The document summarizes news from the Business Council of Mongolia newsletter. It discusses negotiations over mining agreements for the Oyu Tolgoi and Tavan Tolgoi deposits. The draft agreement for Oyu Tolgoi would give the Mongolian government 34% initially, increasing to 50% after 30 years, and includes provisions for taxes, smelting in Mongolia, employment, and infrastructure. The Western Prospector company is eager to begin work on its Gurvanbulag uranium project and believes production could start within 2-2.5 years if its mining license is approved. Mongolia's politics appear increasingly cooperative for major mining projects to bring in external capital needed to support the economy.
The document provides a summary of business, economic, and political news from Mongolia based on a newsletter from the Business Council of Mongolia dated October 23, 2009. Some of the key highlights include Entrée Gold supporting the Oyu Tolgoi investment agreement, Mongolia Energy announcing coal resources at its Khushuut mine, and Rio Tinto posting a record 12% increase in iron ore output for the third quarter. The document also announces an upcoming meeting for BCM members to discuss topics such as the mining and healthcare sectors in Mongolia.
This document summarizes news from the October 16, 2009 issue of the Business Council of Mongolia NewsWire. It includes the following highlights:
1) The head of Mongolia's Nuclear Energy Agency attempted to calm concerns from uranium companies about a new law regarding state ownership, saying the law does not affect existing exploration licenses.
2) A joint venture between Mongolia and Russia wants to remove Khan Resources from a uranium project in Mongolia, but it is unclear how this could be done legally given Khan Resources' existing exploration license.
3) Rio Tinto purchased additional shares in Ivanhoe Mines for $388 million as part of an agreement to increase its stake in the company, which is developing
- China Nuclear Corp plans to start mining uranium at the Gurvanbulag deposit in Mongolia within two years, with Mongolia owning at least 51% of the project. The deposit contains an estimated 10,000-15,000 tons of uranium.
- China Investment Corp will invest $500 million in SouthGobi Energy Resources to accelerate development of its Mongolian coal projects and increase coal production.
- Rio Tinto and Chinalco have begun discussions for Chinalco to potentially invest in the Oyu Tolgoi copper and gold mine in Mongolia, though any Chinese involvement would be politically sensitive given Mongolia's history with China.
The document discusses the Oyu Tolgoi mining project in Mongolia. It reports that all partners have confirmed that the investment agreement for the project has taken full legal effect. This will allow construction to begin in the second quarter of 2010 and first copper-gold production is expected in 2013. The Mongolian government has approved the feasibility study for the project. However, some MPs have asked for issues with the agreement to be resolved before allowing work to begin. The Finance Minister defended the agreement, saying critics are uninformed and arguing it is a good deal for Mongolia.
The document summarizes news from the Business Council of Mongolia newsletter. It discusses ongoing negotiations over an agreement for the Oyu Tolgoi mining project. Parliament agreed to discuss the revised draft agreement but will not vote on it until after Naadam celebrations next week. There is debate around several issues in the draft including Mongolia's ownership stake, the initial agreement period, and selling of gold within Mongolia. Heavy investment in the project is not expected to begin before next spring, even if the agreement is signed this summer, due to the time needed for financing and construction plans.
The document is a newsletter from the Business Council of Mongolia covering business, economic, and political news highlights from Mongolia. Some of the key business stories covered include: Mongolian miners starting operations at the Tavan Tolgoi coal mine which could impact international bidding for rights to the mine; the launch of exports from Mongolia's Oyu Tolgoi copper mine being delayed pending final government authorization; and a USD 122 million wind farm in Mongolia scheduled to begin operations in June 2013. Economic highlights include the payment of interest for Mongolia's first Chinggis bond and a strengthening currency. Political stories note Tony Blair advising Mongolian companies and Mongolia joining an international environment group.
The document provides a summary of business and economic news from Mongolia. It discusses several mining projects including agreements related to the Oyu Tolgoi project between Ivanhoe Mines, Rio Tinto, and the Mongolian government. It also mentions coal mining projects from companies such as SouthGobi Resources, Hunnu Coal, and Mongolia Energy Corp. In addition, it briefly outlines political and economic topics covered in the issue including credit ratings for Khan Bank and XacBank, rare earth minerals, and currency exchange rates.
This document is a newsletter from the Business Council of Mongolia dated October 7, 2011. It provides summaries of news related to business, economic, and political issues in Mongolia. On the business front, it discusses announcements from Ivanhoe Mines and Rio Tinto regarding the Oyu Tolgoi investment agreement, Energy Resources completing a road for coal transport, and leadership changes at Newcom Group. It also provides updates on exploration and drilling from companies like Petro Matad and Lucky Strike. The economic section covers issues like investment stability, real estate growth, and commodity prices. Politics updates include discussions around dissolving the government and social welfare programs.
The document provides a summary of business, economic, and political news from Mongolia based on a newsletter from the Business Council of Mongolia dated October 23, 2009. Some of the key highlights include Entrée Gold supporting the Oyu Tolgoi investment agreement, Mongolia Energy announcing coal resources at its Khushuut mine, and Rio Tinto posting a record 12% increase in iron ore output for the third quarter. The document also announces an upcoming meeting for BCM members to discuss topics such as the mining and healthcare sectors in Mongolia.
This document summarizes news from the October 16, 2009 issue of the Business Council of Mongolia NewsWire. It includes the following highlights:
1) The head of Mongolia's Nuclear Energy Agency attempted to calm concerns from uranium companies about a new law regarding state ownership, saying the law does not affect existing exploration licenses.
2) A joint venture between Mongolia and Russia wants to remove Khan Resources from a uranium project in Mongolia, but it is unclear how this could be done legally given Khan Resources' existing exploration license.
3) Rio Tinto purchased additional shares in Ivanhoe Mines for $388 million as part of an agreement to increase its stake in the company, which is developing
- China Nuclear Corp plans to start mining uranium at the Gurvanbulag deposit in Mongolia within two years, with Mongolia owning at least 51% of the project. The deposit contains an estimated 10,000-15,000 tons of uranium.
- China Investment Corp will invest $500 million in SouthGobi Energy Resources to accelerate development of its Mongolian coal projects and increase coal production.
- Rio Tinto and Chinalco have begun discussions for Chinalco to potentially invest in the Oyu Tolgoi copper and gold mine in Mongolia, though any Chinese involvement would be politically sensitive given Mongolia's history with China.
The document discusses the Oyu Tolgoi mining project in Mongolia. It reports that all partners have confirmed that the investment agreement for the project has taken full legal effect. This will allow construction to begin in the second quarter of 2010 and first copper-gold production is expected in 2013. The Mongolian government has approved the feasibility study for the project. However, some MPs have asked for issues with the agreement to be resolved before allowing work to begin. The Finance Minister defended the agreement, saying critics are uninformed and arguing it is a good deal for Mongolia.
The document summarizes news from the Business Council of Mongolia newsletter. It discusses ongoing negotiations over an agreement for the Oyu Tolgoi mining project. Parliament agreed to discuss the revised draft agreement but will not vote on it until after Naadam celebrations next week. There is debate around several issues in the draft including Mongolia's ownership stake, the initial agreement period, and selling of gold within Mongolia. Heavy investment in the project is not expected to begin before next spring, even if the agreement is signed this summer, due to the time needed for financing and construction plans.
The document is a newsletter from the Business Council of Mongolia covering business, economic, and political news highlights from Mongolia. Some of the key business stories covered include: Mongolian miners starting operations at the Tavan Tolgoi coal mine which could impact international bidding for rights to the mine; the launch of exports from Mongolia's Oyu Tolgoi copper mine being delayed pending final government authorization; and a USD 122 million wind farm in Mongolia scheduled to begin operations in June 2013. Economic highlights include the payment of interest for Mongolia's first Chinggis bond and a strengthening currency. Political stories note Tony Blair advising Mongolian companies and Mongolia joining an international environment group.
The document provides a summary of business and economic news from Mongolia. It discusses several mining projects including agreements related to the Oyu Tolgoi project between Ivanhoe Mines, Rio Tinto, and the Mongolian government. It also mentions coal mining projects from companies such as SouthGobi Resources, Hunnu Coal, and Mongolia Energy Corp. In addition, it briefly outlines political and economic topics covered in the issue including credit ratings for Khan Bank and XacBank, rare earth minerals, and currency exchange rates.
This document is a newsletter from the Business Council of Mongolia dated October 7, 2011. It provides summaries of news related to business, economic, and political issues in Mongolia. On the business front, it discusses announcements from Ivanhoe Mines and Rio Tinto regarding the Oyu Tolgoi investment agreement, Energy Resources completing a road for coal transport, and leadership changes at Newcom Group. It also provides updates on exploration and drilling from companies like Petro Matad and Lucky Strike. The economic section covers issues like investment stability, real estate growth, and commodity prices. Politics updates include discussions around dissolving the government and social welfare programs.
The document summarizes the signing of an agreement between the Mongolian government and mining companies Ivanhoe Mines and Rio Tinto regarding development of the Oyu Tolgoi copper-gold mining project in Mongolia. Key details include:
- Ivanhoe Mines chairman called the agreement "the godfather of new beginnings" for Mongolia.
- Representatives from Ivanhoe Mines and Rio Tinto praised the Mongolian government's commitment during negotiations.
- The agreement will make Oyu Tolgoi one of the largest copper and gold mines in the world, operating for at least 60 years.
The document provides a summary of news from the Business Council of Mongolia related to business, economic, and political issues in Mongolia. Some of the key points include:
- Ivanhoe Mines expressed that changing the draft Oyu Tolgoi investment agreement could require renegotiation and delay the project.
- The MPRP group in parliament proposed 16 amendments to the draft agreement.
- Exploration results at Oyu Tolgoi in 2008 revealed a new high-grade zone and Ivanhoe published its financial results for the year.
- Estimates were approved for a new large copper and molybdenum deposit in Mongolia.
The document provides a summary of business, economic, and political news from Mongolia in its Business Council of Mongolia newsletter. Some of the key highlights include:
- Mongolia is confident it can resolve disputes with Rio Tinto over the $5 billion expansion of the Oyu Tolgoi copper and gold mine by the December 31 deadline.
- Rio Tinto's Oyu Tolgoi mine has shipped copper concentrate to China but has not recorded any revenue yet due to delays in Chinese customs approval.
- Entrée Gold is considering a proposal to transfer its mining licenses for the Oyu Tolgoi project to Oyu Tolgoi LLC.
- A private equity group in Mongolia is
The document is a newsletter from the Business Council of Mongolia covering business, economic, and political news from Mongolia. Some of the key highlights include:
- The Tavan Tolgoi coal deposit will be divided into two parts and operating contracts awarded to two companies through a production sharing agreement.
- Ivanhoe Mines and Rio Tinto are set to begin full-scale construction at the Oyu Tolgoi copper-gold mine after the investment agreement took legal effect.
- A memorandum of understanding was signed to provide 3,000 jobs at Oyu Tolgoi to unemployed residents of Ulaanbaatar.
Rio Tinto and the Mongolian government are in ongoing negotiations over funding and control of the massive Oyu Tolgoi copper and gold mine project. While talks continued in March, disagreements remain over taxes, cost overruns, and management control. Failure to resolve the dispute could have serious negative consequences for Mongolia's economy and businesses that supply the mine project. Deputy Minister of Economic Development warned of a "catastrophe" if the project stops, as Oyu Tolgoi is expected to account for 30% of Mongolia's economy at full production. Mongolia's businesses are already feeling the effects of the uncertainty through slower contract awards and a general slowdown related to the mine project.
The document is a newsletter from the Business Council of Mongolia covering business, economic, and political news highlights from Mongolia in Issue 292 on September 20, 2013. Some of the key stories covered include the Mining Minister announcing the completion of an audit of costs at the Oyu Tolgoi mine, the Supreme Court ruling against Oyu Tolgoi in a wrongful termination case, and Mongolia agreeing to take a domestic stake in a uranium venture led by Areva to help revive foreign investment in the country.
The document summarizes news from the Business Council of Mongolia newsletter. It highlights several key stories:
1) Ivanhoe Mines and Rio Tinto agreed to change provisions in their agreement for Rio to invest in Ivanhoe's Oyu Tolgoi project to allow Ivanhoe to potentially sell a minority stake and delay Rio's investment deadline.
2) Mongolia's Minister of Mineral Resources said last-minute issues are being resolved so the Oyu Tolgoi investment agreement can be signed by September 30th.
3) An updated mining report termed the Oyu Tolgoi agreement a "landmark" that will boost foreign investment in Mongolia's mining industry.
4) However, former
The document provides a summary of business and economic news from Mongolia in its Business Council of Mongolia NewsWire issue dated August 28, 2009. Key points include:
- Mongolia's parliament approved changes to laws facilitating an agreement for the Oyu Tolgoi mining project, paving the way for a formal signing within two weeks.
- Russia and Mongolia signed an agreement to establish a joint venture to develop the Dornod uranium deposit, though the Canadian company that owns the deposit license has concerns about Mongolia's new nuclear energy law.
- The Business Council of Mongolia held its monthly meeting, welcoming new members and discussing developments in the mining sector and opportunities for trade with Germany.
