Today (Nov 02) marks the 862nd anniversary of the birth of Great Emperor Chinggis Khaan and National Pride Day of Mongolia. In celebration, here are some interesting facts about the State Supreme Decoration of Mongolia, Order of Chinggis Khaan.

The State Supreme Decoration of Mongolia, Order of Chinggis Khaan was first established in 2002 by resolution of the State Great Khural of Mongolia, aimed at recognizing individuals and organizations who have made an exceptional contribution to reinforcing Mongolia’s independence, sovereignty, and national unity, fostering a humanitarian and democratic society, promoting social, economic, cultural, and scientific progress, preserving state traditions and historical heritage, passing these on to future generations, and introducing them to the world.

The State Supreme Decoration of Mongolia, Order of Chinggis Khaan is awarded solely by decree of President of Mongolia. Out of 18 total award ceremonies, 15 have honored individuals, while three awards have been presented to organizations: the Mongolian Armed Forces, the HU band, and the Mongolian Philharmonic Morin Khuur Ensemble.

Laureates of the State Supreme Decoration of Mongolia, Order of Chinggis Khaan:

1. 2005 – The First President of Mongolia Ochirbat Punsalmaa

2. 2006 – Laureate of State Premium of Mongolia, Honored Worker of Art of Mongolia, Composer Sharav Byambasuren

3. 2009 – Fifteenth Prime Minister of Mongolia Byambasuren Dash

4. 2010 – Public and Political figure, Honored Worker of Science of Mongolia Gonchigdorj Radnaasumberel

5. 2011 – The Second President of Mongolia Bagabandi Natsag

6. 2012 – The Ninth Chairman of the State Great Khural of Mongolia, Honored Economist of Mongolia Demberel Damdin

7. 2013 – The Thirteenth Prime Minister of Mongolia Sodnom Dumaa

8. 2014 – Physicist, and Academician Namsrai Khavtgai

9. 2015 – Honored Figure of Culture of Mongolia, Writer, Poet Mend-Ooyo Gombojav

10. 2016 – Honored Artist of Mongolia, Opera Singer Ariunbaatar Ganbaatar

11. 2017 – Honored Athlete of Mongolia, Hero of Labor, Olympic Champion Tuvshinbayar Naidan

12. 2019 – The Hu Band

13. 2021 – Cosmonaut, Major General Gurragchaa Jugderdemid

14. 2021 – The Mongolian Armed Forces

15. 2022 – Honored Scientist of Mongolia, Academician, Doctor, Professor Dorjgotov Dechingungaa, and an American Anthropologist Doctor, Professor Mr. Jack Weatherford

16. 2023 – Mongolian Philharmonic Morin Khuur Ensemble

17. 2024 – Ban Ki-Moon, the eighth Secretary-General of the United Nations

This year, President of Mongolia Khurelsukh Ukhnaa awarded the State Supreme Decoration of Mongolia, Order of Chinggis Khaan to Ban Ki-Moon, the eighth Secretary-General of the United Nations, making him the second foreign laureate after American scholar Jack Weatherford.

Although Order of Chinggis Khaan is typically granted to only one laureate annually, the Order was awarded to two individuals in 2022: Academician Dorjgotov Dechingungaa and American scholar Jack Weatherford.

A Mongolian citizen awarded the State Supreme Decoration of Mongolia, Order of Chinggis Khaan is invited to participate in state ceremonies such as the Order presentation, the National Naadam Festival, Constitution Day, and Lunar New Year celebrations. Additionally, they are entitled to join President of Mongolia's official delegation during State Visits abroad, and their portrait is respectfully displayed in the Columned Hall of Honor at the State Palace of Mongolia.

On the National Pride Day, the 862nd Anniversary of the Birth of Great Emperor Chinggis Khaan, President of Mongolia Khurelsukh Ukhnaa awarded the State Supreme Decoration of Mongolia, Order of Chinggis Khaan, to the 8th UN Secretary-General Ban Ki-Moon. We present the full speech of Mr. Ban Ki-Moon.

