|Frontier's "Invest Mongolia Tokyo 2018"||Frontier Securities||Tokyo Japan|
|"Open to Export" ICC WTO International business award||ICC WTO||London|
Russian President Vladimir Putin has met Saudi Arabia’s Deputy Crown Prince Mohammed bin Salman in Moscow. It's the first meeting since the world’s two largest oil producers agreed last week to extend a deal to cut production.
This is very significant and “our coordinated actions helped stabilize the situation on the world hydrocarbons market,” Putin said Tuesday at the Kremlin meeting.
“We’re grateful for your initiative to work together on joint actions between OPEC countries and non-members,” added the Russian President.
Putin said that after a lull in business between the two, this year trade between Russia and Saudi Arabia had grown 130 percent.
The Organization of the Petroleum Exporting Countries (OPEC) and other oil producers lead by Russia, agreed last week to cut oil production until the end of the first quarter of 2018, nine months longer than originally planned.
However, crude prices have been sliding since the deal was reached as investors were disappointed the meeting did not produce deeper cuts.
Oil prices were significantly down on Tuesday, with Brent crude trading nearly a dollar lower at $51.29 per barrel. US West Texas Intermediate (WTI) was down 63 cents at $49.17.
"Investors haven't made up their minds if OPEC has done enough to balance supply and demand," said Carsten Fritsch, senior commodities analyst at Commerzbank in Frankfurt, as quoted by Reuters.
"Today's losses follow gains yesterday, so overall oil prices have been rather flat this week," he added.
The effect of the OPEC deal has also been mitigated by increased US production.
US drillers have added rigs for 19 straight weeks, and the total number is now 722, the highest since April 2015, according to services firm Baker Hughes.
China manufacturing sector grew faster than expected in May as activity in the steel industry rebounded sharply, an official survey showed on Wednesday, allaying concerns of slowing economic momentum as Beijing cracks down on financial risks.
The National Bureau of Statistics' official Purchasing Managers' Index (PMI) held up at 51.2 in May, in line with April's number, which was the lowest in six months.
Analysts polled by Reuters had predicted a reading of 51.0, the tenth straight month above the 50-point mark that separates growth from contraction on a monthly basis.
New orders kept pace with April at 52.3, with export orders firming a touch by 0.1 percent point to 50.7, suggesting external demand held up.
Production in the month stayed within the expansionary territory, though growth eased to 53.4 compared to last month's 53.8.
Activity in China's steel industry expanded at the fastest pace in a year in May, supported by an increase in new orders, a separate survey showed, suggesting still-solid demand in the construction sector.
The overall results of the survey should soothe concerns of slowing momentum in the world's second-biggest economy as authorities crack down risky lending to curb financial risks. Official data showed on Saturday profits earned by Chinese industrial firms slowed to its weakest in four months in April.
Businesses attributed the slowing profit growth to falling prices of finished product and raw material costs, the stats bureau said.
Those worries were inflamed last week when Moody's Investors Service downgraded China's credit ratings for the first time in nearly 30 years, saying it expects the financial strength of the economy will erode in coming years as growth slows and debt continues to rise.
China's economy grew a faster-than-expected 6.9 percent in the first quarter, boosted by higher government infrastructure spending and a gravity-defying property boom.
But property sales growth slipped in April and a strong rebound in commodity prices appears to have peaked, pointing to a continued slowdown in the industrial sector.
China steel PMI rises to one-year high in May on new orders
China May official services PMI rises to 54.5 vs. 54.0 in April
The PMI survey showed the employment sub-index rose to 49.4 from 49.2 in April, while the raw materials inventories sub-index was 48.5, compared to April's 48.3.
However, the input price sub-index fell to 49.5, after falling to 51.8 in April, as the tailwind from a commodities boom weakens. Output prices also slipped to 47.6 from April's 48.7.
Growth in China's services sector also accelerated to 54.5 in May, compared with the previous month's reading of 54.0.
Beijing has been treading cautiously to contain financial risks and a buildup in debt while maintaining economic growth, but analysts are skeptical other sectors of the economy will be able to pick up the slack if the property market slows.