The document summarizes business and economic news from Mongolia. It discusses several mining projects and companies, including: Oyu Tolgoi starting operation of its concentrator, though government board members call for a new feasibility study due to higher costs; Newera Resources completing drilling at its Shanagan coal project; and Beren Mining planning the largest ever IPO on the Mongolian stock exchange to fund an iron ore mine. It also mentions Mitsubishi Chiyoda beginning construction of a new Ulaanbaatar airport in April and the appointment of a new CEO for Erdenes Oyu Tolgoi.
The document summarizes news from the Business Council of Mongolia newsletter. It includes several stories about the Oyu Tolgoi copper and gold mine project: the Mongolian government is considering increasing taxes and royalties on the mine by $300 million, threatening the project; Rio Tinto denies that China-Mongolia relations are causing delays in negotiations for power supply to the mine; and herders are demanding just compensation from Rio Tinto for being driven off their land by the mine. Other business stories cover mining, oil, trade, and economic development in Mongolia.
The document summarizes news from the Business Council of Mongolia newsletter. It highlights several stories:
1) Rio Tinto is firming up $2.5 billion in financing for the Oyu Tolgoi mine expansion and expects government approval to ship copper within weeks.
2) Erdenes Tavan Tolgoi offered a one-year contract to mine 2 million tons of coking coal at West Tsankhi to attract new customers and raise cash.
3) The Mongolian government remains silent on allowing Centerra Gold to begin operations at its Gatsuurt gold project, which was to supply ore to the nearby Boroo mine for processing.
This document provides a summary of business and economic news from Mongolia. It discusses Parliament approving an agreement for the Oyu Tolgoi mining project, which will benefit the economy. It was seen as an improvement over previous agreements. The document also mentions a fair trade investigation clearing G-Mobile of wrongdoing in a dispute with other cell carriers and the potential bankruptcy of Anod Bank.
The document is a newsletter from the Business Council of Mongolia covering business and economic news from Mongolia. Some of the key stories covered include:
- The Oyu Tolgoi mine has commissioned its new concentrator, a major milestone, but government board members are calling for an updated feasibility study due to higher than expected costs.
- Newera Resources completed phase two drilling at its Shanagan coal project, uncovering significant coal widths.
- Construction of a new airport in Ulaanbaatar by Mitsubishi Chiyoda is slated to begin in April 2013, funded by a Japanese loan.
- Several Mongolian mining and exploration companies announced financing deals, drilling programs and leadership
The document summarizes news from the Business Council of Mongolia newsletter. It discusses Mongolia's plans for developing the Tavan Tolgoi coal deposit. The key points are:
- The Prime Minister confirmed Mongolia will pursue contract mining at Tavan Tolgoi rather than sell a stake, aiming to retain more benefits. This may involve production-sharing or hiring companies to extract coal.
- Mining companies may accept contract terms, though it's a new model for Mongolia. The government would oversee contractors and mining could be done by one or several operators.
- The Minister of Mineral Resources believes improved technology will allow mining much more coal from Tavan Tolgoi than estimated previously.
This document summarizes news from the Business Council of Mongolia newsletter dated August 7, 2009. It covers various business, economic and political stories in Mongolia. On business, negotiations over the Oyu Tolgoi mining project were extended again. The government will discuss the OT agreement and the speaker has not decided on calling a special parliamentary session on it. Centerra Gold posted losses after production fell. On the economy, a World Bank expert discussed infrastructure with lawmakers and import tax relief is expected to save local businesses $5 billion per year. In politics, the former president is preparing to return to politics and the president has overseas trips planned for September.
This document provides a summary of business and economic news from Mongolia in its March 13, 2009 issue. Key points include: Parliament is unlikely to debate an investment draft on the Oyu Tolgoi project in the current session due to reservations from both major parties; Rio Tinto denies plans to delay the Oyu Tolgoi project and is keen to ramp up development; Mongolia's prime minister's economic advisor indicates the government may rethink the gold windfall tax; and the EBRD plans to take an equity stake in a privately-held Mongolian mining operation to strengthen the private sector role in mining.
The document summarizes news from the Business Council of Mongolia newsletter. It highlights several stories: Khan Bank received an $8 million EBRD loan to finance small and medium businesses; Golomt Bank signed agreements with Hungarian and Chinese banks to provide financing for trade; the Mongolian Stock Exchange is negotiating to use Bloomberg's terminal system for bond trades and took legal action against 196 companies that failed to file reports; Rio Tinto's CEO has helped steer the company to recovery as it approaches interim results and considers options for generating cash going forward including potential growth projects.
The document summarizes the key news highlights from Issue 75 of the Business Council of Mongolia NewsWire dated June 26, 2009. It discusses ongoing political debates in Mongolia around foreign investment agreements for the Oyu Tolgoi and Tavan Tolgoi mining projects. The ruling MPRP party is shifting its focus to starting work at Tavan Tolgoi coal deposits to generate revenue for social programs. However, the opposition DP sees this as politically motivated and thinks the two projects should be negotiated together. There is also division in Parliament around proposed changes to uranium mining licenses in Mongolia. The monthly meeting of the Business Council of Mongolia was also summarized.
The document provides a summary of business and economic news from Mongolia. Some of the key points include:
- Final demands from Mongolia regarding the Oyu Tolgoi investment agreement are almost ready and an agreement is possible before Naadam in July.
- Ivanhoe Mines shares jumped on reports that the Mongolian parliament may approve the Oyu Tolgoi agreement this month.
- CNNC International acquired a 69% stake in Western Prospector, a uranium exploration company.
- Entree Gold is compiling results from its spring exploration program including expanding resources at its Heruga copper-gold deposit.
The document summarizes recent news from Mongolia related to business, economy, and politics. It discusses how Parliament asked the government to finalize mining agreements for Oyu Tolgoi and Tavan Tolgoi by February 1st. It also mentions that the risk of miners abandoning projects in Mongolia is high due to lack of progress on mining laws and taxes. Additionally, it provides details on workforce reductions at the Oyu Tolgoi mine and caps on foreign ownership in strategic deposits proposed in draft amendments to minerals laws.
- The presentation summarizes the Selenge Iron Ore Project in Mongolia, which contains four primary iron ore targets with a total exploration target of 250-400 million tonnes.
- Drilling at the Bayantsogt target has outlined an initial JORC resource of 33 million tonnes at 24.4% iron and metallurgical testing indicates the ore can produce a high-grade 65-66% iron concentrate.
- The project is well located for supplying iron ore to inland steel mills in northern China, with strong demand and prices for magnetite concentrate.
This document summarizes information about oil shale basins and resources in Mongolia. It discusses the 13 main oil shale bearing basins in the country, totaling an area of 312,000 square kilometers. Key points include that oil shale is hosted in Lower Cretaceous rocks and was deposited in rift valleys. Estimated oil shale resources are 787.5 billion tons, with identified shale oil resources at 22.7 billion tons across several major basins. Further exploration is needed as surveys have only covered 7.8% of the total area of oil shale basins in Mongolia.
The document summarizes the signing of an agreement between the Mongolian government and mining companies Ivanhoe Mines and Rio Tinto regarding development of the Oyu Tolgoi copper-gold mining project in Mongolia. Key details include:
- Ivanhoe Mines chairman called the agreement "the godfather of new beginnings" for Mongolia.
- Representatives from Ivanhoe Mines and Rio Tinto praised the Mongolian government's commitment during negotiations.
- The agreement will make Oyu Tolgoi one of the largest copper and gold mines in the world, operating for at least 60 years.
The document provides a summary of news from the Business Council of Mongolia related to business, economic, and political issues in Mongolia. Some of the key points include:
- Ivanhoe Mines expressed that changing the draft Oyu Tolgoi investment agreement could require renegotiation and delay the project.
- The MPRP group in parliament proposed 16 amendments to the draft agreement.
- Exploration results at Oyu Tolgoi in 2008 revealed a new high-grade zone and Ivanhoe published its financial results for the year.
- Estimates were approved for a new large copper and molybdenum deposit in Mongolia.
The document provides a summary of business, economic, and political news from Mongolia in its Business Council of Mongolia newsletter. Some of the key highlights include:
- Mongolia is confident it can resolve disputes with Rio Tinto over the $5 billion expansion of the Oyu Tolgoi copper and gold mine by the December 31 deadline.
- Rio Tinto's Oyu Tolgoi mine has shipped copper concentrate to China but has not recorded any revenue yet due to delays in Chinese customs approval.
- Entrée Gold is considering a proposal to transfer its mining licenses for the Oyu Tolgoi project to Oyu Tolgoi LLC.
- A private equity group in Mongolia is
The document is a newsletter from the Business Council of Mongolia covering business, economic, and political news from Mongolia. Some of the key highlights include:
- The Tavan Tolgoi coal deposit will be divided into two parts and operating contracts awarded to two companies through a production sharing agreement.
- Ivanhoe Mines and Rio Tinto are set to begin full-scale construction at the Oyu Tolgoi copper-gold mine after the investment agreement took legal effect.
- A memorandum of understanding was signed to provide 3,000 jobs at Oyu Tolgoi to unemployed residents of Ulaanbaatar.
Rio Tinto and the Mongolian government are in ongoing negotiations over funding and control of the massive Oyu Tolgoi copper and gold mine project. While talks continued in March, disagreements remain over taxes, cost overruns, and management control. Failure to resolve the dispute could have serious negative consequences for Mongolia's economy and businesses that supply the mine project. Deputy Minister of Economic Development warned of a "catastrophe" if the project stops, as Oyu Tolgoi is expected to account for 30% of Mongolia's economy at full production. Mongolia's businesses are already feeling the effects of the uncertainty through slower contract awards and a general slowdown related to the mine project.
The document is a newsletter from the Business Council of Mongolia covering business, economic, and political news highlights from Mongolia in Issue 292 on September 20, 2013. Some of the key stories covered include the Mining Minister announcing the completion of an audit of costs at the Oyu Tolgoi mine, the Supreme Court ruling against Oyu Tolgoi in a wrongful termination case, and Mongolia agreeing to take a domestic stake in a uranium venture led by Areva to help revive foreign investment in the country.
The document summarizes news from the Business Council of Mongolia newsletter. It highlights several key stories:
1) Ivanhoe Mines and Rio Tinto agreed to change provisions in their agreement for Rio to invest in Ivanhoe's Oyu Tolgoi project to allow Ivanhoe to potentially sell a minority stake and delay Rio's investment deadline.
2) Mongolia's Minister of Mineral Resources said last-minute issues are being resolved so the Oyu Tolgoi investment agreement can be signed by September 30th.
3) An updated mining report termed the Oyu Tolgoi agreement a "landmark" that will boost foreign investment in Mongolia's mining industry.
4) However, former
The document provides a summary of business and economic news from Mongolia in its Business Council of Mongolia NewsWire issue dated August 28, 2009. Key points include:
- Mongolia's parliament approved changes to laws facilitating an agreement for the Oyu Tolgoi mining project, paving the way for a formal signing within two weeks.
- Russia and Mongolia signed an agreement to establish a joint venture to develop the Dornod uranium deposit, though the Canadian company that owns the deposit license has concerns about Mongolia's new nuclear energy law.
- The Business Council of Mongolia held its monthly meeting, welcoming new members and discussing developments in the mining sector and opportunities for trade with Germany.
The document summarizes business and economic news from Mongolia. It discusses several mining projects and companies, including: Oyu Tolgoi starting operation of its concentrator, though government board members call for a new feasibility study due to higher costs; Newera Resources completing drilling at its Shanagan coal project; and Beren Mining planning the largest ever IPO on the Mongolian stock exchange to fund an iron ore mine. It also mentions Mitsubishi Chiyoda beginning construction of a new Ulaanbaatar airport in April and the appointment of a new CEO for Erdenes Oyu Tolgoi.
The document summarizes news from the Business Council of Mongolia newsletter. It includes several stories about the Oyu Tolgoi copper and gold mine project: the Mongolian government is considering increasing taxes and royalties on the mine by $300 million, threatening the project; Rio Tinto denies that China-Mongolia relations are causing delays in negotiations for power supply to the mine; and herders are demanding just compensation from Rio Tinto for being driven off their land by the mine. Other business stories cover mining, oil, trade, and economic development in Mongolia.
The document summarizes news from the Business Council of Mongolia newsletter. It highlights several stories:
1) Rio Tinto is firming up $2.5 billion in financing for the Oyu Tolgoi mine expansion and expects government approval to ship copper within weeks.
2) Erdenes Tavan Tolgoi offered a one-year contract to mine 2 million tons of coking coal at West Tsankhi to attract new customers and raise cash.
3) The Mongolian government remains silent on allowing Centerra Gold to begin operations at its Gatsuurt gold project, which was to supply ore to the nearby Boroo mine for processing.
This document provides a summary of business and economic news from Mongolia. It discusses Parliament approving an agreement for the Oyu Tolgoi mining project, which will benefit the economy. It was seen as an improvement over previous agreements. The document also mentions a fair trade investigation clearing G-Mobile of wrongdoing in a dispute with other cell carriers and the potential bankruptcy of Anod Bank.
