New Delhi: India and Mongolia on Tuesday (October 14) discussed plans for cooperation in uranium supplies and reviewed progress on the India-backed oil refinery in Dornogobi, as Prime Minister Narendra Modi announced a new training programme for Mongolia’s border security forces.

In his prepared remarks at a joint press appearance with visiting Mongolian President Khurelsukh Ukhnaa, Modi said the new training initiative would strengthen cooperation in defence and security.

“India will also launch a new capacity-building programme for Mongolia's border security forces,” he said, describing the two countries as “close partners on international forums” that share a commitment to a free, open and inclusive Indo-Pacific.

Modi called the India-Mongolia relationship more than a diplomatic partnership, describing it as “a soulful and spiritual bond” rooted in centuries of Buddhist connection.

“The true depth and breadth of our ties is reflected in our people-to-people ties. For centuries, both countries have been bound by the thread of Buddhism, which is why we are also called spiritual siblings,” he said.

To deepen these cultural and educational links, Modi announced that next year India would send the holy relics of Sariputra and Maudgalyayana, two disciples of the Buddha, to Mongolia. A Sanskrit teacher will also be deputed to the Gandantegchinlen Monastery for the detailed study of Buddhist texts, while India will fast-track a digitisation project involving one million ancient manuscripts. Nalanda University will be linked with the Gandan Monastery to revive historical exchanges of knowledge.

Among the ten agreements signed during the visit was one on cooperation between the Ladakh Autonomous Hill Development Council, Leh and Mongolia's Arkhangai province.

The visit marked 70 years of diplomatic relations and a decade since the elevation of the partnership to a strategic level, which was formalised during Modi's 2015 visit to Ulaanbaatar.

To commemorate the milestone, the two leaders jointly released a postal stamp.

At a special media briefing on the visit, secretary (east) in the Ministry of External Affairs P. Kumaran said the leaders discussed the possibility of cooperation in uranium supplies and coking coal.

“They have just signed a big 1 million tonne per annum deal with France for unearthing and processing uranium. We have also offered our interest in partnering with Mongolia for uranium. We will be taking up the dialogue in the coming months,” he said.

He also confirmed that both sides are examining logistics options to strengthen connectivity and trade routes.

According to the senior official, the two sides reviewed progress on the Mongol Refinery project, backed by India’s $1.7 billion line of credit, which remains the single-largest development partnership initiative undertaken by India abroad.

The refinery was initially expected to cost $1.2 billion, but expenses rose because of the pandemic and Mongolia's short construction season.

Kumaran, who visited the construction site last month, said the project was progressing well and that “almost all the civil work is over”.

The refinery equipment is being manufactured in India and will be shipped to Mongolia, he said, adding that the project is on track to be operational by 2028.

“The Mongolians attach a lot of importance to this project. They want to use their own crude, which is mostly exported now, to be fed into this refinery so that they can be as energy-independent as possible. That is something we want to support and we hope to see this through by 2028,” he said.

He said the memorandum of understanding signed on geology and mineral exploration is linked to the refinery’s long-term operation.

“The Mongolian side wants to try and find crude oil that can support the refinery in the future. Currently, most of Mongolia's crude is exported to China and refined products are imported from Russia. So, to sustain the refinery, they want to explore more oil and gas, and they have invited India to invest in exploration and prospecting for oil in Mongolia,” he explained.

Kumaran added that transport options for heavy equipment are being assessed on economic grounds.

“We are okay to explore any option, whichever works out to be economical for us, whether it is Tianjin or Vladivostok. Russia offers discounted transport charges to Mongolia if Vladivostok is used for transit, and there are also discounts available for using the eastern section of the Trans-Siberian Railway,” he said.

Indian contractors, he noted, are currently transporting civil, mechanical and electrical equipment to Mongolia through the Chinese port of Tianjin and then by road to the refinery site.

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