Ivanhoe Mines is in talks with the Mongolian Government to form an investment strategy for its $3bn Oyu Tolgoi project but there is no clear timetable for when a decision may be finalised.

The mineral-rich country lacks a proper framework for investment resulting in long delays in mining approvals for foreign firms, according to the Wall Street Journal.

A government scheme in which the state holds a 50% share in each mining project in the country has delayed the entrance of many firms into Mongolia’s mining sector.

Earlier this week, the new president Tsakhiagiin Elbegdorj proposed to change the terms of the Oyu Tolgoi deal following the economy’s slump because of falling minerals prices, the Wall Street Journal reported.

The government has delayed its decision on the Oyu Tolgoi project, in which Rio Tinto owns a minority stake, after the economic downturn severely affected export prices of its coal and copper.

The mine site is estimated to have 78.9 billion pounds of copper and 45.2 million ounces of gold resources.