On whole, however, they don't expect GDP growth to slow sharply this year, noting the government is keen to maintain stable economic and financial conditions heading into a key political leadership reshuffle later in the year.
(Reporting by Elias Glenn and Yawen Chen; Editing by Shri Navaratnam)
Ulaanbaatar /MONTSAME/ During the Parliamentary Standing Committee on Budget’s meeting on May 30, a discussion was held on the Parliament’s draft resolution of the “Basic Guidelines for 2018 socio-economic development”.
MP O.Batnasan said during the discussion, “The guidelines must be approved under valid grounds. Constructing hydropower plant in Erdeneburen soum of Khovd aimag is the main focus for the western aimags. Hydropower plant is a self-funding industry. Presently, we are buying 1 kWh energy for MNT 280 from China. According to the feasibility study, 1 kWh energy will be MNT 37 with the hydropower plant. Therefore, we need to focus more on this project. Also, how much fund is expected for the development of border checkpoint operations?”
B.Choijilsuren, the Minister of Finance responded to the question “The People’s Republic of China will be depositing CNY 350 million of non-refundable aid. And most of the fund will be used for the development of the border checkpoints and infrastructures in the southern region. The procurement will be announced in the third or fourth quarter of this year. This will settle the issues of border checkpoints near China.
Also, a negotiation has started with Asian Development Bank to settle the issues concerning the development of border checkpoints near the Russian Federation.
The Standing Committee has decided to submit the guidelines for 2018 to Parliamentary Standing Committee on Economy.
Ulaanbaatar /MONTSAME/ Within the implementation of the Government action plan in 2016-2020, preparation works for starting projects of Tavantolgoi, Gatsuurt and Bagakhangai power plant have completed, said Finance Minister B.Choijilsuren.
Today, Budgetary standing committee of Parliament held the first hearing of Parliamentary resolution draft on adaptation of Basic guidelines of social and economic development of Mongolia in 2018. The Finance Minister and other officials answered questions of parliament members during the discussion.
“- We are working to create as many jobs as possible with a view to reduce poverty. Moreover, there are 1 million 750 thousand people who should pay social insurance premium, however, by now, 950 thousand people are paying it. Therefore, we are working to increase the number” said the Finance Minister.
Issues regarding a new railway construction was also raised by MPs. According to State Secretary of Ministry of Road and Transport Development J.Bat-Erdene, plans of railways of Bichigt-Khoot, Nariin Sukhait-Shivee khuren, Zuunbayan-Khangi, Erdenet-Ovoot and Mandal-Bagakhangai are ready.
A new US coal mine, scheduled to begin production next month, is lifting the spirits of an industry still hurting from the impact of low commodity prices and steep competition from other energy sources, which have triggered massive bankruptcies and closures in the past five years.
Corsa Coal’s (TSX-V: CSO) Acosta Deep mine in western Pennsylvania, expected create 70 to 100 direct full-time jobs and another 500 indirect positions, is for many the latest — though rare — recent signs of a slight reversal of fortune for the beleaguered US coal industry, WSJ.com reports.
Once a full tilt, the mine will produce 400,000 tonnes per year of low volatile metallurgical coal destined to meet demand from mainly US and Chinese steel companies.
“The opening of the Acosta Deep Mine marks a return to coal industry job creation in Somerset County, Pennsylvania,” Corsa Coal officials said in April. “Metallurgical prices have risen to record levels on the strength of strong steel demand and supply scarcity.”
The Canonsburg, Pennsylvania-based company will join Ramaco Resources Inc., which began producing at its first mine in West Virginia in December and plans to open two more this year in Central Appalachia.
President Donald Trump railed against the Obama administration policies on coal and greenhouse emissions as he campaigned in economically depressed areas of states like West Virginia, Pennsylvania and Ohio. He won all three states and swept eight of the top nine coal-producing states.
Trump has promised to bring jobs back to the coal sector and has already reverse a few of his predecessor’s restrictions on fossil fuels, breaking with leaders across the globe who have embraced cleaner energy sources.