The document is a newsletter from the Business Council of Mongolia covering business and economic news from Mongolia. Some of the key stories covered include:
- The Oyu Tolgoi mine has commissioned its new concentrator, a major milestone, but government board members are calling for an updated feasibility study due to higher than expected costs.
- Newera Resources completed phase two drilling at its Shanagan coal project, uncovering significant coal widths.
- Construction of a new airport in Ulaanbaatar by Mitsubishi Chiyoda is slated to begin in April 2013, funded by a Japanese loan.
- Several Mongolian mining and exploration companies announced financing deals, drilling programs and leadership
The document summarizes news from the Business Council of Mongolia newsletter. It discusses Mongolia's plans for developing the Tavan Tolgoi coal deposit. The key points are:
- The Prime Minister confirmed Mongolia will pursue contract mining at Tavan Tolgoi rather than sell a stake, aiming to retain more benefits. This may involve production-sharing or hiring companies to extract coal.
- Mining companies may accept contract terms, though it's a new model for Mongolia. The government would oversee contractors and mining could be done by one or several operators.
- The Minister of Mineral Resources believes improved technology will allow mining much more coal from Tavan Tolgoi than estimated previously.
This document summarizes news from the Business Council of Mongolia newsletter dated August 7, 2009. It covers various business, economic and political stories in Mongolia. On business, negotiations over the Oyu Tolgoi mining project were extended again. The government will discuss the OT agreement and the speaker has not decided on calling a special parliamentary session on it. Centerra Gold posted losses after production fell. On the economy, a World Bank expert discussed infrastructure with lawmakers and import tax relief is expected to save local businesses $5 billion per year. In politics, the former president is preparing to return to politics and the president has overseas trips planned for September.
This document provides a summary of business and economic news from Mongolia in its March 13, 2009 issue. Key points include: Parliament is unlikely to debate an investment draft on the Oyu Tolgoi project in the current session due to reservations from both major parties; Rio Tinto denies plans to delay the Oyu Tolgoi project and is keen to ramp up development; Mongolia's prime minister's economic advisor indicates the government may rethink the gold windfall tax; and the EBRD plans to take an equity stake in a privately-held Mongolian mining operation to strengthen the private sector role in mining.
The document summarizes news from the Business Council of Mongolia newsletter. It highlights several stories: Khan Bank received an $8 million EBRD loan to finance small and medium businesses; Golomt Bank signed agreements with Hungarian and Chinese banks to provide financing for trade; the Mongolian Stock Exchange is negotiating to use Bloomberg's terminal system for bond trades and took legal action against 196 companies that failed to file reports; Rio Tinto's CEO has helped steer the company to recovery as it approaches interim results and considers options for generating cash going forward including potential growth projects.
The document summarizes the key news highlights from Issue 75 of the Business Council of Mongolia NewsWire dated June 26, 2009. It discusses ongoing political debates in Mongolia around foreign investment agreements for the Oyu Tolgoi and Tavan Tolgoi mining projects. The ruling MPRP party is shifting its focus to starting work at Tavan Tolgoi coal deposits to generate revenue for social programs. However, the opposition DP sees this as politically motivated and thinks the two projects should be negotiated together. There is also division in Parliament around proposed changes to uranium mining licenses in Mongolia. The monthly meeting of the Business Council of Mongolia was also summarized.
The document provides a summary of business and economic news from Mongolia. Some of the key points include:
- Final demands from Mongolia regarding the Oyu Tolgoi investment agreement are almost ready and an agreement is possible before Naadam in July.
- Ivanhoe Mines shares jumped on reports that the Mongolian parliament may approve the Oyu Tolgoi agreement this month.
- CNNC International acquired a 69% stake in Western Prospector, a uranium exploration company.
- Entree Gold is compiling results from its spring exploration program including expanding resources at its Heruga copper-gold deposit.
The document summarizes recent news from Mongolia related to business, economy, and politics. It discusses how Parliament asked the government to finalize mining agreements for Oyu Tolgoi and Tavan Tolgoi by February 1st. It also mentions that the risk of miners abandoning projects in Mongolia is high due to lack of progress on mining laws and taxes. Additionally, it provides details on workforce reductions at the Oyu Tolgoi mine and caps on foreign ownership in strategic deposits proposed in draft amendments to minerals laws.
- The presentation summarizes the Selenge Iron Ore Project in Mongolia, which contains four primary iron ore targets with a total exploration target of 250-400 million tonnes.
- Drilling at the Bayantsogt target has outlined an initial JORC resource of 33 million tonnes at 24.4% iron and metallurgical testing indicates the ore can produce a high-grade 65-66% iron concentrate.
- The project is well located for supplying iron ore to inland steel mills in northern China, with strong demand and prices for magnetite concentrate.
This document summarizes information about oil shale basins and resources in Mongolia. It discusses the 13 main oil shale bearing basins in the country, totaling an area of 312,000 square kilometers. Key points include that oil shale is hosted in Lower Cretaceous rocks and was deposited in rift valleys. Estimated oil shale resources are 787.5 billion tons, with identified shale oil resources at 22.7 billion tons across several major basins. Further exploration is needed as surveys have only covered 7.8% of the total area of oil shale basins in Mongolia.
The document summarizes plans for establishing an engineering school at the American University of Mongolia. Key points include:
- The school will offer ABET-accredited engineering programs with a focus on cold climate and mineral industry applications relevant to Mongolia's needs.
- It will be located in Dalanzadgad in the South Gobi province to serve the mineral exploration industry in the northern region.
- Initial programs in mining and civil engineering will launch with support from Oyu Tolgoi LLC, while longer term plans envision expansion to additional programs and buildings over time.
- Employer involvement through advisory boards, internships and research partnerships will be important to ensuring the curriculum meets industry needs.
1. Prophecy Resources is developing the Chandgana coal mine and power plant project in Mongolia to address Mongolia's growing energy needs and reliance on costly imports.
2. The proposed power plant would have an initial installed capacity of 600 MW through phases of development and could potentially export power to China.
3. Prophecy is committed to building the power plant to the highest environmental and efficiency standards to reduce pollution compared to Mongolia's existing power sources and ensure safe operations with local employment.
The document summarizes a presentation given in 2015 on investment opportunities and challenges in Mongolia. It notes that while progress had been made in meeting investment needs, challenges remained including fiscal policy, infrastructure development, and laws governing mining and investment. Major projects like Oyu Tolgoi and Tavan Tolgoi presented both opportunities and risks. Overall the outlook was that continued investment, especially in mining and infrastructure, could help Mongolia benefit from its natural resources despite slowing growth in China.
CPS Securities is a boutique corporate advisory and broking firm based in Perth, Western Australia that has been advising retail and wholesale investors since 2001. It ranks in the top 10 by capital raised and top 3 by number of deals executed in Western Australia. CPS Securities established CPS Mongolia in 2010 to bring high-net-worth Mongolian investors access to international and domestic broking services. CPSI Capital Partners was established in 2012 with a focus on providing corporate finance services in Mongolia. The Latitude Mongolia Fund LLP was also established to invest in merchant banking and private equity opportunities in Mongolia, focusing on sectors like mining services, construction, and cement.
- Centerra Gold produced 675,592 ounces of gold in 2009 and expects production of 640,000-700,000 ounces in 2010.
- The document discusses Centerra's operations in Mongolia and the Kyrgyz Republic, including the Boroo and Kumtor mines.
- It provides details on recent developments and reserves at the Boroo and Gatsuurt projects in Mongolia, including construction of a road to access Gatsuurt which could extend Boroo's operating life by over 10 years.
This document summarizes Mongolia's recent economic developments and outlook. In 2012, Mongolia's economy grew at 12.3% but slower than projected due to falling coal exports to China. Inflation slowed to 9.8% in March 2013 but remains uncertain. The fiscal deficit widened to a record 8.4% of GDP in 2012 and is projected to reach 6-7% in 2013 due to revenue shortfalls and high spending. External imbalances also increased, with the current account deficit reaching 31.3% of GDP. Sustainable management of mineral revenues and fiscal consolidation remain key challenges.
APIAG is an independent investment banking firm that provides advisory services to clients in the energy and natural resources sector, including M&A assistance and capital raising. The document discusses four issues driving the current global investment paradigm: returning to fundamentals of geology and project economics; addressing declining productivity; the keys to success being stability, innovation, partnering and patience; and disruptive technologies impacting commodities. Potential solutions discussed are establishing an attractive investment environment, building institutional strength, and improving legal structures and communications to attract investment.
This document summarizes trends in Mongolia's business environment from 2012 to 2016 based on survey data. It finds that satisfaction with the general business environment declined over this period, with a majority becoming dissatisfied. Perceptions of investment conditions also deteriorated significantly, with a growing view that conditions had worsened. Corruption, especially within the tax office and customs, was identified as a major obstacle. While most companies had anti-corruption policies, corruption was still seen as pervasive within both the public and private sectors. Knowing laws/rules and using honest business practices were seen as the best ways to reduce corruption.
This document discusses the need for investor protection reform in Mongolia to increase foreign investment. It notes that political risk is a major constraint according to investor surveys. Specifically, political risk can result in lost investment, opportunity costs from risk premiums, and costly disputes between investors and states. Mongolia faces issues like adverse regulatory changes, breach of contracts, and expropriation that have reduced FDI. The proposed IFC project would help by tracking investment grievances, establishing a grievance management mechanism, and resolving issues early to prevent escalation into costly legal disputes. The overall goal is to increase investment retention, reduce disputes, and improve Mongolia's investment climate and reputation.
This document provides an introduction and overview of a hospital project in Mongolia. It discusses the project timeline and goals, including establishing a modern hospital to international standards with advanced technologies. The hospital infrastructure is described as the first in the country to meet European standards, with features like infection prevention systems and an advanced building management system. Clinical services, medical specialties, and a professional team of local and foreign doctors and nurses are outlined. The hospital aims for clinical excellence through practices like evidence-based guidelines. Customer services and partnerships are also summarized.
The document summarizes business and economic news from Mongolia. Key points include:
- Investors have agreed to amend the Oyu Tolgoi investment agreement to make financing conditions easier for Mongolia.
- Ivanhoe Mines and BHP Billiton discovered a new zone of copper and gold mineralization near the Oyu Tolgoi mine.
- Petro Matad plans to resume drilling for oil in eastern Mongolia next month after suspending operations over the winter.
The document summarizes news from the Business Council of Mongolia newsletter dated October 10, 2014. Key highlights include:
- Rio Tinto's $5.4 billion Oyu Tolgoi copper project expansion in Mongolia has missed another deadline for financing commitments from lenders, raising concerns over Rio's copper earnings and Mongolia's economic outlook.
- Mongolia plans to expand its state-owned Darkhan metallurgical plant to include an iron ore wet concentrate plant by year's end, and upgrade the facility over the next four years.
- China's Sinopec submitted plans for a $30 billion brown coal gasification project in Mongolia to produce synthetic natural gas.
- MIAT
The document summarizes news from the Business Council of Mongolia newsletter. It highlights several stories:
1) Rio Tinto is close to striking a deal with Mongolia on developing the second stage of the Oyu Tolgoi mine, as an engineering contractor has begun hiring workers for the project.
2) Mongolian Mining Corporation has secured $150 million in pre-export loan financing and a $50 million option to fund working capital and investments.
3) Mongolia Growth Group has appointed a new CEO, Paul Byrne, to lead the company in its next phase of development.
Bayarmaa A., Chair of the Environmental Working Group of BCM & Carbon Finance Specialist, Clean Energy & Member of Study Working Group, Asia Super Grid, Newcom
A survey of 24 respondents from private sector, bilateral organizations, civil society, and public sector found that the main corruption issues in Mongolia are weak legal frameworks, public sector corruption, and insufficient internal policies and compliance within organizations. Participants identified developing practical tools, peer presentations, information on legal frameworks, and advocacy as priority activities. Priority topics included ethics culture, legal frameworks, compliance policies, and CSR. Desired outcomes included establishing a strong business network, increasing capacity for compliance policies, strengthening legal frameworks, and improving integrity practices. Priority services identified were a knowledge sharing platform, capacity building, and practical tools. The TAF grant was found to improve capacity building activities, access to trainings, best practice sessions, expertise from other working groups
The document summarizes notes from an informal meeting of the BCM legislative Working Group on May 20, 2014. It discusses concerns about the stability of laws, unclear country strategy, poor investor relations, and use of bond proceeds in Mongolia. Specifically, it notes laws on foreign investment have changed twice in recent years and lack of resolution on OT discussions raises questions about stability agreements. It stresses the need for clear, consistent messages, laws and actions to engage investors who have lost patience and attract others looking for investment opportunities in Mongolia.
The document summarizes a newsletter from the Business Council of Mongolia covering business, economic, and political news in Mongolia. It discusses ongoing parliamentary debate on an investment agreement for the Oyu Tolgoi copper-gold mine, changes made to the proposed windfall profits tax, and indications from the Mongolian government that it is willing to show flexibility on taxes for gold mining companies. It also provides a recap of the most recent BCM monthly meeting which discussed Mongolia's economic situation and relations with the IMF, US, and other countries.
