1 PRESIDENT ISSUES DECREE ON DEVELOPING TRADITIONAL MONGOLIAN MEDICINE WWW.MONTSAME.MN PUBLISHED:2026/01/17      2 IN 2025, MONGOLIA EXPORTED 83.9 MILLION TONS OF COAL WWW.OPEN.KG PUBLISHED:2026/01/17      3 AYAN HOTELS AND RESORTS ANNOUNCES THE OPENING OF AYAN ZALAAT HOTEL & SPA IN ULAANBAATAR, MONGOLIA WWW. PUBLISHED:2026/01/17      4 PM: ONLY AN ORDERLY STATE CAN DELIVER ECONOMIC GROWTH TO CITIZENS WWW.MONTSAME.MN PUBLISHED:2026/01/16      5 JAPAN GRANT TO SUPPORT POWER GRID RELIABILITY WWW.MONTSAME.MN PUBLISHED:2026/01/16      6 MONGOLIA TO DEEPEN COOPERATION WITH CHINA IN THE FIELD OF RESPONSIBLE MINERAL EXTRACTION WWW.OPEN.KG PUBLISHED:2026/01/16      7 SPRING AIRLINES PLANS DIRECT SHANGHAI–ULAANBAATAR FLIGHTS WWW.MONTSAME.MN PUBLISHED:2026/01/16      8 DRIVING FINANCIAL INCLUSION IN MONGOLIA: INVESTMENT IN INVESCORE WWW.TRIODOS-IM.COM PUBLISHED:2026/01/15      9 ‘ERDENES TAVANTOLGOI’ JSC SETS ALL-TIME DAILY RECORD FOR COAL EXPORTS WWW.MONTSAME.MN PUBLISHED:2026/01/15      10 SOUTH KOREA JOINS CHINA, JAPAN, GERMANY, RUSSIA AND KAZAKHSTAN IN ACCELERATING MONGOLIA TOURISM BOOM WITH RECORD-BREAKING VISITOR SPEND, STRONG WINTER DEMAND AND RISING FOUR-SEASON TRAVEL APPEAL WWW.TRAVELANDTOURWORLD.COM PUBLISHED:2026/01/15      “ЧИНГИС ХААН” НИСЭХ БУУДЛЫГ ТҮШИГЛЭН ОЛОН УЛСЫН ТРАНЗИТ ЗОЧИД БУУДАЛ БАЙГУУЛНА WWW.ITOIM.MN НИЙТЭЛСЭН:2026/01/17     АТГ: Н.ТАВИНБЭХ ЗӨВЛӨХИЙНХӨӨ КОМПАНИД 7 ТЭРБУМ ТӨГРӨГИЙН САНХҮҮЖИЛТ ОЛГОСОН WWW.ITOIM.MN НИЙТЭЛСЭН:2026/01/17     С.НАРАНЦОГТЫН ЭХНИЙ НҮҮДЭЛ: ИРГЭДИЙН ЗЭЭЛИЙН ХЭМЖЭЭГ 5 ХУВИАР БУУРУУЛАХ WWW.EGUUR.MN НИЙТЭЛСЭН:2026/01/17     АЛБАН БОЛОН ХУВИЙН ХЭРГЭЭР АМЬДРАХ ГАДААД ИРГЭДИЙН ТОО ӨСЧЭЭ WWW.NEWS.MN НИЙТЭЛСЭН:2026/01/17     ХЯТАДЫН ҮНДЭСНИЙ ГАЗРЫН ТОСНЫ КОРПОРАЦИТАЙ ШАТАХУУНЫ НИЙЛҮҮЛЭЛТИЙГ НЭМЭГДҮҮЛЭХ УРТ ХУГАЦААНЫ ГЭРЭЭ БАЙГУУЛНА WWW.ITOIM.MN НИЙТЭЛСЭН:2026/01/16     "СЭЛБЭ 20 МИНУТЫН ХОТ" БҮСЭД СОНГОН ШАЛГАРУУЛАЛТ ЗАРЛАЛАА WWW.NEWS.MN НИЙТЭЛСЭН:2026/01/16     2025 ОНД МОНГОЛ УЛС НИЙТ 90.2 САЯ ТОНН НҮҮРС ЭКСПОРТОЛЖ РЕКОРД ЭВДСЭН Ч ҮНЭ УНАСААР БАЙНА WWW.EGUUR.MN НИЙТЭЛСЭН:2026/01/16     МОНГОЛ УЛС ХЯТАД УЛСТАЙ ХАРИУЦЛАГАТАЙ НОГООН УУЛ УУРХАЙГ ХӨГЖҮҮЛЭХ ХАМТЫН АЖИЛЛАГААГАА ГҮНЗГИЙРҮҮЛНЭ WWW.ITOIM.MN НИЙТЭЛСЭН:2026/01/15     “ВИЗ МЭДҮҮЛЭГЧИД ВИЗИЙН МЭДҮҮЛГЭЭ БӨГЛӨН, ТОВЛОСОН ЦАГТАА ЯРИЛЦЛАГАДАА ОРНО” WWW.EGUUR.MN НИЙТЭЛСЭН:2026/01/15     БНХАУ-ТАЙ ХАМТРАН ХИЛ ОРЧМЫН БҮСЭД ГЕОЛОГИЙН СУДАЛГАА ХИЙХЭЭР БОЛЛОО WWW.EAGLE.MN НИЙТЭЛСЭН:2026/01/15    

