Generations can be impacted by what we’re doing today. That’s why it is important to do it properly: with the locals and for the locals,” says Mr Waraich.

“Today we have an operating mine employing over 300 Mongolians, and a plan to double that number over the next few years as we expand. We will also create additional jobs in the other assets. And it’s not just about jobs.”

“We are impacting the local communities through both indirect and direct benefits, by creating scholarship programmes and through a variety of social initiatives, by supporting local athletes for example. Seeing the changes we create and their benefits is one of the most rewarding aspects of our activity here,” he says, adding that has so far Steppe has provided over 1000 scholarships to local talent, allowing more people to attend university.

“We are also trying to create many additional jobs to support its operations. We are procuring consumables and food locally. This reduces our carbon footprint as we are not transporting things from aboard, or even from other regions of Mongolia.”

Steppe Gold is strongly committed to mitigating and rehabilitating environmental impacts as much as possible, by supporting biodiversity offsets, sustainable development, and looking at renewable energies as part of its Phase 2 planning. “Basically, our corporate vision is to leave the property and local community, better than when we started this journey,” Mr Waraich affirms.

Unlocking potential

He is confident that Steppe Gold’s potential is huge. “We have explored and are operating on only about 10% of the property. So there’s room down the road to use our own cash flow to continue to grow. There could be other satellite deposits on this property, with perhaps a three to five million ounce deposit, maybe even more.”

In the meantime, the company is finalising discussions on project financing and EPC arrangements for the Phase 2 expansion which is already underway. A new crushing unit has been installed to be made operational in April 2023, set to allow the company to drive higher crushing rates in the remaining oxide phase.

Progress has also been made at Steppe’s other assets in Mongolia: in addition to its flagship ATO project, the company has an approximately 20,000 metre drill programme planned at Mungu, northeast of the ATO resource, UK in the south of the Country and further follow up at ATO deposits. Steppe has commenced exploration at the Uudam Khundii property, comprised of one exploration licence covering around 14,500 hectares in the south-west of the country.

The high-potential Uudam Khundii gold project was acquired in 2017, in partnership with the Province of Bayankhongor, and in October, the company announced that with strong local partners and stakeholders, and with a foundational social programme and new prospective licence areas, it is poised to consolidate its leading position in this district and plans to accelerate its exploration and development work.

“We are committed to a strong two-way partnership with all stakeholders in this region and will make sure, just as we did at the ATO Gold Mine, to embark on a programme of local procurement, employment opportunities and investment in education. Again, we want to ensure that local communities are the direct beneficiaries of the economic development arising from the exploration, development and operation of mining in the region.”

With a strong social licence, recognition from leading institutional investors and the robust foundation laid in 2021 resulting in paid-for inventory and healthy cash flow, 2022 has been an exciting and highly-productive year for Steppe Gold.

“In 2023, we will continue to unlock our potential across all of our licences in Mongolia, while seeking out new opportunities,” concluded Mr Waraich.