“His Excellency Khurelsukh Ukhnaa, President of Mongolia,

His Excellency Oyun-Erdene Luvsannamsrain, Prime Minister of Mongolia,

The Honorable Amarbayasgalan Dashzegve, Chairman of the State Great Khural of Mongolia,

Excellencies, Distinguished Guests, Ladies and Gentlemen,

It is with immense honor and gratitude that I stand before you today to accept the Supreme Decoration of the Mongolian State, the Order of Chinggis Khaan.

While this is a recognition of personal achievement, more importantly, it is also a celebration of the rich history and enduring spirit of the Mongolian people.

I would like to extend my deepest thanks to His Excellency Khurelsukh Ukhnaa, President of Mongolia, and all those involved in this prestigious award for selecting me as an awardee.

Chinggis Khaan, a name that resonates far beyond the borders of Mongolia, is a symbol of strength, vision, innovation, and unyielding determination.

His legacy is a testament to the power of leadership, resilience, and unity. As I humbly accept this Award, I am reminded of the guiding values he embodied; values that are more relevant today than ever before.

Indeed, in a world that often feels divided, Chinggis Khaan’s ability to unite diverse peoples under a common vision serves as a powerful reminder of the importance of collaboration, diversity, and understanding in harmony with strong leadership.

This Award also encourages us to look beyond our differences and work together toward a better future.

My own journey, though I am dwarfed by the shadow of the great Chinggis Khaan, has been shaped by the same ideals that Chinggis Khaan championed.

The Ban Ki-moon Foundation for a Better Future holds the view that nature is not an object to be conquered, but to be respected. Humanity must coexist with nature for its very existence.

And the 2030 Agenda for Sustainable Development and its SDGs embody this same imperative of harmony with nature alongside the core values of human rights and equitable development for all.

And I also believe that these values represent the vision of the great leader Chinggis Khaan and the Mongolian government today.

Ladies and Gentlemen,

I have dedicated my life to fostering dialogue and promoting multilateral cooperation to realize the ideals of the United Nations. Whether through education, community initiatives, or cross-cultural collaborations, I believe that we can build key bridges that connect us all.

I have also witnessed the transformative power of understanding. Each interaction, each story shared, reminds me that we are all part of a larger tapestry, woven together by our shared humanity.

In this regard, Mongolia’s history does not stop at the past; it is a living narrative that continues to evolve.

It is a story of strength and adaptability; qualities that are increasingly essential as we navigate the challenges of the modern world laden with interconnected challenges.

In accepting this Award, I humbly request all of us to embrace Chinggis Khaan’s legacy.

Let us expand our common efforts to strive for unity in diversity, courage in the face of adversity, and an unwavering commitment to peace.

In closing, I graciously accept this Award not only on my behalf but also as a tribute to all those who believe in the power of connection and understanding.

I once again thank Mongolia and the leadership of His Excellency Khurelsukh Ukhnaa, President of Mongolia, for this incredible honor.

I look forward to continuing our journey together.

Thank you.”

Trafigura Group is a giant of commodity trading. On any given day, it handles enough oil to supply the entire needs of France three times over. Its global reach stretches from US crude oil export infrastructure to fuel stations in more than 20 countries across Africa, Asia and Latin America.

Yet in a distant corner of its empire, far from the attention of top executives in Geneva and Singapore, a crisis has been brewing for some time.

This week, the company admitted it faces a loss in Mongolia of up to $1.1 billion, linked in part to suspected fraud by its own employees. Trafigura alleges that staff manipulated payments while concealing a mountain of overdue debts, allowing the exposure to run out of control for years without raising any red flags.

For people inside and outside Trafigura, the revelation was a bombshell. Most shocking was the scale of the likely loss relative to the size of Mongolia's oil market. There are over 100 countries that use more oil than Mongolia, according to data from the US Energy Information Administration, among them Luxembourg and Nepal. Its consumption of about 35,000 barrels a day is worth roughly $1 billion a year. For Trafigura, Mongolia made up less than 0.3% of all the oil it traded.