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Events

Events

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MBCC “Doing Business with Mongolia seminar and Christmas Receptiom” Dec 10. 2025 London UK MBCCI London UK Goodman LLC

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China, Russia, Mongolia sign Tea Road tourism plan www.xinhuanet.com

The China-Russia-Mongolia Tea Road Tourism Cooperation and Development Plan for 2025-2026 has been signed in the northern Mongolian city of Darkhan.
The plan was signed on Friday during the 9th tourism ministerial conference of China, Russia, and Mongolia, with the aim of deepening trilateral exchanges in the tourism sector.
According to the plan, the three parties will develop and promote joint tourism routes and stops along the "Tea Road," launch a cross-border self-driving tour brand along the "Tea Road," and improve the level of convenience for cross-border tourism.
Representatives of the tourism departments of the three countries and related associations attended the meeting.
During the conference, the China-Russia-Mongolia travel agents meeting was also held, attracting dozens of cultural and tourism enterprises and tourism associations from the three countries.
A "Tea Road" themed exhibition and a launching ceremony for the "Tea Road" self-driving tour were held concurrently.

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Embassy of Mongolia celebrates 50th Anniversary of establishment of diplomatic relations with Kuwait www.timeskuwait.com

To commemorate 50th Anniversary of establishment of diplomatic ties between Mongolia and Kuwait, in conjunction with the 101st anniversary of the Proclamation Day of Mongolia, the Embassy of Mongolia in the State of Kuwait hosted a grand reception featuring a Mongolian traditional cultural folklore performance by the Mongolian Grand Theatre of National Arts and a Mongolian fashion show.
The event took place on Dece 7, 2025, at the Grand Hyatt Hotel in Kuwait City. The invitef guests experienced Mongolia’s rich cultural heritage through its music, dance, and traditional attire — offering a vivid reflection of the nomadic spirit and cultural identity of the Mongolian people.
Following the Grand Reception, the Embassy also plans to organize a Mongolian traditional food exhibition and a horse racing competition named in honor of Mongolia, both scheduled for December 2025.
The event marked a historic milestone embodying five decades of friendship, mutual respect, and fruitful cooperation founded on shared values and a common commitment to peace, stability, and development.
Since the establishment of diplomatic ties in 1975, Mongolia and Kuwait have consistently strengthened their partnership through excellent political relations, active dialogue, and collaboration across a wide range of sectors.
The relationship has been further enhanced by frequent high-level exchanges and constructive cooperation within regional and international frameworks.
A cornerstone of this partnership has been the close cooperation between the Government of Mongolia and the Kuwait Fund for Arab Economic Development, which has played a significant role in supporting Mongolia’s socio-economic development through concessional loans and financial assistance for key national infrastructure projects.
In recent years, relations between Mongolia and Kuwait have expanded steadily in the fields of transportation, sports, culture, tourism, and particularly food security, following the successful launch of Mongolia’s meat exports to Kuwait in October 2024.
Another major step forward was the signing of the Air Service Agreement on January 18, 2025, which established a legal framework for the introduction of direct flights between the two countries — a move expected to further deepen cooperation in all areas.

