Erdenes Tavan Tolgoi LLC, Mongolia's largest state-owned coal company, halted deliveries to China after failing to pay a company that provides logistical support, its CEO said.

Exports to customers, including Aluminum Corp of China Ltd, stopped on Jan 11 as Erdenes TT couldn't pay Altangovi, said Yaichil Batsuuri, who has led the company since October.

Altangovi provides warehousing services at the border with China, the biggest buyer of Mongolia's steelmaking coal. The halt comes as Erdenes TT seeks a government loan for as much as $500 million to repay debts and fund infrastructure construction.

China Daily-Agencies

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