This account is based on interviews with eight people with direct knowledge of Trafigura and its activities in Mongolia, who asked not to be identified due to the sensitivity of the subject. This week, Trafigura Chief Executive Officer Jeremy Weir said the company was "bitterly disappointed" by the situation and was confident it was isolated to the Mongolia business, and the company's investigation is still ongoing.

This week’s announcement, confirming an earlier report by Bloomberg, represents a painful sequel to last year’s revelation that Trafigura had fallen victim to a massive alleged nickel fraud.

The debacle is shining another harsh light on the company’s internal controls, and raises questions about why it took almost a year to fully disclose the situation. For outsiders, it reinforces commodity trading’s fast-and-loose reputation, coming months after some of the biggest players — including Trafigura itself — pleaded guilty to corruption charges in the US.

Speaking privately, nine bankers, including at some of the company’s key lenders, said they were astounded by the size of the potential loss, and want to know how Trafigura will prevent it happening again. Still, the loss is unlikely to affect the company’s ability to borrow money, several of them said.

“The key question, as always, is how quickly and effectively one learns from mistakes and implements corrective measures,” said Jean-Francois Lambert, a consultant and former commodity banker. “Not merely by reshuffling or dismissing staff and launching a lengthy recovery process, but by strengthening the company’s governance, internal processes, and controls.”

For years, Trafigura had enjoyed a profitable niche in Mongolia, which relies entirely on imports for its gasoline and diesel — largely by rail from Russia, as well as sometimes from China.

The company supplied about a third of Mongolia’s oil products, with a particularly large position in diesel. Rosneft PJSC and Gunvor Group were its main competitors. The operation turned over a few hundred million dollars every year, with profits typically in the tens of millions, according to people with knowledge of the matter.

It was a small but sweet business for the world of commodity trading, where razor-thin margins are often 1% or less.

In Ulaanbaatar, Trafigura’s employees worked from the Landmark, a glass-clad building at the edge of the central business district that overlooks a new park built by mining giant Rio Tinto Group. Next door sits the Soviet-era Bayangol Hotel.

Trafigura’s main oil trader in Mongolia was Jononbayar Erdenesuren, who had been at the company since 2012. Jononbayar was known in Ulaanbaatar’s close-knit business world for his hard-charging approach to business and for the parties he threw for friends and contacts.

Being landlocked makes the Mongolian market vulnerable to disruptions, and in late 2023 the country was gripped by a fuel shortage. Citizens rushed to queue for petrol and diesel, and the government started to scrutinize the state of oil inventories in the country.

Some people familiar with the matter suggested that the crisis helped lead to the discovery of Trafigura’s financial hole in the country.

But the trading house was also going through its own period of scrutiny after the nickel fraud. And as the company looked more closely at its largest credit exposures, one tiny market stood out.

Fuel on Credit

Selling oil in Mongolia is complicated. International companies like Trafigura don’t have import licenses and so can’t supply the local market directly, instead relying on local distributors. For Trafigura, the main counterpart was a company called Lex Oil LLC.

The Mongolian company would take Trafigura’s oil products and sell them on to fuel retailers. Crucially, Trafigura supplied the oil on credit, with an agreement that Lex Oil would pay in the future after making deductions for customs and freight duties.

Further complicating the picture: the wholesaler itself also provided credit to its own customers, while hedging transactions added another layer of complexity. The result was an ever-changing exposure to Lex Oil and its network of buyers in Mongolia.

What Trafigura’s accountants in Singapore and Geneva had not properly understood was that those exposures had ballooned in size to many hundreds of millions of dollars even as the bills hadn’t been paid when they were due, a person familiar with the matter said.

A person who answered the phone at Lex Oil’s office said that no one was available to answer Bloomberg’s questions, and the company didn’t respond to an emailed request for comment.

