1 US TRADE WAR COULD COST GLOBAL ECONOMY $430 BILLION, IMF WARNS WWW.RT.COM PUBLISHED:2018/07/18      2 US PLANS G7 TALKS ON CHINA WWW.NHK.OR.JP PUBLISHED:2018/07/18      3 GOOGLE HIT WITH RECORD EU FINE OVER SHOPPING SERVICE WWW.BBC.COM PUBLISHED:2018/07/18      4 TURQUOISE HILL ANNOUNCES SECOND QUARTER 2018 PRODUCTION AND COMPLETION OF SHAFT 5 WWW.GOGO.MN PUBLISHED:2018/07/18      5 DEVELOPMENT OF BILL ON CIVIL SERVANT CODE OF CONDUCT FINALIZED WWW.GOGO.MN PUBLISHED:2018/07/18      6 CRUDE OIL EXPORTS GENERATED 94.3 BILLION WWW.GOGO.MN PUBLISHED:2018/07/18      7 MONGOLIAN PRESIDENT SUMMONS IRREGULAR PARLIAMENTARY SESSION WWW.NEWS.MN PUBLISHED:2018/07/18      8 JEFF BEZOS IS NOW WORTH MORE THAN BILL GATES AND LARRY PAGE COMBINED WWW.CNN.COM PUBLISHED:2018/07/17      9 APARTMENT COMPLEX FOR YOUNG FAMILIES UNDER CONSTRUCTION IN ERDENET WWW.MONTSAME.MN PUBLISHED:2018/07/17      10 NUM GRADUATES INVITED TO WORK FOR TOSHIBA CORPORATION WWW.MONTSAME.MN PUBLISHED:2018/07/17      ГЕРМАНЫ “ЧИНГИС ХААН” ХАМТЛАГ ИРЭХ ОНД МОНГОЛД ТОГЛОЛТОО ХИЙНЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/18     АНУ, ОХУ ХҮЙТЭРСЭН ХАРИЛЦААНДАА ЦЭГ ТАВИЛАА WWW.UBINFO.MN НИЙТЭЛСЭН:2018/07/18     ХУДАЛДААНЫ ДАЙН ХЯТАДЫН КОМПАНИУДАД НӨЛӨӨЛЖ ЭХЭЛЖЭЭ WWW.NEWS.MN НИЙТЭЛСЭН:2018/07/18     МОНГОЛД 92 ОРНЫ 9.6 МЯНГАН ГАДААДЫН ИРГЭН АЖИЛЛАЖ БАЙНА WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/18     ГАДААД ХУДАЛДААНЫ НИЙТ БАРАА ЭРГЭЛТ 6,3 ТЭРБУМ АМ.ДОЛЛАРТ ХҮРЧЭЭ WWW.DNN.MN НИЙТЭЛСЭН:2018/07/18     ЕВРОПЫН ХОЛБОО ЯПОН УЛСТАЙ ЧӨЛӨӨТ ХУДАЛДААНЫ ГЭРЭЭ БАЙГУУЛАВ WWW.MEDEE.MN НИЙТЭЛСЭН:2018/07/18     АЖ ҮЙЛДВЭРЖИЛТИЙН ЭРЧ СУЛАРЧЭЭ WWW.ZGM.MN НИЙТЭЛСЭН:2018/07/18     МӨНГӨНИЙ НИЙЛҮҮЛЭЛТ 3.8 ИХ НАЯД ТӨГРӨГӨӨР НЭМЭГДЖЭЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/18     ОЛОН УЛСЫН ИННОВАЦИЙН ИНДЕКСЭЭР МОНГОЛ УЛС 53-Т ЖАГСЧЭЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2018/07/17     ШАДАР САЙД НҮБ-ЫН ӨНДӨР ТҮВШНИЙ УУЛЗАЛТАД ОРОЛЦОЖ БАЙНА WWW.EAGLE.MN НИЙТЭЛСЭН:2018/07/17    

Events

Name organizer Where
"Open to Export" ICC WTO International business award ICC WTO London

NEWS

64x64

EBRD lends US$ 8 million to Mongolian pharmaceutical manufacturer www.ebrd.com

The EBRD is lending US$ 8 million to Monos Holding LLC – a holding company of Monos Group, a leading pharmaceutical conglomerate in Mongolia – to help the firm invest in new equipment to expand manufacturing capacity, develop training, and reorganise long-term capital financing to support its wholesale business.

