Events
Name | organizer | Where |
---|---|---|
MBCC “Doing Business with Mongolia seminar and Christmas Receptiom” Dec 10. 2024 London UK | MBCCI | London UK Goodman LLC |
NEWS

China's Ant Financial raises offer for MoneyGram to $1.2 billion www.reuters.com

Mitsui & Co. bets big on former Rio Tinto CEO www.asia.nikkei.com
Resource magnate Sam Walsh becomes Japanese company's external director
TOKYO -- Japanese trading house Mitsui & Co. stunned the market by announcing on March 22 that Sam Walsh, who just stepped down as chief executive officer of British-Australian mining giant Rio Tinto last July, will become its external director in June.
Walsh spent about twenty years in the auto industry after graduating from university, and held senior roles with General Motors and Nissan Australia. He joined Rio Tinto in 1991.
Walsh served as head of Rio Tinto's core iron ore division between 2004 and 2013 before becoming CEO. He slashed costs by adopting Toyota Motor's kaizen, or continuous improvement, production system and Japanese construction machinery maker Komatsu's driverless trucks. That helped Rio Tinto weather the plummeting resource prices in 2015 and 2016, which put other resource giants in significant difficulty.
Mitsui, which logged its first net loss after posting an impairment loss in the resource business in the year through March 2016, is pinning big hopes on Walsh's extensive experience. Market players are also looking to Walsh's capital policy.
Walsh rejected a takeover bid for Rio Tinto from Swiss-based commodities giant Glencore while CEO in 2014. Around that time, he also increased shareholder payouts. Rio Tinto generated a positive operating cash flow of $8.5 billion and spent $3.6 billion on dividends and stock buybacks for the year through December 2016.
As CEO he was also responsible for bolstering the company's financial standing to better cope with fluctuating commodity prices. S&P Global Ratings' last summer revised its outlook on Rio Tinto from "negative" to "stable" and affirmed its A- long-term credit rating. Instead of boosting shareholder payouts with financial leverage, he focused on liabilities, shareholders' equity and cash flow in a balanced manner.
Akifumi Hayashi, senior analyst at Mizuho Securities, said Walsh is an excellent manager, not only because he turned around the business, but also because of his disciplined allocation of capital. Market watchers expect that his stance toward capital policy and expertise will have a positive impact on Mitsui's management.
Mitsui is expected to formulate a new dividend and capital policy when it releases its medium-term management plan in May. The company's earnings and shareholder payouts have been subject to commodity prices, as it has determined the latter based on free cash flow.
Mitsui's decision to cut dividends for the year ended March was also a disappointment to market players. If Walsh's expertise can help Mitsui stabilize its earnings and shareholder payouts, market evaluations may change for the better.
Australian media reported that Rio Tinto has been under investigation on corruption charges for a mine interest in Guinea. Mitsui stressed there is no evidence that Walsh has any involvement. The focus is now on what kind of role Walsh will play at Mitsui after obtaining approval at the annual shareholders' meeting in June.
...
United Airlines changes policy after 'horrific' passenger ordeal www.bbc.com
United Airlines is changing its policy on giving staff last-minute seats on full flights after a man was dragged screaming from an overbooked plane.
The airline said that in future crew members would be allocated seats at least an hour before departure.
It comes after passenger Dr David Dao lost two front teeth and suffered a broken nose when he was forcibly removed from a flight last Sunday.
United Airlines said the move was aimed at improving its customer services.
The incident involving Dr Dao caused outrage and widespread condemnation of the airline after shocking footage was shared and watched by millions of people online.
His daughter, Crystal Dao Pepper, later told a news conference in Chicago that the family had been "sickened" by what had happened.
Law enforcement officials dragged Dr Dao off a flight departing from Chicago for Louisville, Kentucky, because it was fully booked, and the airline wanted four passengers to make way for staff members.
The 69-year-old Vietnamese-American physician had refused to leave, saying he needed to go home to see his patients. He was then dragged down the aisle of the aircraft.
His lawyer later said that Dr Dao found the experience "more horrifying and harrowing than what he experienced when leaving Vietnam".
The ordeal led to demonstrations at Chicago's O'Hare International Airport and turned into a public relations disaster for United Airlines.
The situation escalated when a response from the airline's chief executive, Oscar Munoz, failed to mention any use of excessive force.
"This is an upsetting event to all of us here at United. I apologise for having to re-accommodate these customers," he said in a statement. He also said that Dr Dao was "disruptive and belligerent".
Days later Mr Munoz, who was facing calls to resign from online petitions that had received thousands of signatures, said he felt "shame and embarrassment" and vowed that it would never happen again.
The airline offered compensation to all customers on board last Sunday's United Flight 3411.

