Mongolia Business and Mongolian Daily Business News

MP and Minister for Foreign Affairs and Trade Su.Batbold is nominated from MPRP as the Prime Minister of Mongolia. His name is presented to President Ts.Elbegdorj for his approval.

1963 Born in Ulaanbaatar

Education:
1980 Secondary school No 14
1986 School of International Relations, University of Moscow
1991 London School of Business
2002 Diplomacy Academy of Moscow
International Economist and Diplomat

Languages: Mongolian, Russian, English and French Read the rest of this entry »

Mongolia’s GDP in the first three quarters reached 1.76 billion USD which is 2.2 percent fall compared to the same period of last year. Total industrial output reached 1138.1 billion MNT in the first three quarters of the year 2009. This is 10.5 percent decrease against the previous year’s statistics. 35 percent decrease of output of main products such as copper, zinc and gold mainly contributed to industrial output fall.

SouthGobi Energy Resources (SGQ) reported on October 26, 2009 that China Investment Corporation, the country’s Sovereign Wealth Fund, will provide US$500 million in financing to support accelerated investment program in Mongolia. We rate this development as positive as it will allow SGQ to significantly ramp-up its coal production, develop transportation infrastructure and build value-added processing, which will significantly boost the company’s revenue and profitability margins. Read the rest of this entry »

The Mongolian Parliament today approved the resignation of Prime Minister S.Bayar. The PM said he wished he could have seen out his term and also he regrets that he couldn’t finish what he had planned to do. S.Bayar, Prime Minister of Mongolia since November 2007 had previously sought treatment in South Korea and was hospitalised last week for liver problems.

Altankhuyag Norov, First Deputy Prime Minister will carry out the PM’s duties until a successor is approved. The meeting of MPRP governing council has just ended and it had named S.Batbold, Minister for External Relations, as a candidate. MPRP conference is to start at the building of the MPRP and names of other candidates will be discussed.

175.8 thousand shares of 22 JSCs were sold at MSE totaling 47.1 million MNT. 130.0 thousand shares of Moninjbar JSC were sold and it was the most actively traded stock at MSE today. Index top 20 is 7155.92 units at the end of the trading session which is a decrease of 58.05 units. In comparison to the previous day’s trade, share prices of Atar Urguu (14.98%) and Autoimpex (11.11%) JSCs were increased but share prices of Bayangol hotel (-13.17%) and Talkh Chikher (-8.33%) JSCs were decreased respectively.

Mongolia has named 7 foreign companies that can cooperate on Tavan Tolgoi cocking coal project. Last Friday, Mr. Temuulen.G, Deputy Director Erdenes MGL LLC, named them; BHP Billiton, Jindal (India), Vale (Brasil), Peabody, Shenhua, KOPEC (South Korea), Japan – Russian consortium including Gazprom (Russia). Four of them came from BRIC countries, which beacon the emerging markets of the world.

When Alexander Molyneux went looking for a large financing for SouthGobi Energy Resources Ltd., he quickly found that sovereign wealth funds were offering better terms than anyone else.

“Typical institutions are a little too short-term focused,” said Mr. Molyneux, chief executive of SouthGobi, which is 80% owned by Robert Friedland’s Ivanhoe Mines Ltd.

“If you try and do a large-scale placement, you find that the sovereign wealth funds have a longer-term attitude to investment, and that’s really what suits us,” he said in an interview. Read the rest of this entry »

Who will be the next Prime Minister?

Last week’s gossip on possibility of Prime Minister’s resignation has cleared. Upon his arrival from South Korea, he summoned Cabinet Meeting and made request to resign from his post.
In relationship with the request, MPRP will have meeting on Wednesday. Governing Council of MPRP will have meeting soon. Therefore, there is much talk is made on who will be the next PM. Some sources inform that strongest candidate will be Vice Speaker N.Enkhbold.

Ivanhoe Mines, through its SouthGobi Energy Resources Ltd, wants to supply 1 percent of China’s (largest coal consumer country in the world) coal supply within 10 years, Chairman Robert Friedland said yesterday in an interview in Beijing according to Bloomberg. SouthGobi’s Ovoot Tolgoi mine, located 45 km north of the border with China is targeting sales of almost 15 million tons by 2015. According to Ivanhoe’s October presentation, third-quarter coal sales from Ovoot Tolgoi were forecast to rise to 450 thousand tons which is an increase of 17 percent. Ivanhoe Mines currently owns 80 percent of SouthGobi.

41 year old instructor machinist at the Office of Railway was hospitalized on the 19th of October. He was being treated for serious pneumonia but died after two days of treatment. Dissection on the body showed that he was positive of H1N1 virus. Ministry of Health officially reported the first case of H1N1 virus death. The victim’s pneumonia was at life threatening situation when the treatment started says the hospital officials. There were some suspicion of H1N1 virus but the result of the test arrived on the 22nd which is after the death of the victim. H1N1 tests were carried out at the Office of Railway and currently no one is detected with the virus according to J.Tsolmon, Deputy Minister for Health.