The five-year loan will enable Monos Group to become more competitive, by supporting the certification of manufacturing capacity and improving employee skills through training. By the end of 2019 the firm aims to secure Good Manufacturing Practice (GMP) certification and to have at least 30 new employees who are trained regularly according to GMP standards.

The optimisation of the company’s balance sheet will support Monos Group – which is owned by Mr Luvsan Khurelbaatar, a prominent Mongolian businessman, and his wife and two children – in becoming more resilient.

Anand Khurelbaatar, CEO of Monos Holding, said: “Monos has been working successfully with the EBRD, which has provided substantial support to the development of Mongolia, since the first investment agreements were signed in 2010. We are happy that the first stage of the GMP production facility project, the largest project in the Mongolian pharmaceutical sector and implemented jointly by Monos and the EBRD, has been completed and that we are now proceeding with the signing of the second-phase investment. We would like to express our gratitude to the EBRD, not only for the financial support it has provided to us, but also for being a business advisor, partner and mentor. We hope that our cooperation with the EBRD will continue to expand.”

Irina Kravchenko, EBRD Associate Director, Head of Mongolia, said: “Monos is the Bank’s longstanding client and we are very pleased with the progress the company has made in expanding its activities and introducing best manufacturing practices in Mongolia’s pharmaceutical sector. We are happy to continue supporting the firm’s growth and believe that our support will help to further strengthen its competitiveness as well as contribute to the diversification of the local economy.”

The Bank is a leading institutional investor in Mongolia. To date the EBRD has invested more than €1.42 billion in over 92 projects in the country. Its investments aim to make the local economy more competitive, integrated and resilient. According to the EBRD’s latest regional economic forecast, published in November, the Mongolian economy will grow by 2.6 per cent this year and 3.0 per cent in 2018.

...


64x64

Credit rating on MMC raised www.montsame.mn

Ulaanbaatar /MONTSAME/ Long-term credit rating on Mongolian Mining Corporation (ММС) or Energy Resources LLC raised to ‘B-’ from ‘D’ and revised to ‘Stable’ by S&P Global Ratings. In other words the company’s operation and financial condition has been evaluated positively.

In review which made by S&P says "We completed our review on MMC’s operation and capital structure. It is appreciated that coking coal price is expected to be stable for next 12 months and the company can meet cash flow from internal resource entirely at current condition and retain liquidity.

Currently credit rating on Mongolia is ‘В-/ В’. Corporate credit rating does not excess credit rating on the country and it associates certainly with each other. For that reason credit rating on MMC assigned to ‘B’, mentioned in the review as well.

Energy Resource LLC has successfully accomplished structural reform on credit in 2016.

...


64x64

December 13, 2017 trading report www.mse.mn

On December 13, 2017, 854,159 shares of 22 firms listed as Tier I, II, and III were traded. 6 firms’ shares increased in price, 12 decreased and 4 remained unchanged. Khunnu Management /HBZ/ was the top performer, increasing 14.99 percent, whereas E-Trans Logistics JSC /ETR/ was the worst performer, decreasing 14.90 percent.

The MSE ALL Index decreased by 1.78 percent to stand at 1,200.94 points. The MSE market cap stands at MNT2,557,178,728,873

...


64x64

Aspire Mining attracts $16.5 million to advance coking coal project in Mongolia www.proactiveinvestors.com.au

The company aims to take the Nuurstei Coking Coal Project into production within 18 months.

Aspire is starting a drilling and exploration program
Aspire Mining Ltd (ASX:AKM) has successfully completed its fully underwritten $16.5 million pro-rata renounceable entitlement offer at an issue price of $0.012 per share.

The funds will be used to expedite development of Aspire’s 90% owned Nuurstei Coking Coal Project in Mongolia.