The issue was finally identified late last year. Trafigura says that it found “deliberate concealment of overdue receivables” by its staff, but the alleged misconduct wasn’t limited to hiding the debt. The company also said its employees manipulated data and documents to misstate the calculations for charges like customs and freight. It believes this had been going on for approximately five years.

Trafigura didn’t name any employees in its statement, saying just that it was taking “appropriate disciplinary action.” Jononbayar is among employees who have been suspended, according to people familiar with the matter.

A representative for Jononbayar declined to comment, saying he is still an employee of Trafigura and is bound by a confidentiality agreement.

Eight Months

As the size of the problem became apparent, Trafigura’s board brought in forensic accountants. The company’s senior management got involved and Jose Larocca, one of the top executives, flew to Mongolia in February to meet with Lex Oil.

Bloomberg reported the same month that Trafigura had an issue in its Mongolian oil business and faced hundreds of millions of dollars in potential losses. The company said at the time it had recently agreed debt repayment schedules with oil products customers in Mongolia and that it had “a good track record of successfully recovering debts from counterparts in emerging markets.”

Even after the report, more than eight months would pass before Trafigura disclosed the full extent of the problem.

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The response in Mongolia contrasts with its actions over the nickel fraud, when Trafigura moved to take legal action against the alleged fraudster, Prateek Gupta. It won a freezing order, but nearly two years later has yet to recover any funds. (Gupta has disputed Trafigura's version of events, arguing that the trading house was complicit in his actions.) Meanwhile, the court case has shone a harsh light on Trafigura’s own processes and exposed internal communications that the company might have preferred to remain private.

Its head of nickel and cobalt trading left the company, and several other senior metals executives departed over the coming months, though Trafigura has said repeatedly it did not believe that anyone at the company was complicit in the nickel fraud.

One reason the company didn’t take immediate legal action with the Mongolian oil loss was that it had not yet got a clear account of the facts of the case, a person familiar with the matter said. Its investigation is still ongoing, the company says.

In June, when Trafigura published unaudited results for the half-year ended March, the word “Mongolia” wasn’t even mentioned. The company did report a sharp increase in overdue receivables, but incoming Chief Financial Officer Stephan Jansma explained that higher commodity prices and interest rates meant that “importing countries from time to time will have issues in their payment profile.”

The disclosures “reflected management’s estimate of potential losses at that time across a number of counterparties and countries,” a Trafigura spokesperson said on Thursday. “With an external investigation underway, we were not in a position to provide any commentary on Mongolia.”

Annual Accounts

By late September, Trafigura was preparing to close its annual accounts, as Weir announced he would hand over as CEO to gas boss Richard Holtum in January. It was time to decide what to do about the headache in Mongolia.

The company had already taken some action. It stopped new business in the country, suspended Jononbayar, and terminated the contract of its Singapore-based head of Mongolia, Mikhail Zeldovich. (Zeldovich declined to comment.)

And it still hopes to recover some money from Lex Oil, whose debt represents more than half of the $1.1 billion, according to a person familiar with the matter.

“A substantial proportion of the total exposure has been acknowledged as a debt owed to Trafigura by our principal counterparty in Mongolia. We intend to hold the counterparty to their repayment obligation,” Trafigura said.

Ultimately, the company decided to record a “conservative” provision of $1.1 billion in its financial results, and to publicly confirm the alleged misconduct.

Some bankers heard about the prospect of a provision on Mongolia during informal conversations with Trafigura employees in September, according to people familiar with the matter. But even lenders who were expecting a charge were shocked by the $1.1 billion figure.

“In September 2024, no employee at Trafigura had the knowledge or the authority to discuss the quantum of a total provision in respect of our Mongolian oil business,” the company said.

It’s unlikely that any large lending relationships will be affected, said Orhan Gunes, a commodity financier who now runs trade finance platform TradeQraft.

“The critical issue is that after this and the nickel case they’ve used up their credits for such things, and I think they are aware of this,” he said. “Trafigura has very sound risk management tools and professionals so they will take serious precautions.”

