* Deal could value Altain Khuder around $1 bln - source
* Hong Kong IPO volume down about 82 pct through May
* Deal could be launched in Q4 of 2012
SYDNEY/HONG KONG, May 23 (Reuters) - Mongolian iron ore miner Altain Khuder plans to raise about $300 million through a Hong Kong IPO, a source with knowledge of the matter told Reuters, underscoring a push by mining companies from the resource-rich country to tap stock markets to fund their expansions.
Altain Khuder's initial public offering marks the latest Mongolian miner to tap global capital as the country looks to develop its vast resources to supply its huge neighbour China.
The deal also reflects Hong Kong's appeal as a destination for miners, particularly those that supply minerals resources to China, even though the IPO market has had a rough start to the year.
The Wall Street Journal reported earlier that Altain Khuder plans to raise $1 billion through a Hong Kong IPO.
Altain Khuder, which owns the Tayan Nuur iron ore mine in southwestern Mongolia, has hired Bank of America and Macquarie Group to manage the offer, two sources told Reuters.
Macquarie has been named joint global coordinator for the IPO, one of the sources said, adding that the deal would value Altain Khuder at about $1 billion. The deal is expected to be launched in the fourth quarter.
Altain Khuder has been exporting iron ore to China from its Tayan Nuur mine since 2009 under a 15-year supply agreement with a unit of China's Baoshan Iron & Steel Co (Baosteel) .
Altain Khuder officials were not available for immediate comment. Bank of America and Macquarie declined to comment.
The sources were not authorised to speak about the matter publicly because the information is confidential.
Hong Kong IPOs have had a slow start to the year, with deal volumes down about 82 percent through early May from same time last year due to choppy equity markets, Thomson Reuters data shows. High-end jeweller Graff Diamonds is expected to raise about $1 billion in an IPO next week, which is set to be the biggest Hong Kong floatation so far this year.
The news of Altain Khuder's IPO also comes at a time when Mongolian miner Erdenes Tavan Tolgoi, which owns one of the world's largest coking coal deposits, has pushed back plans for an international stock market debut to early 2013.
The state-owned company's long-delayed London IPO is expected to raise about $3 billion, with Macquarie also one of the underwriters.