Aspire aims to take the project into production within 18 months.

The company is now planning to undertake a drilling and exploration program at the Nuurstei project.

Rights issue details

Eligible shareholders had the opportunity to subscribe for six new shares for every five shares held at an issue price of $0.012 each.

The rights issue was fully underwritten by Patersons Securities Limited and sub-underwritten by the company’s major shareholder Noble Group (SGX:CGP).

Noble subscribed for the full amount of its entitlement (circa $2.97 million) and took up a further amount of $0.59 million on a priority sub-underwriting basis.

This takes Noble’s voting power in the company to 19.9% on an undiluted basis.

Drilling and exploration program commencing

Aspire has planned a $2 million drilling and exploration program at the Nuurstei Coking Coal Project.

The program aims to increase current resources and establish an ore reserve, which will then lead to a new resource model planned to be completed in the first quarter of 2018.

Capital costs for the development of Nuurstei have been further refined, with the current estimate of US$13 to US$14 million to be confirmed in the feasibility study process.

The end objective of these studies is to confirm an economically viable mining operation commencing within an estimated 18 month period.

David Paull, managing director, said: “Further to our announcement on Tuesday 5 December, we are pleased to have successfully raised the full amount of $16.5 million from the fully underwritten rights issue.

“The underwriting was supported by a strong panel of institutional sub-underwriters seeking to position themselves as shareholders and we welcome them in that capacity.

“Our focus is now squarely on confirming the feasibility and commencing the development of the Nuurstei Coking Coal Project.”

Debt reduction on track

Aspire intends to pay $0.19 million of the funds raised under the rights issue to Noble which, when combined with Noble’s participation in the rights issue, will result in a total reduction of $3.75 million in the amount owing to Noble.

This completes the first of a further series of transactions designed to reduce the existing US$6.65 million debt owing under the Noble Facility to US$1.8 million.

...


64x64

Audit of Oyu Tolgoi and Erdenes TT planned www.news.mn

The Parliamentary Budgetary Standing Committee held a meeting on Tuesday (12 December) to discuss the draft 2018 audit bill.

According to the Mongolian National Audit Office, the institution is planning to audit to country’s biggest mining companies such as Oyu Tolgoi, Erdenes TT as well as the Governmental Vehicle Fleet, the Civil Aviation Authority, the Mineral Resources and Petroleum Authority, Presidential Election Spending, reports on implementing ASEM 2016-2017, the State Housing Corporation, and Ministry of Defence investment spending.

The projected cost of the audit as set out in the bill is over MNT 700 million.

...


64x64

Mongolia and the US agree to intensify labor cooperation www.montsame.mn

Ulaanbaatar /MONTSAME/ Minister of Labor and Social Protection S.Chinzorig discussed Mongolia-US labor cooperation with Manual P.Micaller, Charge d’Affaires of the US Embassy in Mongolia on December 12.

The Minister talked about how the Mongolian Government considers eradication of poverty and unemployment a priority, and the International Monetary Fund’s Extended Fund Facility program is proving effective, citing the projected 5.5 percent economic growth in the country. “Although budget discipline has seen improvement, there are provisions that take a step back as far as social protection is concerned and rule out policy to protect low-income citizens,” he noted.

Minister S.Chinzorig also emphasized the need to take Mongolia-US cooperation in labor and social protection to a new level, requesting assistance from the Embassy. “Closer cooperation in labor and social protection will help protect the rights of Mongolians living and working in the US, ensure social guarantee and create an integrated database,” he said.

For his part, Mr. Micaller expressed the US’ interest to work closely with the Labor Ministry, informing that he was holding talks with the members of the new Cabinet regarding ways to strengthen Mongolia-US comprehensive partnership. “Improvement of population livelihood through diversification of the economy and increased employment is an important area of focus in bilateral cooperation. The US is ready to assist Mongolia in all areas in order for it to successfully implement the IMF program and revive its economy,” he said.

Mr. Micaller also touched upon the Millennium Challenge Corporation’s Second Compact Agreement with Mongolia, which is being drafted and will definitely boost the social and economic development of Mongolia.