The document discusses the Oyu Tolgoi mining project in Mongolia. It reports that all partners have confirmed that the investment agreement for the project has taken full legal effect. This paves the way for full-scale construction to begin in the second quarter of 2010, with first copper and gold production expected in 2013. The Mongolian government approved the project's feasibility study. However, some MPs have asked for issues with the agreement to be resolved before allowing work to begin. The Finance Minister defended the agreement, saying critics are uninformed and arguing it offers benefits to Mongolia.
This document provides a summary of news highlights from the Business Council of Mongolia newsletter. It discusses several mining projects and investments in Mongolia, including the ongoing negotiations over the Oyu Tolgoi agreement. MPs are working to finalize an agreement but want to take time to ensure it benefits Mongolia. Other highlights include a coal project acquisition, updates on mining operations at Boroo Gold, and economic impacts of the global crisis.
This document provides a summary of news highlights from the Business Council of Mongolia newsletter. It discusses several mining projects and investments in Mongolia, including the ongoing negotiations over the Oyu Tolgoi agreement. MPs are working to finalize an agreement but want to ensure it benefits Mongolia. Other stories discuss royalty rates, progress on mining projects like Boroo Gold, and new acquisitions of coal properties in Mongolia. Overall, the document outlines recent Mongolian business and economic news with a focus on the mining industry.
The document summarizes the key news highlights from Issue 185 of the Business Council of Mongolia NewsWire dated September 16, 2011. Some of the top business stories include TT's IPO being delayed until early 2012, Hunnu Coal agreeing to be acquired by Banpu for $477 million, and the Oyu Tolgoi mine expected to generate one-third of Mongolia's economy by 2020. The "Discover Mongolia" conference delivered investment opportunities in Mongolia's mining sector to over 1,000 investors. Government officials discussed plans to expand Mongolia's infrastructure including roads, railways, and power stations. A panel at the conference addressed issues like mining taxation, licensing, and activities of illegal artisanal miners.
The document summarizes news from the Business Council of Mongolia newsletter. It discusses progress in negotiations for the Oyu Tolgoi and Tavan Tolgoi mining deposits. Investment banks like Deutsche Bank and JP Morgan may help the government sell part of Tavan Tolgoi, estimated to be worth $1-2 billion. The government will own at least 51% of Tavan Tolgoi. NGOs are seeking more transparency in the negotiations. Banks proposed measures to the central bank like government-guaranteed mortgages to restart the housing market and stimulate the economy.
The document summarizes news from the Business Council of Mongolia newsletter dated February 19, 2010. It includes the following highlights:
- The newsletter covers business, economic, and political news in Mongolia, including updates on mining projects like Oyu Tolgoi and Tavan Tolgoi.
- SouthGobi Sands was named the "Local Job Creator of the Year" by the Mongolian National Chamber of Commerce for hiring many local residents.
- Leighton Holdings expressed confidence it will be chosen to develop the large Tavan Tolgoi coal deposit, while it already has contracts for other mines in Mongolia.
- Gobi, Mongolia's largest cashmere manufacturer, held
Ivanhoe Mines has nominated G. Batsukh, the former Mongolian ambassador to China, to be the Chairman of the Board of Directors of Oyu Tolgoi LLC. Ivanhoe Mines has also appointed five other directors to the board. Additionally, a new independent development plan for Oyu Tolgoi confirms that it has the resources to become one of the top three copper-gold producers globally and an exemplar for environmentally responsible mining development. The plan estimates 27 years of mining based on current reserves and 59 years including additional inferred resources. Meanwhile, the Prime Minister of Mongolia has indicated that state support for developing the Tavan Tolgoi coal deposit will favor foreign bidders backed by their
The document summarizes business, economic, and political news from Mongolia reported in Issue 125 of the Business Council of Mongolia NewsWire dated July 2, 2010. Some of the key developments included:
- Rio Tinto raising its ownership in Ivanhoe Mines, which is developing Mongolia's Oyu Tolgoi mine, to 29.6% by exercising warrants ahead of schedule.
- SouthGobi Resources beginning construction of a coal handling facility at its Ovoot Tolgoi mine to add value by processing and blending coal.
- Petro Matad spudding its first exploration well in Mongolia, a key test for the company, after delays due to weather and disease outbreaks.
The document is a newsletter from the Business Council of Mongolia that provides news highlights from June 4, 2010. It covers business, economic, and political news items. The business section notes that the Mongolian minister wants to import Chinese labor for the Oyu Tolgoi project due to a lack of qualified local workers. It also discusses several mining projects and deals, including Shenhua reiterating interest in the Tavan Tolgoi coal mine and MEC offering a contract to Leighton Asia for coal mining in western Mongolia. The economic section covers topics like the prime minister stressing the need for better corporate governance and China scaling back factory production growth. The politics section mentions China pledging $500 million during
The document is a newsletter from the Business Council of Mongolia covering business and economic news from Mongolia. It discusses several mining and coal projects in Mongolia, including Chinalco looking to buy a minority stake in the Oyu Tolgoi project, Peabody Energy completing Mongolia's first coal mine restoration project, and Entree Gold receiving a new coal mining license. It also mentions new partnerships and financing deals between various Mongolian and international banks and companies for projects in Mongolia.
The document summarizes business and economic news from Mongolia reported in Issue 182 of the Business Council of Mongolia NewsWire dated August 26, 2011. Key points include:
- The selection of investors for the Tavan Tolgoi coal mine is still under review and Japanese and Korean companies have not been ruled out as potential investors.
- A new thermal power plant is being planned for the Gobi region to provide power for mining operations at Tavan Tolgoi and Oyu Tolgoi.
- Macmahon Holdings and BBM Operta Group were awarded a contract for work at the Tavan Tolgoi coal mine.
The document summarizes news from the Business Council of Mongolia newsletter. Key highlights include:
- Government talks with Rio Tinto over cost overruns at the Oyu Tolgoi mine are on hold for Mongolia's lunar new year celebration, but will resume after. Mongolia will press Rio to explain the $2 billion cost increase.
- Oyu Tolgoi produced its first copper concentrate after processing initial ore through the concentrator in early January. Ramp up to commercial production is expected in the next 3-5 months.
- Operations are on hold at MEC's Khushuut coal mine until a new contractor is selected and a dry coal processing system is installed.
-
The document summarizes business and economic news from Mongolia. It reports that Rio Tinto announced 1,700 redundancies at its Mongolian operations due to delays in underground expansion of the Oyu Tolgoi copper mine. Mongolia wants this expansion funded through cash flow from the mine until disputes over costs are resolved. Mongolia is also studying an IPO of its 34% stake in Oyu Tolgoi to give citizens ownership and help fund the expansion. Additionally, Prophecy Coal signed coal export deals to restart shipments to Russia.
The document is a newsletter from the Business Council of Mongolia covering business and economic news highlights from Mongolia. Some of the key points from the document include:
- The Mongolian Prime Minister expressed support for project financing to restart construction of the underground expansion of the Oyu Tolgoi mine, signaling that Mongolia is ready to finalize the funding agreement.
- Exports of copper concentrate from Mongolia increased 53% in the first quarter thanks to production starting at Oyu Tolgoi.
- The CEO of Erdenes Tavan Tolgoi said the company's debt to Chalco has fallen to $130 million but it is still struggling financially and operating at a loss.
-
- The document summarizes business and economic news from Mongolia. It reports that Turquoise Hill Resources and Rio Tinto expect to sign a $4 billion financing plan by the end of June to develop the second phase of the Oyu Tolgoi mine, while Mongolia plans to begin investigating Oyu Tolgoi's tax and contractual compliance. It also mentions that Erdenes Tavan Tolgoi will begin mining the West Tsankhi coal area and potentially partner with foreign miners, and that Japanese companies will build Mongolia's second international airport.
The document summarizes business and economic news from Mongolia reported in Issue 291 of the Business Council of Mongolia NewsWire dated September 13, 2013. Key points include:
- Oyu Tolgoi appointed a new CEO from Rio Tinto as disputes continue over project financing terms between Rio Tinto and the Mongolian government.
- Mongolian representatives will meet with Rio Tinto investors in London to discuss the situation at Oyu Tolgoi amid declining foreign investment in Mongolia.
- A new digital cable platform is set to launch in Mongolia provided by NAGRA, allowing subscribers access to premium content and services.
After careful consideration for the preservation of the region’s environment, culture, and people, Jalsa Urubshurow opened Three Camel Lodge in 2002 as the only luxury eco-lodge in the Gobi Desert. Built by and staffed by locals, Three Camel Lodge offers travelers a way to experience the nomadic spirit of the region alongside modern comforts while protecting the natural beauty and culture.
After careful consideration for the preservation of the region’s environment, culture, and people, Jalsa Urubshurow opened the only luxury eco-lodge in the Gobi Desert, Three Camel Lodge, in 2002. Built by and staffed by locals, Three Camel Lodge offers travelers a variety of activities to learn about nomadic culture while enjoying modern comforts in a way that showcases the nomadic spirit without destroying the natural environment of the region.
The Business Council of Mongolia published its January 2020 Macroeconomic Updates report which contained the following key points:
1) Mongolia's GDP grew 6.3% in Q3 2019 while inflation was at 5.2% in December 2019. Exports reached a historic high of $7.6 billion in 2019, driven by record coal exports.
2) Foreign direct investment in Mongolia totaled $21.5 billion as of 2019, with the majority from Canada, China, Singapore, and Luxembourg invested mainly in mining.
3) The Mongolian currency, the togrog, depreciated 3.8% against the US dollar in 2019 as the central bank supplied $2.
Faro Foundation Mongolia is a non-governmental organization that promotes digital literacy and safe internet use in Mongolia. It works to educate the public on topics like online safety, proper social media use, and cyberbullying prevention. The organization's primary goal is to create positive social change through social media. It has developed a digital literacy curriculum and library on Facebook to teach essential digital skills to students, teachers, and parents.
The Business Council of Mongolia (BCM) is an independent non-profit organization established in 2007 to advocate for economic freedom and a competitive business environment in Mongolia. It has over 240 member organizations from various sectors. The BCM aims to equip its members with policy research, training, and networking opportunities. It is organized with a Board of Directors, Executive Committee, and six working groups focused on key issues. The Growth and Innovation working group works to promote digital transformation in Mongolia.
The One-Stop-Service Center (OSSC) was established in February 2019 under the Prime Minister's order to provide centralized public services to investors in Mongolia. The OSSC was created as part of Mongolia's three-pillar development policy and on the recommendation of the Investment Protection Council. It allows five government bodies, a bank, and notary office to render services to foreign investors from one location.
Mongolians are building a competitive Fintech sector with international ambitions by cultivating agile and innovative teams combining specialists and experts from 6 nationalities. To become truly internationally competitive, Mongolia must train professionals and executives to international standards by growing their next generation of innovative leaders and skilled experts. Overcoming these challenges will allow Mongolia to solve growing issues and compete in international markets.
The document discusses competitiveness rankings for Mongolia and its provinces. It analyzes Mongolia's performance in the IMD World Competitiveness Ranking, where Mongolia ranked 62nd out of 63 countries in 2018. The ranking evaluates countries across 4 factors: economic performance, government efficiency, business efficiency, and infrastructure. The document also summarizes findings from a provincial competitiveness report for Mongolia, which evaluated and ranked the competitiveness of Mongolia's 21 provinces. Finally, it outlines criteria and results from a competitiveness ranking of districts in Ulaanbaatar city across 5 factors of quality of life, living environment, safety and security, governance, and economic performance.
Digital transformation involves using digital technology in new ways to solve traditional business problems and drive organizational change. The presentation discusses how digital transformation differs from related concepts like digitization, analytics, and outsourcing. Key aspects of digital transformation include leveraging data as a strategic asset, adapting to digital natives, and undergoing cultural and technological changes. Methods like agile project management and design sprints are presented as ways to accelerate transformation. The presentation also provides examples of how companies have transformed, such as Domino's Pizza using digital strategies to regain market share.
DBS Bank was named the world's best digital bank by Euromoney in 2016 and 2018, beating competitors like Citi, BBVA, and ING. The CEO of DBS Bank, Piyush Gupta, accepted the award and said that banks of the future will be fundamentally different than today's banks due to their digital transformation. DBS Bank has spent three years focused on digital initiatives by changing employee mindsets and technology infrastructure to make banking simple and seamless for customers.
Mongolia transitioned to democracy in the early 1990s after a peaceful revolution. It now has a multi-party parliamentary democracy with freedoms of religion, expression, and private property rights guaranteed in its constitution. Mongolia's economy depends heavily on its mineral and agricultural sectors as it continues developing a market economy after transitioning from Soviet control.
The document discusses the Growth & Innovation Working Group of the Business Council Mongolia. The working group aims to:
1. Promote and advance business growth and innovation in Mongolian society through educating businesses, government, and the public on opportunities in research and development.
2. Enable all organizations to grow and innovate, not just start-ups or sectors traditionally thought of as innovative.
3. Focus on key objectives like digitalization, infrastructure, financial technology, data security, efficiency, public investment policy, and intellectual property protection to support the digital transformation of consumer and enterprise services through technologies like IoT, AI, fintech, blockchain, and more.
