Source: Mongolia Energy Corporation                      June 04, 2010

Mongolia Energy Corporation has awarded Leighton Asia an AUD273-million, 6-year contract to develop and operate the Khushuut coal mine project in western Mongolia. This is the second contract that MEC has awarded to Leighton Asia in western Mongolia. The contract is based on a mine plan which ramps up to an initial 3 million tons of coking coal per year and includes 48.5 million cubic meters of material movement and anticipated ramp up to 5 to 6 million tons or more of coking coal per year. Leighton Asia is responsible for all mining activities including load and haul of waste, load and haul of coal, drill and blast, mine planning, technical support, site camp management and catering services. In November 2009, Leighton Asia was awarded the contract to provide an initial 3 million tons per annum mine plan study.

Leighton Asia Managing Director Mr. Hamish Tyrwhitt said, "This award represents an important milestone to our business in Mongolia bringing our total number of mines to 3. Our work in hand at Leighton Asia has now reached a record level of AUD6 billion." MEC Chief Executive Officer James Schaeffer Jr. said, "This award represents completion of a major step forward in the implementation of our business model as an energy and resources developer. Our selection of Leighton as mining contractor will assist in the efficient and professional development of our initial project at Khushuut and demonstrates MEC's commitment to building professional and local relationships for further projects."