The Charge d’Affaires also conveyed Washington’s appreciation of Mongolia’s contribution to peaceful resolution of the tensions in the Korean Peninsula and inquired into an issue regarding the workers from the Democratic People’s Republic of Korea (DPRK) in Mongolia, which has surfaced in western media.

Minister S.Chinzorig answered that the Government had taken a decision to not extend the labor agreements of over 1,100 workers from the DPRK in the country, enforcing a UN Security Council's resolution. Labor agreements will not be newly established either. “However, there is no discussion of returning all workers at once. The current workforce will have left the country by June, 2018,” the Minister said. During a press conference held on December 5, Minister of Foreign Affairs D.Tsogtbaatar said that the DPRK Ambassador in Mongolia had been informed of the matter.

The sides also touched upon Mongolia’s request for inclusion in the US H-2 visa category, which is yet to be resolved by Washington.

...


64x64

Altai Krai continues to supply agricultural produce and products in Mongolia www.chelorg.com

Altai Krai in the 11 months of this year was sent to Mongolia 419 consignments with a total weight of almost 8.2 thousand tons, mostly agricultural products and food, said on Tuesday the Ministry of agriculture of the region.

According to the Ministry, collaboration between the Altai Krai and Mongolia is conducted on an ongoing basis. In 2017, this country, Altai Krai exported feed crops, whey, cereals and cereals cereal, flour, vegetable oil, eggs, ice cream and other kinds of agricultural products and food products.

«For 11 months in Mongolia sent 419 consignments with a total weight of almost 8242 tons. In great demand among foreign partners are feed the Altai production — bran, ration, feed. In the total sales volume they occupy a major share», — stated in the message.

The Agency notes that the agreement on the supply of feed to the affected this year by drought khovdsky aimag was reached in August of this year during a working meeting head of the region Alexander Karlin, Governor chodskeho aimag of Mongolia Damdin by Alcanzando.

In addition to the feed, food, Altai Krai exports crops. This year in the Mongolia ship food oats and millet, flax, canola, soy. In December, along with the designated products sold in the region Mongolia beef cattle productivity. Sale made two breeding farms of the region — «Industrial» Biysk district and Kolos Loktevsky district.

...


64x64

Deputy Prime Minister discusses cooperation issues with Chinese delegation www.theubpost.mn

Deputy Prime Minister U.Enkhtuvshin participated in the fourth World Internet Conference, which was held in Beijing last week.

As a part of the conference, Minister U.Enkhtuvshin met with First Secretary of the Central Secretariat of the China’s Communist Party Wang Huning to discuss some aspects of mutual cooperation and current challenging issues of cooperation between the two countries.

U.Enktuvshin pointed out that the government of Mongolia is ready to closely cooperate with Chinese authorities to make next year’s meeting of the council of mineral resources, energy and infrastructure cooperation between the two countries mutually beneficial and to implement projects that will have significant impact on the two nations’ economic development.

The Deputy Prime Minister asked Huning to focus on accelerating projects that will be implemented with Chinese non-refundable aid and soft loans, as well as on arranging a meeting on the non-refundable aid of two billion CNY that China’s President Xi Jinping offered during his visit to Mongolia in 2014. The Mongolian side is keen to start negotiating about making amendments to an intergovernmental agreement on border checkpoints and their procedures signed by the two governments in 2004, and addressing the border issues regarding the slow passage of trucks carrying coal from Mongolia to China.

Huning stated that as China has outlined to carry out open relations and cooperation with the world’s countries, especially with neighbor countries under the country’s strategic plan created by China’s Communist Party during its 19th national congress, held from October 18 to 24, there will be new collaboration opportunities between the two countries.

The Chinese official stated that he hopes that the two nations will develop mutually beneficial economic cooperation, as well as humanitarian cooperation. He added that the two governments should work together to increase the current trade turnover of 4.6 billion USD between the two countries to 10 billion USD by 2020, but noted that it will depend on the global market.

He stressed, “When implementing projects and programs between the two countries, China abides by the statement by Xi Jinping that China will respect Mongolia’s stance and interests, but the two countries face challenges of cooperation due to some misunderstandings between our two nations.”

