Zolotoy Vostok-Mongolia, a gold-mining company with Russian capital, has filed a claim with the Stockholm Arbitration Court to contest the legitimacy of amendments to Mongolian legislation with regard to foreign mining companies.
The company assesses its direct losses following the introduction of the super-profit tax at $1 billion. Russian company won the action against Mongolian Government, therefore Mongolia have to pay it a sum comparable with its annual budget. In addition, Mongolia has to pay $36 million.
The company is incorporated into the Zolotoy Vostok group, which has been engaged in gold exploration and production in Mongolia since 1997. It produced 4 metric tons of gold a year. The group’s total turnover exceeds $100 million.