ULAN BATOR - Negotiations over the development of Tavan Tolgoi, one of the largest coking coal deposits in Mongolia, are still underway, said a senior official of the mine's owner Erdenes MGL.

Negotiations with international mining companies over Tavan Tolgoi coal deposit is continuing, Baasangombo Enebish, Erdenes MGL executive director was quoted by local media as saying.

Earlier, the Mongolian government announced it had reached a deal with international bidders and was ready to submit the draft investment agreement to the country's parliament.

Under the deal, China's Shenhua Energy Company, US Peabody Energy Corporation and a Russian-Mongolian consortium would respectively hold 40 percent, 24 percent and 36 percent of the stake in Tavan Tolgoi coal deposit.

However, the deal has not been submitted to the Parliament and has drawn criticism from some high ranking Mongolian officials.

"The development of Tavan Tolgoi is strategically important for Mongolia as it will bring deep social transformation and economic progress. Therefore, draft investment agreement and all other feasibility studies have to be approved by National Security Council and then discussed at the parliament," Puntsag Tsagaan, senior advisor to Mongolian president said.

The Mongolian government has cut the deal supposedly in the hope that the development of the mine will boost the country's economy and improve its people's living standard.

Baabar, one of popular columnists of Mongolia, urged the prime minister to be more resolute and push for the development of Tavan Tolgoi.