Huning said that state authorities in charge of border, customs, mining, export and import will work to address challenging issues between the two countries, and this matter will be discussed during the next meeting of China-Mongolia intergovernmental commission.

...


64x64

World Bank to stop funding oil and gas projects www.mining.com

The President for the World Bank, Jim Yong Kim, said Tuesday the institution will stop all lending for oil and gas projects after 2019, with the exception of certain gas projects in the poorest countries facing exceptional circumstances.

Even though in 2013 the bank announced it would stop financing coal-fired generation projects, oil and gas investments still account for about 2% of its $280-billion asset base.

"We're determined to work with all of you to put the right policies in place, get market forces moving in the right direction, put the money on the table, and accelerate action," Kim said in a speech delivered in Paris. "That's the only way we can meet the commitments we made two years ago, and finally begin to win the battle against climate change."

The head of the World Bank is attending, together with dozens of government and industry leaders from different countries, an international climate summit being hosted by French President Emmanuel Macron. The meeting marks the second anniversary of the signing of the Paris Agreement on Climate Change.

Kim also explained that his organization is on track to meet its target of 28% of its lending going to climate action by 2020, as well as the goals of its Climate Change Action Plan – developed following the Paris Agreement.

According to the exec, starting next year, the World Bank will begin reporting greenhouse gas emissions from the investment projects it finances in key emissions-producing sectors, such as energy. It will also be applying a shadow price on carbon in the economic analysis of all IBRD/IDA projects in key high-emitting sectors.

Kim said that bolder announcements surrounding the Washington-based development bank’s path towards a greener future will be made at the 24th Conference of Parties, which will take place in Poland in 2018.

...


64x64

Sberbank and Alibaba abandon joint venture talks www.ft.com

Plans for an ambitious partnership between Russia’s biggest bank and China’s top ecommerce group have fallen apart after nearly a year of negotiations, people familiar with the talks have told the Financial Times. 

Sberbank, which holds half of all Russian retail deposits, and Alibaba, which recorded $547bn of gross merchandise volume last fiscal year, had planned to bring that clout to bear in an ecommerce push in Russia, where more than half the 140m population use the internet daily. 

The proposed tie-up was an attempt to leverage state-run Sberbank’s vast client base with the Chinese ecommerce juggernaut to sell items to customers through the bank’s app.

But the companies abandoned the discussions after falling out over how it would work, the people said. 

Sberbank said: “We don’t comment on rumours.” Alibaba declined to comment. 

Herman Gref, Sberbank’s chief executive, is friendly with Alibaba founder Jack Ma and has long been keen for the bank to move into technology-dominated sectors, which he sees as essential to stay relevant in a digital world. Last month, he said the bank would prioritise moves into ecommerce and medicine in addition to finance. 

“About 50 per cent of businesses [in Russia] work in trade and it’s all intermediary functions. With the growth of ecommerce all physical intermediaries will be a thing of the past” in five or six years, Mr Gref said. 

In August, however, Sberbank announced a new joint venture with Yandex, the Russian search engine group, that is trying to turn Yandex.Market, a shopping comparison site, into a fully fledged ecommerce company. The bank invested Rbs30bn at a valuation of Rbs60bn ($1bn) and expects to conclude the deal by the end of the year. 

A person briefed on the discussions said Mr Gref turned to Yandex after talks with Alibaba fell through over who would control the joint venture, which Sberbank saw as an attempt to gain access to its customer database without offering much in return.

But another person familiar with the companies’ thinking said the talks fell through later, after Sberbank invested in the Yandex joint venture and tried to partner it with Alibaba. “Alibaba doesn’t want to work with some comparison website,” the person said. 

Russia is one of the biggest markets for AliExpress, Alibaba’s cross-border ecommerce business selling from China into international markets. Cross-border retail grew 37 per cent last year to more than Rbs300bn ($5bn), about a third of the total online market.

Alibaba is holding early-stage discussions with other potential partners in Russia, but “it has to be a deal that makes sense”, the person said.

...