BSGR sues George Soros over loss of Guinea iron project www.mining.com
On April 14th, BSG Resources filed a lawsuit in federal court in New York against George Soros and is asking for $10 billion in damages based on allegations that the billionaire’s “illegal conduct destroyed” the group’s investment in Guinea’s Simandou deposit.
According to Bloomberg, the company controlled by Israeli mining magnate Beny Steinmetz says Soros’ defamation campaign stripped them of rights to the African iron ore deposit and other business opportunities around the world.
Steinmetz was arrested in Israel in December of 2016 on suspicion of bribing government officials in Guinea to obtain rights over Simandou. After the period of restriction elapsed in January, he was released without charges.
Now, the diamond tycoon wants to flip the coin. His controlled company’s suit says that Soros and his controlled entities influenced government officials in Guinea to hinder BSGR’s plans. It also says that the Hungarian-American business mogul had no economic interest in Guinea and was “motivated solely by malice.”
BSGR sues George Soros over loss of Guinea iron project
In detail, BSGR’s complaint says Soros was driven by a grudge that dates back to 1998 around a business in Russia. It adds that that was the reason behind Soros-funded companies’ decision to fabricate reports about Steinmetz’s alleged payment of millions of dollars in bribes to obtain permits to one of the world’s richest iron ore sites.
The Guinean government –Bloomberg’s account adds- used those reports to forbid BSG Resources Ltd. from claiming rights to the Simandou deposit in April of 2014.
Simandou has over two billion tonnes of reserves and some of the highest grades in the industry (66% – 68% Fe which attracts premium pricing).
The same day the lawsuit was filed in New York, different media outlets including Bloomberg, The Telegraph, and Reuters tried contacting Michael Vachon, a spokesman for Soros, but he didn't immediately respond to requests for comments made outside of regular business hours.
This is the latest chapter in a long, ongoing battle that has also “shaken to the core” Anglo-Australian Rio Tinto (LON:RIO). Back in November, the world’s second largest mining company unveiled emails sent by some of its executives in May 2011 related to a dubious payment made to an external consultant working on the firm’s Simandou project.
The revelations triggered several probes as well as a couple of management shakeups, including the polemic dismissal of the company’s’ energy and minerals boss Alan Davies.

New pipeline broadbases gas supplies www.chinadaily.com
The 1,454-km Kazakh-China link will transport 5 billion cu m annually
A new strategically important natural gas pipeline running from southern Kazakhstan to China began operating on Friday, China National Petroleum Corp said in a statement.
The company said the pipeline, which has annual installed transportation capacity of 6 billion cubic meters of gas, will help ensure diversification of the nation's gas supplies.
The 1,454 kilometer pipeline is being jointly operated by CNPC Trans-Asia Pipeline Co Ltd and Kazakhstan's state KazTransGaz-and will provide China with 5 billion cu m of natural gas each year-according to Asia's biggest oil and gas producer CNPC.
CNPC said it is a key energy project between the two countries as well as a significant part of the Central Asia-China gas pipeline, which starts at Turkmen-Uzbek border city Gedaim and runs through central Uzbekistan and southern Kazakhstan before reaching Horgos in China's Xinjiang Uygur autonomous region.
According to the State-owned CNPC, which provides more than two-thirds of the country's natural gas, the pipeline is a typical project along the Belt and Road Initiative and Kazakhstan is located in a prominent position.
Analysts said the new natural gas pipeline would further diversify China's sources of gas imports and followed the China-Russia crude oil pipeline, the China-Kazakhstan oil pipeline as well as the China-Myanmar crude oil pipeline, which started operations on Monday.
Li Li, energy research director at ICIS China, a consulting company that provides analysis of China's energy market, said there is also a chance that China might face a gas surplus.
Li said the growth of China's gas consumption had also moderated since the start of the economic slowdown.
A bonus was that the safety standards for pipeline transmissions were much higher and the project would also ensure a stable energy supply to China, she added.
A researcher at State-owned China National Petroleum Corp in November said the country could face a gas surplus of 50 billion cu m a year by 2020, due to long-term contracts for imports of liquefied natural gas and pipeline expansion plans, energy news agency Platts reported.
CNPC said the pipeline would also provide more than 2,000 jobs for locals and provide natural gas for more than 1.5 million local residents.
The start of gas flows at the southern Kazakhstan natural gas pipeline followed news that a CNPC unit specializing in oil engineering, manufacturing and construction-China Petroleum Engineering & Construction Corp-signed a contract with Russian gas giant Gazprom to take part in the construction of the Amur gas processing plant, a move to further secure domestic gas supplies.

World bank: Modest recovery expected in Mongolian economy in 2018 www.en.montsame.mn

2017 budget amendment approved www.en.montsame.mn

Prominent bankers emphasize the importance of transparency and international standard www.en.montsame.mn

Mongolia serves as the shortest route to connect Asia and Europe www.mongolia.gogo.mn

Copper production jumped by a million tonnes last year www.mining.com
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