The working group plans events
The BCM held its January monthly meeting to discuss organizational updates. Key points:
- The BCM elected a new 15-member Board of Directors and appointed an Executive Committee and Working Groups.
- Two presentations were given on legal environments for asset management in Mongolia and on responsible mining.
- The BCM revised its mission statement to focus on providing members with policy research, training, and networking support for business in Mongolia.
- The BCM reorganized its working groups, which are now chaired by Board members, and strengthened its secretariat.
The document discusses Mongolia, Russia, and China's economic corridor program. It notes that the program aims to improve connectivity between the three countries through projects involving railway, roads, energy transmission lines, gas and oil pipelines, and high-speed internet. There are currently 32 projects across areas like infrastructure, energy, agriculture, border cooperation, trade, environment, education, medicine, and more. The document also discusses plans to establish a joint center for investment planning and projection in Ulaanbaatar to facilitate implementation of the economic corridor program projects and further trilateral cooperation.
This document provides information on business opportunities through procurement for Mongolia's Second Compact Agreement with the Millennium Challenge Corporation (MCC). It outlines that the total grant value is $350 million to fund activities supporting economic growth and poverty reduction in Mongolia. Key business opportunities include consulting services, goods, and construction works valued at approximately $44 million for the base year. The presentation also reviews MCC's procurement principles of transparency, fairness and competitiveness. It provides details on the procurement process and how opportunities will be advertised.
El Puerto de Algeciras continúa un año más como el más eficiente del continente europeo y vuelve a situarse en el “top ten” mundial, según el informe The Container Port Performance Index 2023 (CPPI), elaborado por el Banco Mundial y la consultora S&P Global.
El informe CPPI utiliza dos enfoques metodológicos diferentes para calcular la clasificación del índice: uno administrativo o técnico y otro estadístico, basado en análisis factorial (FA). Según los autores, esta dualidad pretende asegurar una clasificación que refleje con precisión el rendimiento real del puerto, a la vez que sea estadísticamente sólida. En esta edición del informe CPPI 2023, se han empleado los mismos enfoques metodológicos y se ha aplicado un método de agregación de clasificaciones para combinar los resultados de ambos enfoques y obtener una clasificación agregada.
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Here is Gabe Whitley's response to my defamation lawsuit for him calling me a rapist and perjurer in court documents.
You have to read it to believe it, but after you read it, you won't believe it. And I included eight examples of defamatory statements/
An astonishing, first-of-its-kind, report by the NYT assessing damage in Ukraine. Even if the war ends tomorrow, in many places there will be nothing to go back to.
Acolyte Episodes review (TV series) The Acolyte. Learn about the influence of the program on the Star Wars world, as well as new characters and story twists.
1. BUSINESS COUNCIL of MONGOLIA
NewsWire
www.bcmmongolia.org
info@bcmmongolia.org
Issue 58, February 20, 2009
NEWS HIGHLIGHTS:
Business: No surprise in draft of Oyu Tolgoi agreement; “We will own 50% some day,” asserts
Zorigt, without saying just when; NAMBC chief says lengthy negotiations on Oyu Tolgoi
serve a purpose; Western raring to go in Gurvanbulag; Rio unlikely to bid for Tavan
Tolgoi; Guesses galore on who will get Tavan Tolgoi; Mongolian mining contract boosts
Leighton confidence; Citi’s top Asia mining banker joins SouthGobi; Chinalco set to
grab Rio assets, up stake; No special consideration for Rio-Chinalco deal, says
Australian Treasurer; Rio may consider changes to deal, JPMorgan Cazenove says; BHP
sounds Rio Tinto investors; Biggest tumble for copper since October 30; “IMF does not
believe us on Anod Bank,” Bayar tells Parliament; Mongolian-owned mine starts
processing iron ore; Government establishes company for uranium; Award for
MobiCom; Move to open protected areas to mining; Government warns against keeping
mines idle; New vocational training law passed.
Economy: Revised budget cuts salaries, allowances, jobs, projects; Action plan passes first
reading; Crisis a national challenge, says Bayar; Former PM warns of debt trap,
stopgap measures; Tax revenue much less than expected; Less cash in circulation;
Apartment prices start rising; Foreign workers indispensable at the moment, says MP;
Meeting mulls tourism strategy in times of crisis; No fall in diesel price;
Unemployment up, but 1,800 get a job in January; Selenge tries to change animal
husbandry practices; Visiting and living in Altanbulag to be made easy; Mongolians
among investors in Australian “gold rush.
Politics: Labor Union protests salary cut, Bayar explains decision; Prime Minister to have 7
advisors; Ambassador tells media about U.S.-Mongolia relations; 14,000 leave MPRP to
keep jobs; Government House is sinking; Holiday on Friday, but March 1 will be a work
day; Buy local products for Tsagaan Sar, appeals Government; Mongolians to have 90-
day visas for South Korea; Only 6% of Mongolians are more than 60 years old;
Ulaanbaatar to have 60 km of subways; US grain for Mongolia comes through
Vladivostok; Asia Foundation grant to biology faculty; World Bank offers grants to
develop leadership qualities.
There will be no issue of the BCM NewsWire next Friday, February 27. We wish all of our BCM
Members and other readers a Happy Tsagaan Sar.
NOTICE TO BCM MEMBERS
The second 2009 BCM monthly meeting for Members will be Monday, February 23 at 5 PM at the
Open Society Forum. Featured will be presentations by Mr. L.Orgil, Foreign Policy Advisor to the
President – ―PRESIDENT AND FOREIGN AFFAIRS‖, and by Mr. Byung Kyoon Jang, Resident
Representative, International Monetary Fund (IMF) – ―CURRENT ECONOMIC CLIMATE AND POSSIBLE
DONOR SUPPORT‖.
Mr. Do.Ganbold, President, Mongolian National Mining Association (MNMA) will provide an update on
key developments in the Mining Sector. U.S. Ambassador Mark Minton will report on U.S.-Mongolia
relations in the Obama administration and provide updates on various U.S. programs here.
Teleconferencing will again be available for Members not able to attend in person. Call number is
(1-218) 936-7979, access code 771358 to be connected. Cost will be solely that of the long distance
2. call to the above US number. Members who plan to attend the meeting in person or via
teleconferencing with questions on these presentations should Email them in advance to
info@bcmmongolia.org.
BUSINESS
NO SURPRISE IN DRAFT OF OYU TOLGOI AGREEMENT
The working group set up by the Government to negotiate an agreement with Ivanhoe Mines and Rio
Tinto, the two joint investors in Oyu Tolgoi, has finished its work. The draft will be presented to
Parliament soon, after the National Security Council finishes reviewing it. If Parliament approves it
as it stands, there will be no further obstacles to work beginning on the mines. If, however,
Parliament rejects the draft, either in its entirety or in part or parts, the talks will have to be held
again.
The agreement has 160 clauses placed under 16 main articles. The more salient points are given
below.
- Ivanhoe Mines Mongolia will operate in Oyu Tolgoi and the Mongolian Government would own 34
percent of the deposits. This percentage will increase to 50 within one year of extending the
contract. This is likely to be after 30 years, though the Government will neither confirm nor deny
that the present agreement is going to be for that period.
- The Mongolian share of the investment expenses and the interest accruing on them is to be
adjusted against the dividends that will be due to it in future.
- The Mongolian side will take USD125 million in advance.
- Ivanhoe Mines will pay taxes and other dues in accordance with the laws of Mongolia.
- The mined gold will be sold to the Central Bank at the market rate prevalent on the day of sale.
- Once the initial amount of investment plus an additional 29.9 percent of it has been recouped,
income from the project will be subject to 30 percent tax.
- A copper smelting factory will be set up in Mongolia.
- All the technology used for the mining will be non-hazardous to the environment and must meet
Mongolian and international standards. The excavation has to be efficient, with as little waste as
possible.
- An Umnugobi Regional Development Council will be established. The investor will be a member
and support its activity.
- Energy for the mines and everything to do with them will come from China for the first 4 years,
after which period domestically produced power will be used. For this a power station will be
built in a place advantageous to Mongolia. The investor will build a road connecting the Oyu Tolgoi
mines and the Gashuun Sukhait border port and also construct an aircraft landing strip at the
mines site.
- At least 90 percent of the employees will be Mongolian.
Source: Ardiin Erkh
“WE WILL OWN 50% SOME DAY,” ASSERTS ZORIGT, WITHOUT SAYING JUST WHEN
Minister for Minerals and Energy D.Zorigt told media on Tuesday that the Government would own 50
percent of the Oyu Tolgoi deposits some day, but refused to specify when that ―some day‖ would
be. He also indicated that substantial progress has already been made in preparing the draft of the
agreement on the Tavan Tolgoi deposits.
He said both drafts would strictly follow the directives given to the Government by Parliament. If
the National Security Council wished to amend any articles of the Oyu Tolgoi agreement, the draft
will have to be revised and re-approved by the Government.
Source: en.News.mn
NAMBC CHIEF SAYS LENGTHY NEGOTIATIONS ON OYU TOLGOI SERVE A PURPOSE
The draft of the agreement now before Parliament for its approval confirms that the Government is
3. satisfied with a 34-percent stake in Oyu Tolgoi, Ivanhoe Mines Ltd.'s long-stalled copper-gold
project. Mr. Steve Saunders, president of the North America-Mongolia Business Council, has said
that this reaffirmation that the Mongolian Government would not push to seek more than 34
percent of the project signals that the Government wants to attract more foreign investment. The
agreement is not yet final, ―but I think the draft communicates to the global investor community
that the Mongolian Government is sticking with the 2006 law and not doing any other tinkering with
the legal environment," Mr. Saunders said.
Oyu Tolgoi has been unable to enter the formal development stage for years due to the
Government's inability to finalize an investment agreement with Vancouver-based Ivanhoe. Mr.
Saunders said that the process, while lengthy, plays an important role. "Because this is such a
capital-intensive industry, both sides need the security and certainty of knowing what each side is
going to do, not just in the next 12 months but in the full period of the development and
operation," he said.
Source: Metal Bulletin
WESTERN RARING TO GO IN GURVANBULAG
In a Business Plan Update released earlier this month, Western Prospector has revealed its
eagerness to begin work on its 100% owned Gurvanbulag uranium project in north eastern Mongolia
(certain other deposits are joint-ventured with 70% WNP ownership), where it holds exploration
licenses covering 1,900 sq. km, containing more than ten deposits with ―historic resources‖.
Western owns all land rights required to develop its property, and has already invested more than
USD80 million on major start-up costs, including development of 17 km of underground lateral
tunnel for partial dewatering. More than 10 MW of electrical power is in place, a cell phone
network has been activated, highway engineering and environmental assessment have been
completed, and a 200-person camp built, readily expandable for production.
Gurvanbulag is a world class asset with near-term proven production capability. A Positive
Definitive Feasibility Study has confirmed that 1.8 million lbs of uranium can be produced per year.
At the moment 7 parts of the mining application are completed. The 8th part, the resource reserve
in Mongolian format, is with the MPRAM for its approval. Once that is received, Western‘s mining
license application will be complete, and ready to be submitted for final approval. Production can
start within 2 to 2 1/2 years from signing of agreement, so it could be as early as January 2012.
The market outlook for uranium remains strong as China, Japan, India, Russia, and the USA all plan
to increase their nuclear power share, or install new applications for existing reactors, or build new
reactors, while delays in some major projects continue, and new projects are cancelled due to
funding issues. Price forecasts promise to remain robust through 2014.
Mongolian politics looks increasingly cooperative for major mining projects. Western believes that
some of the best mining deals will be struck this year in Mongolia as the only way to prop up the
Mongolian financial system is to get external capital into Mongolia as soon as possible.
Western remains committed to the completion of its Strategic Partnering program in Q1 2009. Its
cash position is fine. It had CAD9.2M of cash as of December 31, 2008. In Q4 2008, the company
instituted cost cutting measures to reduce the monthly operating burn to CAD700K, allowing it to
operate into 2010 without any additional external financing.
Source: www.westernprospectors.com
RIO UNLIKELY TO BID FOR TAVAN TOLGOI
A person familiar with the situation has said that given its involvement in Oyu Tolgoi and the mine's
historical ownership issues, Rio Tinto is unlikely to make a bid for Tavan Tolgoi coal deposits. Rio
Tinto declined to comment.
Mr. Robert Lepsoe, a Hong Kong-based adviser to the Mongolian Government, has said no stake size
or timeline has been given to Deutsche Bank and J.P. Morgan Chase in their negotiations with
prospective investors. The Government is exploring a range of privatization options with a broad
range of investors spanning the mining majors, state enterprises in China and other countries, as
well as financial investors. "The initial plan is for the mine to sell thermal and coking coal, but the
Government intends to eventually build power plants so that power can be exported to China," Mr.
4. Lepsoe said.
A source following the developments feels Chinese bidders, who have been active in buying assets
abroad, will likely be the front-runners for the sale, because they have domestic financing lines
open to them. Shenhua has already started construction on a rail line to the Mongolian border.
