Chagan mine is located in Inner Mongolia. The deposit is exploited by two companies Hulunbuir Chagan Mining Ltd. and New Barag Right Banner Yishengyuan Mining Ltd. The accompany analysis only covers the production from Hulunbuir Chagan Mining while the production from Yishengyuan is included in Jiawula where the ore is processed. Mining and milling operations are only conducted over 7 months per year (April to October) due to freezing weather conditions in the winter months. Mining and milling capacity increased from 500t/d to 1250t/d in 2011.