By Jack Farchy, Alfred Cang, Archie Hunter, Terrence Edwards, and Priscila Azevedo Rocha

— With assistance from Anna Shiryaevskaya

According to the amendments made to Article 22.9 of Mongolia's Corporate Income Tax Law (CIT Law), businesses are now eligible for tax deductions on certain expenses related to corporate social responsibility (CSR). The deduction amount is limited to up to 1% of taxable income for the tax year. The following categories of activities and expenses qualify for tax deductions:

Activities Eligible for Tax Deductions:

Environmental Protection

Investments aimed at protecting natural resources such as forests, animals, and water; increasing reserves; reducing pollution of air, water, and soil; and mitigating desertification.

Support for the Elderly and People with Disabilities

Expenses related to services for the elderly, care for individuals with disabilities, creation of accessible environments, and construction or maintenance of children’s playgrounds, camps, and public parks.

Preservation of Cultural Heritage

Activities that involve the preservation, restoration, and support of museums, libraries, music, film, handicrafts, performing arts, and the construction and maintenance of cultural complexes.

Public Infrastructure Development

Construction, maintenance, and beautification of public roads, parks, and green spaces, as well as support for the development of public transportation.

Disaster Relief

Expenses incurred to address and mitigate damages caused by natural disasters or similar unavoidable events.

Support for Sports

Construction and maintenance of sports facilities, organization of Olympic sports competitions, and financial support for national Olympic committee-registered sports associations, teams, and athletes.

Scholarships for Education

Tuition scholarships provided to students in priority fields designated by the Government, students studying at accredited domestic and foreign universities, and vocational training institutions.

Support for Research and Development

Grants provided to universities and the Academy of Sciences for research and study purposes.

Support for Public Education and Health Institutions

Financial support for operations of state and local government-owned educational and healthcare institutions.

Government Special Funds

Investments in activities related to government-designated special funds.

Monitoring and Standards

Requirements and standards for projects and activities eligible for deductions under Article 22.9 are to be defined and monitored by the relevant government ministry.

This amendment aims to encourage corporate social responsibility among businesses, supporting public welfare by providing tax incentives for investments in these areas.

Deputy Prime Minister of Mongolia Amarsaikhan Sainbuyan received the United States Agency for International Development (USAID) Mission Director for Mongolia Ryan Washburn and other officials.

Deputy Prime Minister Amarsaikhan underlined that the projects and programs implemented in Mongolia by USAID contribute to the country's social development and economic growth. He also expressed gratitude to the Agency for providing assistance in overcoming the challenges caused by the dzud natural disaster last winter and expressed interest in cooperating in agriculture, regional development policy, and issues on the National Emergency Management Agency of Mongolia.

USAID has successfully implemented projects and programs to support Mongolia’s small-to-medium-sized enterprises, energy reform, and food security. Notably, projects on the detection and prevention of animal diseases, with further plans to improve the capacity of veterinary laboratories for early detection.

Additionally, a capacity-building project for service members of the National Emergency Management Agency of Mongolia is being implemented. The two sides exchanged views on cooperation in improving disaster prevention and early warning systems. Deputy Prime Minister Amarsaikhan emphasized that contributions from not only relevant organizations or agencies but also the government, enterprises, and citizens are vital in disaster risk reduction.

USAID Mission Director for Mongolia Ryan Washburn expressed readiness to support the Mongolian Government’s “New Cooperative” National Movement and also provide assistance in overcoming potential challenges of the upcoming winter.

Troy Minerals Inc. has announced the re-establishment of its drill camp at the Tsagaan Zalaa Silica Project in Mongolia, marking a significant milestone in preparation for the final phase of the Company’s drilling program for 2024. This move highlights Troy’s commitment to unlocking the potential of this high-purity silica asset, which is essential for various applications, particularly in the green energy sector.