Mongolia has been working to clarify its mining laws, and Mr. Lepsoe said the Government has
agreed on a framework where it would own 34% of Oyu Tolgoi and 51% of Tavan Tolgoi.
Source: Dow Jones Newswire
GUESSES GALORE ON WHO WILL GET TAVAN TOLGOI
Vale, Xstrata, and Rio Tinto are among the companies that have submitted proposals to develop
Mongolia's prized USD2 billion Tavan Tolgoi coal mine, according to two sources with direct
knowledge of the matter. Mongolia's Government has hired Deutsche Bank and JP Morgan to sell up
to a 49 percent stake in what is often called the world's biggest untapped coking coal deposit. BHP
Billiton and coal giant China Shenhua Energy have also bid, according to the sources. Tavan Tolgoi,
which has a coal reserve of 6.5 billion tons, and holds thermal coal, is also drawing bids from
consortiums of Japanese, Russian and Korean firms. Those firms include energy, commodity and
trading companies, one of the sources said.
Shenhua, which analysts long considered the leading bidder because of China's proximity to
Mongolia, may not have frontrunner status. "It's not a slam dunk that Shenhua is the party that is
going to get that development," said a Hong Kong-based investment banker, adding the Mongolian
Government is leaning toward an international and diversified player. The bids have been put
forward in different forms -- some detailed development proposals, some 1-page expressions of
interest, the investment banker said.
"Basically good quality hard coking coal is quite a scarce commodity in the long term and such large
assets are hard to come by, so companies with a long-term view on coal could find the assets
attractive," said Mr. Malcolm Southwood, an analyst at Goldman Sachs in Melbourne. A supply
crunch last year helped more than double the price of hard coking coal, which is used in the metals
sector, to USD300 a ton as steelmakers across the globe gobbled up huge quantities amid an
economic boom. While prices have since collapsed as demand from steel mills slumps on the back
of a global economic downturn, analysts said the long-term outlook for hard coking coal prices
remains robust.
Media reports have named a range of potential bidders such as Japan's Itochu Corporation and
Peabody. But the process has been plagued by setbacks as Mongolia clarifies its mining laws, and no
timetable for development has been confirmed. "It's a fabulous asset and that will present a great
opportunity to whoever is the successful bidder, and certainly we'd love to see that put into motion
as soon as possible, but I'm not holding my breath," said Mr. Andrew Driscoll, Head of Resources
Research at CLSA.
Source: Reuters.com
MONGOLIAN MINING CONTRACT BOOSTS LEIGHTON CONFIDENCE
Leighton Holdings has expressed confidence the global financial crisis will not spoil its growth
momentum, after announcing its order book had grown USD9 billion to a record USD39 billion since
the start of the financial year. Despite the engineering and mining contractor last week reporting a
56 per cent fall in first-half profits to USD111 million after booking USD239 million of pre-tax asset
writedowns, chief executive Wal King said he was confident it would continue to win new work.
"Our underlying strength and momentum continues," said Mr. King, highlighting the awarding of two
mining contracts in Mongolia and Indonesia worth USD2.5 billion.
The company maintained its forecast of a full-year net profit of USD480 million and revenues of
USD19 billion. "Of course there are issues. You can't expect to travel through such a turbulent
environment and not be hit by issues," Mr. King said. "But our boat is in particularly good shape and
our boat is capable of withstanding any of the shocks that may happen in the future."
Source: The Sydney Morning Herald
5. CITI’S TOP ASIA MINING BANKER JOINS SOUTHGOBI
Citigroup‘s Asia-Pacific head of metals and mining investment banking is leaving the bank to take
an executive position at Canadian miner SouthGobi Energy Resources. Mr. Alexander Molyneux is to
start work at the Vancouver-based coal producer on April 27. SouthGobi published a statement on
Mr. Molyneux‘s hiring last week. He was granted options to acquire 625,000 common shares of
SouthGobi at USD7.94 per share, for a 7-year period, according to the company.
Mr. Molyneux, based in Hong Kong, has been an adviser and banker to mining, metals and industrial
corporations for 12 years. ―It‘s a try at a different career path, in terms of taking a leadership
position in a very complex business and trying to test myself a lot more on the managerial side of
business,‖ he said.
SouthGobi is focused on exploring and developing metallurgical and thermal coal deposits in
Mongolia and Indonesia. Its flagship coal mine, Ovoot Tolgoi in Mongolia, sells coal to customers in
China. Local media have reported that SouthGobi plans to pursue an initial public offering in Hong
Kong. Mr. Molyneux would not comment on thís, but said, ―The first thing is to establish SouthGobi
Energy Resources in Asia. It‘s got to have more of a presence in the investment community here.‖
Source: Reuters.com
CHINALCO SET TO GRAB RIO ASSETS, UP STAKE
Chinalco is set to up its stake in Rio Tinto to 18% after the two groups announced a USD19.5 billion
partnership. Under the transaction terms Chinalco will invest USD12.3 billion across a range of Rio‘s
assets while a two-tranche convertible bond will be issued to a total of USD7.2 billion. If converted,
the bonds would lift Chinalco‘s stake in Rio to 19% of the London-listed entity and 14.9% in Rio
Tinto Limited. This is equivalent to an 18% stake in the Rio Tinto Group. If this goes through -- the
Australian Government Foreign Investment Review Board has to authorize it -- Chinalco will be in a
very dominant position. Under current Australian law a company has to lodge a formal takeover
offer if it acquires more than a 19.9% equity position in an Australian company. Chinalco will be
able to nominate two members to the Rio board.
Chinalco president Xiao Yaqing has told the Financial Times his firm has no plans to increase its
minority stake in Rio. "Depending on the market, we will look at converting our convertible bonds
into equity. But we have no plans for increasing our stake beyond that," Mr. Xiao said. "We view this
from the angle of creating financial returns." He also rejected the suggestion that Chinalco's
investment was a political as well as a business move, since it could boost China's overall global
influence. "The market and the price-setting mechanism for iron ore is extremely transparent and
there is no way that Chinese companies would gain an advantage in that respect through this deal,"
he said. "Other companies have joint ventures with Rio Tinto as well, so they have just as much
influence."
Source: MiningNewsPremium.net Newsletter, Reuters.com
NO SPECIAL CONSIDERATION FOR RIO-CHINALCO DEAL, SAYS AUSTRALIAN TREASURER
Wayne Swan has said he will assess Chinalco's planned USD19.5 billion investment in Anglo-
Australian miner Rio Tinto in the normal way and based on Australia's foreign investment guidelines.
Mr. Swan also said that he had told Mr. Lou Jiwei, chief executive of China Investment Corp., the
country's sovereign-wealth fund, that Australia welcomed foreign investment ―as long as it fits our
guidelines and meets our national interest test. I said that to him as I say it to many from other
countries."
On the Rio-Chinalco deal, Mr. Swan said he would consider it "seriously, very closely", and that the
transaction needs to be "in the national interest" in order to be approved.
Source: The Sydney Morning Herald
RIO MAY CONSIDER CHANGES TO DEAL, JPMORGAN CAZENOVE SAYS
Rio Tinto may consider changes to its USD19.5 billion agreement to sell convertible bonds and
stakes in projects to the Aluminum Corp. of China, JPMorgan Cazenove Ltd. has said. Mr. Tom
Albanese, Rio‘s chief executive officer, told an analyst briefing on Tuesday that the company will
―continue to listen to shareholders‖, Mr. David Butler, an analyst at JPMorgan Cazenove in London,
wrote the day after in a research note. Rio will ―act appropriately as conditions change‖, he cited
6. the CEO as saying.
Insurer Legal & General Group Plc, London-based Rio‘s second-largest institutional shareholder, has
called for an alternative to the transaction that protects current investors‘ rights. Chinalco, as the
Chinese state-owned company is known, is already the mining company‘s largest investor and would
increase its stake to 18 percent if the debt were converted.
―They did allude to some limited scope for changes,‖ Mr. Butler wrote. ―However, the extent to
which that might stretch is unclear.‖ Mr. Nick Cobban, a London-based spokesman for Rio, declined
to comment. Chinalco agreed on February 12 to purchase USD7.2 billion of convertible bonds and
pay USD12.3 billion for stakes in Rio‘s Chilean, U.S. and Australian projects.
Mr. Albanese confirmed that Rio had held talks with ―a number of parties‖ on asset sales, according
to Mr. Butler. That included discussions with larger competitor and former takeover suitor BHP
Billiton Ltd. on buying the remaining stake in the Escondida copper mine in Chile. ―The valuations
offered by Chinalco were significantly more attractive,‖ Mr. Butler wrote.
Melbourne-based BHP, which abandoned a hostile bid for Rio in November, operates Escondida, the
world‘s largest copper mine, and owns a 57 percent holding. Rio has a 30 percent stake, half of
which is being sold to Chinalco.
The Chinalco accord, which requires approval from 51 percent of shareholders and Australia‘s
government, will be voted on at an extraordinary general meeting in the second quarter, Rio
Chairman Paul Skinner has said.
Source: Bloomberg.com
BHP SOUNDS RIO TINTO INVESTORS
With shareholders wary of the Rio Tinto-Chinalco deal, BHP Billiton advisors have surveyed Rio Tinto
investors about their support for an alternative to a proposed cash injection by Chinalco, the
Financial Times has said. Among Rio Tinto's major assets which BHP Billiton might be interested in
acquiring is Oyu Tolgoi. Rio has a strategic stake in project owner Ivanhoe Mines with a view to
taking a majority interest in the company. The mine is expected to produce an average of 440,000
tons of copper and 320,000 oz of gold a year over a 35-year life. BHP last December dropped a
USD66 billion bid for Rio Tinto.
Source: Reuters.com
BIGGEST TUMBLE FOR COPPER SINCE OCTOBER 30
Commodities this week plunged to their lowest level since June 2002, led by energy and industrial
metals, on mounting signs that the global recession is deepening and demand for raw materials will
decline further. The Reuters/Jefferies CRB Index of 19 prices dropped for the sixth straight session,
the longest slump since December. The gauge touched 203.25, the lowest since June 21, 2002, and
has slipped 11 percent this year. Crude oil fell as much as 8.2 percent today, and copper declined
the most in three months.
Precious metals were the lone commodity gainers. Gold topped USD975 an ounce, reaching the
highest price since July, on speculation that low interest rates and government spending will
devalue currencies, boosting the appeal of bullion as an alternative. Silver and platinum also rose.
Copper tumbled 7.2 percent in New York on Tuesday, the most since October 30.
Source: Bloomberg International Business Newswire
“IMF DOES NOT BELIEVE US ON ANOD BANK,” BAYAR TELLS PARLIAMENT
Strong reassurances from the Central Bank President were needed to dispel the concern of a
number of MPs about the true state of commercial banks in the country. Mr. L.Purevdorj appeared
in Parliament to answer questions during its discussion of the action plan. The lawmakers noted
that the global crisis has had a very heavy impact on banks in many countries. In Mongolia, the Anod
Bank came very near failing despite several claims from overseeing authorities that everything was
going well. The Prime Minister said, ―The International Monetary Fund has urged a thorough study
by domestic and foreign experts of the events leading to the situation in Anod Bank. They don't
believe us."
7. Some MPs also reported that citizens' confidence in the soundness of commercial banks has not
been restored even after the State guaranteeing the safety of their savings in 16 banks. The Central
Bank President rejected concerns that the banking system is in trouble, saying, ―It is working fine,
though we could so with some help and assistance.‖ Of the MNT1.5 trillion required for the
implementation of the action plan, about MNT400 billion will go to the banking system. Control and
supervisory practices have been streamlined and strengthened. Some banks needed a bit of
propping up, and some would do better if they merged with others. He thought it was unlikely that
smaller banks would get any Government loans, given the stringent conditions.
Source: Ardiin Erkh
MONGOLIAN-OWNED MINE STARTS PROCESSING IRON ORE
The 100 percent Mongolian invested Beren Group is the first mining company in the country to
process iron ore, according to the MNB TV channel. It is mining the ore in Tuvshruuleh in Arhangai
province, and then using inexpensive technology to produce 68 percent grade iron concentrate. This
will be taken to the Erdenet plant to be turned into pure iron.
Source: SCREEN
GOVERNMENT ESTABLISHES COMPANY FOR URANIUM
The Government has decided to establish a company named AtoMon to work in exploration and
production of uranium and other radioactive minerals. The company will be responsible for
exploration of such minerals, calculation of the amount of the reserves, estimating the economics
of their use, mining uranium ore, processing and enriching the uranium mined as well as exporting
it.
Source: www.news.mn
AWARD FOR MOBICOM
The magazine, My Computer, and the Information Communication Technology Authority (ICTA) of
the Government of Mongolia have jointly chosen MobiCom Corporation for an award for using the
‗Best New Technology‘ in the country. MobiCom uses Altobridge‘s Remote Community Solution in its
remote GSM service. The award recognizes the positive impact of the service on enterprises and
communities in remote parts of Mongolia. Mobicom has been deploying Altobridge‘s Split-BSC
Architecture across rural Mongolia since it awarded the company a three-year, fully-managed rural
GSM contract in April last year. The deployments are providing cost-effective personal mobile
communications for small user groups in villages, business enterprises and government border posts.
