Turquoise Hill Resources rejects request from Mongolian Government to renegotiate Oyu Tolgoi Investment Agreement
Turquoise Hill Resources today announced on its news release that the company, together with Rio Tinto and Oyu Tolgoi LLC, have rejected a request from the Government of Mongolia to renegotiate the Oyu Tolgoi Investment Agreement. This comes following receipt of a letter from the Minister of Mining requesting the parties renegotiate the landmark agreement that was signed in October 2009 and became fully effective in March 2010.
As recently as October 2011, the Mongolian Government reaffirmed that the Investment Agreement was signed in full compliance with all laws and regulations of Mongolia.
Kay Priestly, Chief Executive Officer of Turquoise Hill, said, “The Investment Agreement is mutually beneficial for the Mongolian Government and investors. We have invested nearly US$6 billion, created thousands of jobs for Mongolians and are on the verge of production based on the Investment Agreement, which provides a stable legal framework and is a legally-binding document. The Investment Agreement has been fundamental in building Mongolia’s reputation as an increasingly reliable and secure destination for foreign investment.”