The Mongolian government signed an investment agreement with Ivanhoe Mines to develop the "Oyu Tolgoi" copper/gold mine. "Oyu Tolgoi" is expected to reach full operation in 2013 or 2014, once in full operation the "Oyu Tolgoi" mine could make Mongolia one of the biggest producers of copper and gold, also becoming 30% of Mongolia's GDP by itself (mining-technology.com). Ivanhoe Mines has said "the project with "Oyu Tolgoi" has the potential to achieve a mill throughput of 170,000 tpd" (mining-technology.com). "Oyu Tolgoi" is the largest financial undertaking in Mongolia's history. This new boom in mining causes major challenges but new opportunities as well. Especially now when the World's economy is in need of natural resources, Mongolia is starting to shine. As of now Mongolia produces about 60 minerals including copper, silver, gold, and coal. Making Mongolia one of the largest exporters of minerals, with more than 20% of its production shipped to world markets. In a typical year the mining industry is responsible for nearly 20% of Mongolia's total export earnings. We can see that the GDP of Mongolia is rising quickly since 2008; the time when mining of gold, copper, and coal was intensified. In 2008 Mongolia's GDP was $5.3 Billion, as of 2013 Mongolia's GDP has risen to $10.27 Billion and the growth in percentage of the GDP from 2012 to 2013 is 12.3% (worldbank.com). This is why Mongolia has the second fastest growing economy in the world, coming second to Macau (economist.com). The main reason Mongolia has the fastest growing economy in the world is because of the mining sector. .
Another reason mining is crucial in Mongolia's economy is the potential it has to lower poverty and create more jobs for the people with no jobs. As of now over 5% of the mines are owned by Mongolians and around 32000 Mongolians that are currently directly employed in a mining industry (ot.