Mr. Munkhbold Udval, Director of Research and Development at MobiCom, said, ―We are delighted.
The Altobridge technology has helped us deliver profitable, much-needed, quality communications
to isolated communities and enterprise installations.‖ Headquartered in Ulaanbaatar, MobiCom is
the first cellular telephone service operator in Mongolia, operating since March 1996 as a
Mongolian-Japanese joint venture. Currently, MobiCom provides a wide range of services including
GSM cellular communications, international communications, Internet and satellite
communications, wireless local loop and other services to both corporate and consumer markets.
Source: WebWire®, www.mobicom.mn
MOVE TO OPEN PROTECTED AREAS TO MINING
Prime Minister S.Bayar has dismissed the contention of MP Sh.Saikhansambuu that there is no need
to look abroad for the MNT1.5 trillion needed to implement the action plan, as the money can be
raised by selling 40 tons of Mongolian gold. He has reminded his fellow MP from the MPRP that gold
mining is dependent on the season, and 40 tons of gold ―cannot come to the Government in a
matter of days‖.
Bayar admitted the theoretical possibility of mining substantial amounts of gold in Bayankhongor,
Gobi-Altai and Umnugobi provinces, but no mining is at present allowed in such specially protected
areas. First, Parliament has to give its permission and then entire mining operations have to be set
in motion. All this will take time, but the Government is working on a draft law to begin mining in
8. protected areas.
Source: en.News.mn
GOVERNMENT WARNS AGAINST KEEPING MINES IDLE
Prime Minister S.Bayar has warned mining companies that their licenses could be revoked if they do
not pursue exploration or excavation activities. The Government needs money urgently and will not
have idle mines.
Source: www.news.mn
NEW VOCATIONAL TRAINING LAW PASSED
The new law on vocational education and training approved by Parliament on February 13 was
deemed to come into effect immediately so that the Millennium Challenge Account (MCA) money
allotted to it could be utilized without delay. The Head of the Standing Committee of Social Policy,
Ms. D.Oyunkhorol, told media that an independent body, comprising employers and experts in and
outside government, will determine the areas where training had to be organized. Companies that
hire such trained people would most likely get certain tax incentives.
USD25.6 million of MCA money will now come directly to the education sector. It will be given to
nine organizations in the field of professional education to be used in acquiring innovative
technology and improving their training system. USD5 million will be spent on upgrading teachers‘
training.
Source: Ardiin Erkh
ECONOMY
REVISED BUDGET CUTS SALARIES, ALLOWANCES, JOBS, PROJECTS
The Government has submitted the revised budget estimates for 2009 to Parliament. The revision
became necessary to reduce the budget deficit as far as practicable. New sources of revenue have
been tapped, and all inessential expenses chopped, without, however, affecting prospects for
economic growth and creation of employment, or withdrawing protection from the poor.
The main features of the revised budget are:
- Every child under 18 will continue to receive MNT3,000 every month. However, the
MNT25,000 additionally paid from the Mongolia Development Fund every season will now
become MNT10,000.
- The MNT500,000 paid to every newly married couple will be reduced to MNT300,000, thus
saving MNT6.6 billion annually.
- A newborn child will continue to get MNT100,000 and the amount paid to a woman with
five or more children will also remain the same.
- Strict watch will be kept so that there is no duplication of payment of any allowance.
- Government employees will be paid 20 percent less salary for a year beginning March 1. In
the case of high officials, the cut will be 30 percent. This will save MNT98.6 billion.
- MNT25.3 billion will be saved by giving less money to Government organizations for their
expenses.
- No new work places will be created and there will be no replacement for an employee
retiring to be eligible for pension.
Several measures have been proposed to reduce investment expenses.
- No new project or activity planned for 2009 will be started.
- Any construction, project or activity planned last year but not begun for whatever reason
will be kept in abeyance. This will save MNT130 billion.
The Government, however, made it clear that projects that have important socio-economic
significance and also those that are part of credit and aid programs and/or are commitments in
accordance with international agreements will not be affected by this restriction.
The Government has also decided to double the present coal export fee from March 1.
9. Source: Ardiin Erkh, www.business-mongolia, Montsame
ACTION PLAN PASSES FIRST READING
The special session of Parliament completed its first reading of the action plan last week, with 91.7
percent of the members present showing their approval. The draft will now be discussed at relevant
standing committees before returning to Parliament for the next reading.
Many MPs had questions to ask and suggestions to offer. Mr. D.Zagdjav (MPRP) wanted tax relief for
companies with their revenue exceeding MNT100 million so that they could employ more people.
Mr. D.Odkhuu (DP) regretted the absence of any indication of the sources for the necessary
finances. Mr. R.Rash (MPRP) wanted less generality and a more specific listing of the problems and
also of the measures expected to solve them. Mr. Z.Enkhbold and Mr. Ts.Elbegdorj, both from the
DP, found the plan more akin to a manifesto than a program ready for implementation.
Source: Ardiin Erkh
CRISIS A NATIONAL CHALLENGE, SAYS BAYAR
Expressing his happiness at the support the action plan received in Parliament, Prime Minister
S.Bayar told media that the crisis is a national concern and not something that affects only the
Government. Many things need to be changed, and not just Government policy. Individuals and
businesses also have to review their work. ―It is not like everything will be solved if we approve the
plan. The crisis is changing its nature constantly. We also have to change accordingly,‖ he says.
―There are things that depend on the Government, but there are also things that don‘t. Every
family should make its own calculation.‖
A crisis, he said, is like an illness. First comes the diagnosis, then the treatment. There are few
remedies that will work in every country in a crisis, or for everybody in a country. Mr. Bayar said
there has to be clarity about plans, aims, and priorities. For this, many questions have to be
answered. Where is the money going to come from? What possibility is there to reduce inefficient
spending? ―We hope to finish the present session before Tsagaan Sar, but if the budget is to be
revised, it may continue longer. We are trying to solve the financial crisis by using internal sources,
but they are not enough. The Government does not have the right to seek money from foreign
countries on its own. It can borrow only under authorization by Parliament. Similarly, the
Government cannot alter the budget. Only Parliament can do that,‖ he said, explaining why haste
was necessary but also why results cannot be expected in a matter of days or weeks.
Mr. Bayar said money can be earned only from exports. For this there has to be more extensive
mining. But the output from the mines has to be moved, and for this the railway and the roads have
to be repaired. All such work will employ many people.
Source: en.News.mn
FORMER PM WARNS OF DEBT TRAP, STOPGAP MEASURES
Participating in the debate in Parliament on the action plan, a former Prime Minister and now a DP
member, Mr. R.Amarjargal criticized the idea of finding money from wherever it is available. ―It is
wrong to look for money from any possible source and run up huge external debts,‖ he said and
warned that any stopgap measures to halt the crisis temporarily would only be counterproductive.
―The Central Bank should not even try to keep the MNT value stable during February and March.
Instead, it should give money to commercial banks to strengthen their position. Terrible things will
happen if we spend time and money trying to battle the economic crisis. We should just let it run
its course and after the economy has totally collapsed, we should plan for its revival. It is also
unwise to indiscriminately curb Government expenses in the name of balancing the budget. We
cannot afford to impair economic activity. If economic growth declines by one percent, the state
loses USD40 billion,‖ he said.
Source: Ardiin Erkh
TAX REVENUE MUCH LESS THAN EXPECTED
Tax revenue in January 2009 was half of what it was in January 2008. The Government had hoped
10. for MNT98.2 billion, but the final figures have totaled MNT83.7 billion. This stood at MNT175.4
billion in January last year.
Source: www.news.mn
LESS CASH IN CIRCULATION
The National Statistical Office has revealed that total cash in circulation in January 2009 was
MNT346.6 billion, MNT60.6 billion less than in the previous month, but MNT8.2 billion more than in
January 2008. Individual and corporate deposits at commercial banks came down by MNT11.5 billion
from December to January. Altogether commercial banks now hold MNT922.6 billion in deposits,
MNT209.3 billion or 18.5% less than in January 2008. Foreign exchange circulation, however, was up
the equivalent of MNT113.1 billion in this period.
Source: business-mongolia.com
APARTMENT PRICES START RISING
Apartment prices have gone up by 18.3 percent in January compared to the fourth quarter of 2008.
However, present prices are 5.7 percent less than what they were in the first quarter of 2008, 16.2
percent less than in the second quarter and 16.4 percent less than in the third quarter. The data
collected from six districts of Ulaanbaatar show that apartment prices were overall 5.5-50.7
percent more in 2008 than in 2007, but in the fourth quarter they fell by 10.9-18.8 percent against
third quarter prices in 2008.
Source:
FOREIGN WORKERS INDISPENSABLE AT THE MOMENT, SAYS MP
MP D.Zorigt (DP) feels that Mongolia should have developed and approved an action plan much
earlier. ―There is not a single day to lose,‖ he told media, while dismissing criticism from some
economists that such a plan will achieve little. Time is passing and the agriculture and business
season is about to start.
Referring to concerns that even if jobs are created, foreigners will take them, he said this was a
risk that had to be taken. Foreign labor is indispensable for as long as Mongolia does not have
enough skilled workers of its own. This is a gradual process, and foreign workers cannot be
dismissed all at once. That will create a vacuum.
He said the first investments should be in areas that increase exports. The next priority is to
produce things that will replace imported goods, such as food items and construction material.
Construction and road building should be centralized in Ulaanbaatar because two thirds of all
vehicles in Mongolia are here. ―What need is there to repair a road where only 20-30 cars pass on a
day?‖ he asked.
He defended the proposal to reduce minimum wages by saying this was the only way to stop job
cuts. It is a choice between earning less and earning nothing.
Source: www.news.mn
MEETING MULLS TOURISM STRATEGY IN TIMES OF CRISIS
Representatives of some 20 tourism companies and tour camp operators met with officials of the
Ministry of Environment and Tourism last week to plan a strategy to make sure the economic crisis
did not hurt the industry too much in the ensuing season. All preliminary indications are that there
will be fewer tourists this year and some of the participants thought the efforts in the present
circumstances should be aimed at attracting tourists who spend more rather than those who are on
a budget. There were suggestions that services should be priced in the national currency instead of
foreign ones. "This will accord with the policy 'One tourist-one investor',‖ they said. It was decided
to hold further meetings with administrative officials and NGOs so that arrangements can be in
place well in time before the arrival of summer, and tourists.
Source: Montsame
11. NO FALL IN DIESEL PRICE
Fuel prices have fallen further. A80 is now MNT890 a liter, cheaper by MNT105, and A92 is MNT990
instead of MNT1,100. The price of diesel, the main fuel for public transportation and mining work,
has not, however, changed from MNT 1,250 a liter. The price decrease follows a reduction in
Russian taxes on oil product exports.
Source: Ardiin Erkh
UNEMPLOYMENT UP, BUT 1,800 GET A JOB IN JANUARY
The registered number of jobless people reached 31,400 in January, 1,700 or 5.6 percent more than
in January 2008. Women account for 57.9 percent of the total number. Some 1,800 people also got
a job in January. About 17 percent of them were hired in government factories and budgeted
organizations. Others joined private enterprises.
The Labor Supporting Fund has so far given MNT1.3 billion in loans to 272 people in the unorganized
sector, 438 unemployed people, 184 herders and 30 organizations. Many of the individuals are using
the loan in a productive way.
Source: www.nso.mn
SELENGE TRIES TO CHANGE ANIMAL HUSBANDRY PRACTICES
More than 400 herders in Selenge province recently met with teachers and scholars from national
universities and institutes to explore the feasibilities of ―intensive‖ animal husbandry in
combination with farming. The meeting was jointly sponsored by the Ministry of Food and
Agriculture and the Red Cross Society at the initiative of the Governor of the province who wants to
develop Selenge as an agrarian region with intensive animal husbandry. Agriculture is already the
main economic activity in the province, which has 1,442,003 head of livestock at last count. Experts
estimate the pasture lands have been overgrazed by 42.7 percent, and the whole present practice
of animal husbandry should be changed. The number of livestock should be reduced, but production
should not fall.
The tentative decision at the meeting was that horses will account for 5 percent of the total
number of livestock, cattle 30 percent, sheep 51 percent, and goats 14 percent. The province is to
be divided into zones that will each specialize in certain kinds of farming. New technology suitable
for each zone will be introduced and winter green houses will be extensively developed.
Source: Montsame
VISITING AND LIVING IN ALTANBULAG TO BE MADE EASY
The Government has approved regulations governing travel to and residence in the Altanbulag free
trading zone for both Mongolian citizens and foreigners. Visas valid only in the free zone will be
easier to get and procedures to grant residence permits will be relaxed. The Government feels that
easier conditions of access to and living in free trading zones are essential to attract foreign
investment. Foreigners based in Altanbulag will however have to take a fresh visa to travel to other
regions of Mongolia.