But analysts and even Trump's advisor Gary Cohn believe such promise runs counter to market forces, including US utilities that have converted coal-fired power plants to cheaper, cleaner-burning natural gas.
Recently released federal data shows US coal miners have been cutting jobs for decades amid increasing automation, falling demand and steep competition from natural gas as well as renewables.
The Energy Department report released in January, revealed that coal mining now accounts for fewer than 75,000 US jobs. By contrast, renewable energy — including wind, solar and biofuels — accounts for more than 650,000 jobs.
A Pennsylvania power plant which triggered the worst nuclear disaster in US history is to close, its owner says.
Three Mile Island - which experienced a partial reactor meltdown in 1979, spawning nationwide protests - will shut in 2019.
Exelon Corp, which owns the facility, said the low cost of natural gas extraction had made nuclear-generated electricity unprofitable.
Since 2013, six nuclear reactors in the US have shut for economic reasons.
Nuclear plants have closed before their licences expired in California, Florida, Nebraska, Vermont and Wisconsin, with more set to be decommissioned in the next several years.
The low cost of electricity is being attributed to natural gas extraction from shale formations such as in Pennsylvania's Marcellus region.
The Three Mile Island meltdown occurred on 28 March, 1979, alarming more than two million people who lived nearby and the city of New York 180 miles (300km) away.
A federal inquiry found no deaths or injuries were caused by the accident, though it dented public confidence in nuclear energy for years.
In 1994 a protester drove through the gates of Three Mile Island, causing the company to spend more than $1m (£777,000) on security upgrades.
Further upgrades were ordered after the 11 September 2001 terrorist attacks.
Three Mile Island employees 675 people, supplies power to 800,000 homes, and pays more than $1m in state income taxes, according to the company.
No one died, there were no direct health impacts, but the Three Mile Island nuclear accident burned so deeply into the US psyche that it has helped limit the future use of the power source across America.
While citizens were frightened by TMI, so too were investors. The accident happened after just three months of commercial operation causing the plant owner to go bankrupt. The whole clean up effort took 14 years and cost almost $1bn.
In the wake of TMI, demand for nukes fell through the floor. The Watts Bar plant in Tennessee, the first new nuclear installation in the US, became operational in 2016, two decades after the previous one.
Many US scientists, greatly concerned by the threat of climate change, have come out in support of nuclear. They argue that the need for large-scale low-carbon energy outweighs concerns over safety.
ULAANBAATAR, MONGOLIA (30 May 2016) — The Asian Development Bank (ADB) and the Government of Mongolia today kicked off a $500,000 capacity development technical assistance project to increase the resilience of Mongolian forest ecosystems to climate change with an inception workshop. In attendance were M. Tungalag, Director for Department of Forest Policy and Coordination, MET, and Satomi Yoshini of the Japan International Cooperation Agency.
The conservation of forest genetic resources project will support the government in implementing national laws on forest conservation and management. The project is funded by the Japan Fund for Poverty Reduction (JFPR) financed by the Government of Japan.
Increasing the forest cover to preserve the natural landscape and biodiversity is a key objective of the government. Sustainable forest regeneration depends on appropriate selection of and use of high-quality seeds for different vegetation regions. The project will identify official seed stock to supply high-quality forest seeds for more climate resilient forest regeneration. Capacity building in forest management by forestry personnel and local communities will be supported in three aimags: Khentii, Khuvsgul and Selenge.
“The project is aligned with ADB’s broader strategy to make economic growth more environmentally sustainable and preventing degradation of key natural resources, while supporting livelihoods of local communities.” said Mrs. Yolanda Fernandez Lommen, ADB Country Director in Mongolia.
Established in May 2000, JFPR provides direct grant assistance to the poorest and most vulnerable groups in developing member countries of ADB while fostering long-term social and economic development. Over the past 17 years. JFPR has supported over 48 projects in Mongolia dealing with poverty alleviation, livelihoods, and the environment.
ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, ADB worked for more than 50 years in development partnership in the region. It is owned by 67 members—48 from the region. In 2016, ADB assistance totaled $31.7 billion, including $14 billion in cofinancing.
Bolormaa Amgaabazar has been named the new World Bank's Country Manager for the Kyrgyz Republic. This was announced by Lilia Burunciuc, World Bank Country Director for Central Asia, at the meeting with Kyrgyz Prime Minister Sooronbai Jeenbekov on May 29.
Ms Amgaabazar was presented to the PM. Jeenbekov has thanked the Jean-Michel Happi, who is completing his mission as the World Bank's Country Manager for the country, for contribution to strengthening cooperation between Kyrgyzstan and WB, and expressed hope for further fruitful cooperation with the new leadership of the office.
Bolormaa Amgaabazar, a Mongolian national, joined the World Bank in 2004 and has worked in the East Asia and Pacific and Africa regions. Amgaabazar was a task team member of the National Program for Community Empowerment (PNPM) in Indonesia and was responsible for the implementation of the program in eastern parts of the country with a special focus on Papua and West Papua provinces. When working in the Jakarta office, she held a position of a Trust Fund Coordinator. In 2008 she relocated to Washington DC while continuing to work on Indonesia as the Country Officer. In 2011 she moved to the Africa Region, as Senior Operations Officer for Sudan and South Sudan, based in Nairobi.
In 2014, she was appointed Country Representative for Timor-Leste. As the Country Representative, Amgaabazar’s responsibilities include overseeing the Bank’s program in Timor Leste; managing and supporting the Country Office Staff; and leading the Bank’s dialogue with the Government of Timor-Leste towards the twin goals of reducing poverty and increasing shared prosperity.
Amgaabazar holds a Masters in Business Administration from the Maastricht School of Management in the Netherlands.
Ulaanbaatar /MONTSAME/ Minister of Internal Affairs of the Russian Federation, General of the Police V.A.Kolokoltsev is to pay an official visit to Mongolia at the invitation of Minister of Justice and Home Affairs of Mongolia S.Byambatsogt.
On May 31, the two Ministers will sign a document reestablishing cooperation between the internal ministries of Mongolia and Russia. Also, Mr. Kolokoltsev will pay courtesy calls on Speaker of Parliament M.Enkhbold and Deputy Prime Minister U.Khurelsukh.
On the sidelines of the visit, the Minister of Internal Affairs of Russia will visit law enforcement agencies of Mongolia.
British Airways is now operating a full flight schedule after an IT failure saw the airline cancel thousands of flights over the bank holiday weekend.
"Our IT systems are now back up and running and we will be operating a full flight schedule at Heathrow and Gatwick," the airline said.
But it warned it "may take some time" to reunite travellers with their bags.
BA chief executive Alex Cruz earlier blamed a power surge for the disruption which affected 75,000 people.
Despite the knock-on effect of the incident lasting for three days, Mr Cruz said the hardware problem was restored "after a few hours", and promised the company would "make sure that it doesn't happen again".
In his first interview since the systems failure, he said: "There was a power surge and there was a back-up system, which did not work at that particular point in time."
He told the BBC this had affected "all the operating of our systems - baggage, operations, power processing".
The GMB union has blamed the problem on technical staff being outsourced from the UK to India.
But Mr Cruz said there had been no redundancies or outsourcing in this area, adding that there had been "locally hired" staff attending to the maintenance and running of the infrastructure.
The focus is now likely to shift towards the financial impact on the airline.
BA is liable to reimburse thousands of passengers for refreshments and hotel expenses, and travel industry commentators have suggested the cost to the company - part of Europe's largest airline group IAG - could run into tens of millions of pounds.
Shares in IAG, which is listed in both London and Madrid, fell 2.8% in Spain on Monday and are expected to fall again in London trading when it reopens after the bank holiday.
Davy analyst Stephen Furlong said the cost to the carrier of cancelling one day of operations was about £30m.
Questions remain about how a power problem could have had such impact.
The BBC's technology correspondent Rory Cellan-Jones said one theory was that returning systems were unusable as the data had become unsynchronised.