With the drill camp now operational, Troy is poised to initiate the last round of drilling, which will focus on the project's high-grade quartz veins that can reach widths of up to 10 meters. The completion of this final drilling phase is anticipated before the end of November 2024. Successfully executing this stage will enable the Company to establish resource estimates, a crucial step in advancing the project toward a comprehensive mine plan. This progress is essential as it positions Troy to submit a mining license application by the end of 2024, paving the way for future production and long-term growth opportunities.

Rana Vig, President and CEO of Troy Minerals, emphasized the importance of this development, stating, "Re-establishing the drill camp at Tsagaan Zalaa marks another significant step in advancing this project. With the camp fully operational, we are well-positioned to complete the final phase of drilling and continue progressing toward production." He further noted that the strategic location of this high-purity silica project, coupled with the increasing demand from the green energy sector, reinforces the project's long-term potential. Vig highlighted the company's commitment to executing its development plans swiftly and efficiently to maximize shareholder value.

As full-scale field operations recommence, Troy is dedicated to advancing the Tsagaan Zalaa Silica Project, aiming to establish itself as a leader in the high-purity silica market. The ongoing exploration and drilling activities are not only critical for determining the resource's viability but also serve to demonstrate the project’s capacity to cater to the growing market demand associated with the transition to green energy technologies.

Troy Minerals remains focused on leveraging its strategic advantages in the silica sector, which is becoming increasingly important as industries shift toward sustainable practices. The successful establishment of the drill camp and the commencement of drilling activities are vital steps in this direction. The Company’s initiatives underline its proactive approach to ensuring that the Tsagaan Zalaa project aligns with the evolving market needs, positioning Troy for future success in the high-purity silica market. With continued dedication and strategic planning, Troy is set to play a significant role in the green energy transition while enhancing shareholder value.

At the end of the third quarter 2024, the MINING.COM TOP 50 ranking of the world’s most valuable miners scored a combined market capitalization of $1.51 trillion, up just under $76 billion from end-June, largely on the back of gold and royalty stocks.

The total stock market valuation of the world’s biggest mining companies is up a fairly modest 8% year to end-September and despite the good run is still $240 billion below the peak hit in the second quarter of 2022. And judging by the performance of the top tier in the final quarter (BHP down 8% QTD, Rio Tinto –5%, Vale –3%, Glencore –5%, Newmont –9%, Zijin –5%, Freeport –7%) the gap won’t be closing anytime soon.

In contrast, Nvidia — the maker of chips highly prized for artificial intelligence (AI) computing — is up nearly 200% so far this year (and 2,600% over five). When comparing the graphics card maker’s stock valuation to the mining industry’s collective worth, it’s difficult not to wonder if something is not awry with how global investors appraise the industrial economy.

Should Nvidia (or Microsoft or Apple for that matter) be worth more than twice the top 50 miners? Outside the top 50 the average market cap quickly shrinks to the low teens so Nvidia is in fact worth more than the entire listed mining industry.

Even when extending the top 50 into metals and energy – steel, aluminium and electricity companies often operate their own mines – Nvidia can still throw shade. BHP does not even crack the top 100 most valuable companies in the world and is worth less than Booking.com, and Temu and Zara’s owners, none of which can exactly be called the building blocks of the global economy.

Nvidia briefly surpassed Apple on Friday to become the world’s most valuable company. Its market capitalization is approximately $3.5 trillion, just below Apple’s, which remains the highest-valued firm globally.

The population of Mongolian wild asses (Equus hemionus), also known locally as Gobi Khulan, has reached approximately 90,000, accounting for around 80 percent of the estimated global population, according to the Mongolian Ministry of Environment and Climate Change on Monday.

These wild asses inhabit an area of approximately 262,000 square km in the Gobi region of Mongolia, which represents only about 20 percent of their historical range, the ministry stated.

Despite the overall increase in their population, Mongolian wild asses continue to face threats, including illegal hunting for their meat and hooves, as well as pressure from nomadic herders who chase them away to protect their livestock pastures.

In response to these challenges, the Ministry of Environment and Climate Change has designated Oct. 25 each year as "Khulan Conservation Day," which was celebrated for the first time this year.