Source: Ardiin Erkh
MONGOLIANS AMONG INVESTORS IN AUSTRALIAN “GOLD RUSH”
With gold jumping to a sixth-month high last week on soaring demand as investor confidence in
financial assets erodes and central banks spend trillions of dollars to prop up the banking system,
investors from everywhere are increasing their holdings of gold at the Perth Mint in Western
Australia at an unprecedented pace as they seek to preserve the value of assets. The number of
depositors at the Mint has jumped 50 percent in the past year and clients come from 84 countries as
diverse as Mongolia and Kyrgyzstan. Investors can buy through certificate and depository programs
where their gold is stored at the Mint or they can buy coins to hold themselves.
―The world at large does seem to understand innately that governments are bankrupting themselves
and destroying paper currency,‖ said investor Jim Rogers, chairman of Singapore-based Rogers
Holdings. Mr. Peter Munk, chairman of Barrick Gold Corp., the world‘s largest producer, has said an
12. ―unpleasant and frightening‖ trend of investors buying gold as protection against uncertainty may
push the metal over USD1,000.
Source: bloomberg.com
POLITICS
LABOR UNION PROTESTS SALARY CUT, BAYAR EXPLAINS DECISION
Officials of the Mongolian Labor Union told Parliament Speaker D.Demberel and Prime Minister
S.Bayar on Tuesday that the Government‘s decision to reduce the salary of all employees in
budgeted organizations would badly hurt the 130,000 persons working in them. Mr. S.Ganbaatar,
head of the Union that represents interests of labor in all 21 provinces and nine districts of
Ulaanbaatar, said the cut would lead to reduced consumer spending and would add to the crisis in
the economy. He also feared private companies would follow the Government‘s lead and impose
salary cuts for their staff. He regretted that the Government had taken the decision unilaterally, in
contravention of the existing tripartite agreement. The Union Vice President Tseyen-Oidov stated
the widespread price rise has meant the minimum salary set at MNT108,000 has lost 30 percent of
its value and the proposed cut would only make things worse.
Explaining the imperatives behind the unpleasant decision, the Prime Minister said the crisis was
assailing the economy from all sides and was affecting all sectors. He said, ―We reviewed the
situation carefully and found we had few options left. At least MNT300 billion had to be saved if we
wanted the GDP to grow at six percent. For this, every sector had to sacrifice.‖ He asked the labor
leaders to remember that the salary of over 1,000 high officials was to be cut even more, by 30
percent, so the Government was not favoring any section. Expressing his apprehension that the
economy would be in a worse condition in the autumn, Mr. Bayar said, ―We did not want to reduce
the salaries, but the choice was between cutting salaries and cutting jobs.‖
Source: Ardiin Erkh
PRIME MINISTER TO HAVE 7 ADVISORS
A decision has been taken on the organization of the Ministry of Finance and of the Cabinet
Secretariat. The Ministry of Finance will have 9 departments and 9 divisions with a total maximum
staff strength of 136. The Cabinet Secretariat will have 6 departments and 5 working services, and
can employ up to 106 people. The Prime Minister has been permitted to have 7 advisors — one
senior advisor with no specific charge, and one each on foreign, economic, foreign investment,
social, construction and urban development policy.
Source: Montsame
AMBASSADOR TELLS MEDIA ABOUT U.S.-MONGOLIA RELATIONS
U.S. Ambassador Mark C. Minton hosted a press conference on February 13 to elucidate U.S.-
Mongolia relations in the Obama Administration. He said the foreign policy priorities of the new
American government included ending the war in Iraq responsibly, finishing the fight against the
Taliban and al Qaeda in Afghanistan, safeguarding nuclear weapons from the reach of terrorists,
and renewing American diplomacy to support strong alliances and to seek a lasting peace in the
Israeli-Palestinian conflict. Other priorities will include addressing climate change and fighting
poverty. Ambassador Minton explained how these issues will fit into U.S.-Mongolia relations, and
also provided updates on various U.S. programs here, including the Peace Corps, the Millennium
Challenge Account, educational exchanges, and consular services.
Source: The U.S. Embassy
14,000 LEAVE MPRP TO KEEP JOBS
The new state employment law that bars political party members from holding almost all kinds of
jobs in the Government or in Government organizations seems to have hurt the MPRP most. The law
came into effect this year and about 14,000 members of the MPRP have shed their party status,
opting instead to keep their job. Only 17 persons have gone the other way, resigning their job to
13. stay with the party. Their replacements will soon be chosen. Most of these positions are filled by
some process of election.
Source: Onoodor
GOVERNMENT HOUSE IS SINKING
If anyone entering Government House has that sinking feeling, it does not have to be because of the
economic crisis. A downward shift is posing insidious damage to the apparently invulnerable seat of
power. Its latest addition is the worst sufferer, with the gypsum wall of the Chinggis complex
having already started to sink. Obviously not enough importance was attached to the water under
the foundation when the plan for the showpiece annex was approved. Its present state could be one
reason why the full complex is not yet ready, even though it was supposed to open in the summer
of 2006.
The development is not unexpected as water from a stream once accumulated where the western
wing of the building is. Construction of Government House started in 1947 and the Mongolian
government moved to its new seat in 1951. Long before that, the Selbe River had two streams, one
of them flowing near where the State Department Store now stands. It was filled up to allow
construction in the area. Unseen by human eyes, the water deep down seeped its way to what
would be the site of Government House. The humidity persists and causes electricity breakdowns
almost every year.
The western wing is the most affected part, with construction experts discovering some years ago
that the conference hall had started to sink. Major repairs have been made, but the root cause
cannot be eliminated. Other areas are not safe also. When Mr. N.Bagabandi was President, a huge
overhead lamp fell on his desk after cracks had weakened the ceiling. The President was absent at
the time.
Source: en.News.mn
HOLIDAY ON FRIDAY, BUT MARCH 1 WILL BE A WORK DAY
The first two days of the Lunar New Year or Tsagaan Sar will be on Wednesday and Thursday. Friday
has also been declared a public holiday, but Sunday, March 1, will be a regular work day.
Source: Ardiin Erkh
BUY LOCAL PRODUCTS FOR TSAGAAN SAR, APPEALS GOVERNMENT
The Government has issued a statement appealing to people to celebrate Tsagaan Sar, the lunar
new year festival, in a peaceful manner and befitting in these days of the global economic crisis. It
calls on people to follow the traditional way, by honoring elders and making children happy, using
no alcohol, but dairy products more, and by giving presents produced locally.
All Government and regional organizations have been asked to celebrate Tsagaan Sar without asking
others to contribute. No Government money will be available towards expenses.
Source: en.News.mn
MONGOLIANS TO HAVE 90-DAY VISAS FOR SOUTH KOREA
Foreign Minister S.Batbold has submitted to the Parliament Speaker his draft amendments to the
laws governing travel conditions of Mongolian citizens to South Korea. The amendments became
necessary following the decision taken during Prime Minister S.Bayar‘s visit to Korea in October
2008 that Mongolian citizens will have a 90-day visa for Korea and those with such a visa will be
exempted from registration at any immigration point. This longer visa will help those who go to
Korea for medical treatment or extensive business purposes. Mr. Batbold is hopeful that this
development will one day lead to Mongolian citizens being able to travel to Korea without visa.
Source: Onoodor
ONLY 6% OF MONGOLIANS ARE MORE THAN 60 YEARS OLD
Demographic figures released recently confirm that Mongolia is a country of young people. About 29
percent of the total population of 2.7 million in January 2009 were children under 15, while people
14. above 60 accounted for only 6 percent. Ulaanbaatar is home to some 40 percent of the population,
with an overwhelming 65 percent of them aged under 35. Average life expectancy is now 66.8
years, 1.5 years more than in 2004. Approximately 16,000 births are registered a year.
Source: www.nso.mn
ULAANBAATAR TO HAVE 60 KM OF SUBWAYS
The master plan for developing Ulaanbaatar includes building a subway network and the
construction blueprint is ready. Some 60 kilometers of underground roads will be built in five
directions. They will connect 7-Buudal and Zaisan tolgoi, Uliastai and 5-Shar, Chinggis Khaan Airport
and White Gate, Shar Khad and Sansar district, and the other will be under the Outer Ring.
Source: en.News.mn
US GRAIN FOR MONGOLIA COMES THROUGH VLADIVOSTOK
Earlier this month railroad men, longshoremen and forwarding agents at the port station
Vladivostok on the Russian Far East Railways transferred a huge quantity of grain into 390 wagon-
cars in just 6 days. The consignment was meant for Mongolia and had arrived from the USA at
Vladivostok Trade Port. For 11 years now, grain has annually been sent to Mongolia by the USA
through this route.
Source: VOSTOK-MEDIA
ASIA FOUNDATION GRANT TO BIOLOGY FACULTY
The Asia Foundation has allocated USD100,000 to its first education support fund in Mongolia. All
the money will go towards improving facilities at the Faculty of Biology of the National University of
Mongolia. The first USD10,000 will be spent on financing research projects, purchase of books and
equipment, and on scholarships for those studying for a master‘s degree.
Source: Montsame
WORLD BANK OFFERS GRANTS TO DEVELOP LEADERSHIP QUALITIES
The World Bank Mongolia Country Office is on a nationwide search for project proposals aimed at
developing leadership qualities amongst today's youth who will be tomorrow's leaders. Its future
generation is a valuable resource to any country and the Bank, therefore, is offering small grants to
organizations to help nurture the next crop of leaders.
"Through positions of leadership at home, in schools, in any community and so on, youth can
stimulate the present and the future," World Bank Country Manager and Resident Representative
Arshad Sayed said. "Youth leaders engage with the public and influence the way they live. In these
testing times our major hope is that we pass on knowledge to those who will one day lead the
country forward. If the issues of today are allowed to fester, our next generations will carry the
burden. We must, therefore, support, and engage with tomorrow's leaders."
The deadline for receiving applications for small grants is March 24.
Source: The World Bank Mongolia
ANNOUNCEMENT
WATCH EAGLES HUNT
The Kazakh Development Foundation will be holding an Eagle Hunting Festival on February 26 at the
Dundad Zuun tourist camp, near Terelj. The opening ceremony at 11 a.m. will be followed by a
special horse riding competition, a display of homemade hunting outfits, call to eagles at a
distance, and finally various examples of how eagles help in the hunt. The session will end around
2, and from then until 3.30 guests can buy traditional Kazakh food for lunch.
Tickets at a special price of MNT10,000 per person can be collected from the BCM office. Entry is
free for children under 16.
15. More information on the festival can be found at www.mgleaglefestival.com or at the office of the
Kazakh Development Foundation on the 6th floor of Altai Center, on the right of the State
Department Store (Tel: 11-31-55-56; Mobile: 99110303, 88088388, 8098188).
SPONSORS
NEW MONGOLIAN LAWS
The following new amendment to a current Mongolian law was published in the latest weekly
Government Bulletin. Unless decided otherwise by Parliament, the law will take effect ten (10)
days after publication.
Bulletin Date Law
02.06.2009 Amendment on ―Law of Official Document Permission and Warranty Fee‖
Please visit BCM‘s website, Legislative Committee, for a weekly listing summary of new Mongolian
laws commencing February 2009.
BCM members who wish full versions of the law in Mongolian language are welcome to call or email
the BCM office (11-332-345; info@bcmmongolia.org) to arrange for a convenient pickup.
ECONOMIC INDICATORS
MSE WEEKLY REVIEW
For the week ended February 13, 2009, trading activity on the Mongolian Stock Exchange (MSE)
totaled 10.3 million shares with 29 companies traded. Total market value of transactions was MNT
1.1 billion. Total market capitalization of the 358 stock companies listed on the MSE was MNT 434.1
billion, and decreased by MNT 14.1 billion or 3.1% from the previous week.
The Top-20 Index decreased by 238.65 points or 4.9% compared to the previous week closing at
16. 4,624.84 points. The MSE Composite Index decreased by 61.90 points or 2.5% compared to the
previous week, closing at 2,394.59 points.
Most active stocks traded were: Remicon (10,101,100 shares), Olloo (123,400 shares), Genco Tur
Buro (34,900 shares), APU (25,800 shares), and Khuh Gan (20,500 shares).
Major share price percentage gainers were: Buligaar (15.0%), Genco Tur Buro (13.6%), APU (10.0%),
Mon.Tsakh.Kholboo (6.0%), and UID (0.7%). Major share price percentage losers were: Tavan Tolgoi
(24.5%), BD Securities (15.0%), Mongol Savkhi (15.0%), Khorinkhoyordugaar (14.6%), and Baganuur
(14.1%).
INFLATION
Year 2006 6.0% [source: National Statistical Office of Mongolia (NSOM)]
Year 2007 *15.1% [source: NSOM]
Year 2008 *22.1% [source: NSOM]
January 31, 2009 *20.7% [source: NSOM]
* year over year (yoy)
CURRENCY RATES – February 19, 2009
Currency name Currency Rate
US dollars US 1465.78
Euro EUR 1848.64
Japanese yen JPY 15.83
British pound GBP 2090.50
Hong Kong dollar HKD 189.01
Chinese yuan CNY 214.38
Russian ruble RUB 40.22
South Korean won KRW 1.00
Disclaimer: Except for reporting on BCM‘s activities, all information in the BCM NewsWire is
selected from various news sources. Opinions are those of the respective news sources.