S.Bayar, Prime Minister of Mongolia had met with K.K.Masimov, Prime Minister of Kazakhstan and had discussed about improving investment between the two countries. The main subject of the meeting was Mongolia to buy crude oil from Kazakhstan. During the last meeting of both parties N.A.Nazarbayev, President of Kazakhstan had accepted to import up to 1.5 million tonnes of crude oil to Mongolia.
O.Sodbileg, Chief executive of Mon oil gas also attended the meeting and had signed contracts with Kabaldin, Chief executive of Kazmunaigaz of Kazakhstan. The agreement is effective for 5 years and under the agreement Mongolia will buy 150 thousand tonnes of petroleum, 1.2-2.0 million tonnes of crude oil from Kazakhstan annually, starting from the year 2009.
Mongolia is one step closer to increasing the supply of crude oil, drill crude oil in Mongolia and also process the imported crude oil domestically. By achieving the targets above, we are able to meet 100% of domestic demand in the crude oil and petroleum sector.