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Clean-Up, Infrastructure Preparations for COP17 Underway at National Garden Park www.montsame.mn

As part of preparations for hosting the 17th Session of the Conference of the Parties (COP17) to the United Nations Convention to Combat Desertification, efforts are underway to expand green areas within the National Garden Park in Ulaanbaatar. Landscaping works include the planting of more than 4,500 trees and shrubs of nine different types, along with grass.
Staff of the Project Unit under the COP17 Secretariat, together with residents, carried out a clean-up of waste in the eastern part of the park.
In addition, infrastructure for temporary conference facilities is under development. According to the Capital City Governor’s Office, installation of the information and communication fiber-optic network has been fully completed. Works to install the water supply and sewerage systems are 88 percent complete, while electrical supply and parking lot construction are 45 percent complete.
A planning team of the Secretariat of the United Nations Convention to Combat Desertification, which visited Ulaanbaatar last week, concluded that construction of the conference facilities can be fully completed by the end of July 2026.

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Bank of Mongolia Purchases 2,829 kg of Precious Metals in October www.montsame.mn

The Bank of Mongolia reported that 2,829 kilograms of precious metals were purchased in October 2025, marking a cumulative increase of 12.7 tonnes since the start of the year.
The Bank of Mongolia’s Darkhan-Uul aimag branch purchased 722.6 kilograms of precious metals in October, while the Bayankhongor aimag branch acquired 1,532.9 kilograms. Combined, this marks a 10.3 percent decline compared to the same period last year.
The Bank of Mongolia sets the domestic purchase prices for precious metals based on global market rates. In October 2025, the average price of gold stood at MNT 466,000 per gram.
Economists note that fluctuations in global gold prices, domestic mining output, and currency exchange rates have impacted the volume of gold purchased. Notably, 2020 recorded the highest annual gold acquisition in the past six years.
Gold acquisitions remain a key element of Mongolia’s strategy to strengthen its official foreign exchange reserves. The Bank of Mongolia sources gold from domestic mining companies, organizations, and individuals, then exports it to foreign institutions for refining to international standards and monetization – ultimately expanding the country’s foreign currency reserves.

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Singapore now has non-stop flights to Mongolia www.mainlymiles.com

There’s an interesting new addition to Changi Airport’s passenger route map from this week, with the launch of non-stop flights between Singapore and Ulaanbaatar, the capital city of Mongolia, gateway to the Gobi desert and popular hiking and horse trekking expeditions in this fascinating off-the-beaten-track country.
The new link has been launched by MIAT Mongolian Airlines, with twice weekly flights on the seven-and-a-half-hour stretch, initially using narrow-body Boeing 737-8 MAX aircraft but soon upgrading to wide-body service with the Boeing 767-300ER.
MIAT last served Singapore in 2014 with a twice-weekly one-stop Boeing 737-800 service to Ulaanbaatar via Beijing, though the route was short-lived and ended by mid-2015. The airline has therefore been missing from Changi’s departure boards for over a decade.
The schedule
During its first month, the route will be one of Singapore’s longest operated by a narrow-body aircraft, with MIAT deploying its 168-seat Boeing 737-8 MAX, after the inaugural service earlier this week, which was operated by a wide-body Boeing 767-300ER.
Singapore ↔ Ulaanbaatar
4th November 2025 – 29th November 2025
  Days
M T W T F S S
 OM1724
737-8 MAX^ 
SIN
19:25 UBN
02:55*
Duration: 07:30
 OM1723
737-8 MAX^ 
UBN
09:30 SIN
16:55
Duration: 07:25
^ 767-300ER on 4th November 2025, for the launch service
* Next day
From December 2025 onwards, the carrier’s sole 252-seat Boeing 767-300ER takes over the route.
Singapore ↔ Ulaanbaatar
From 2nd December 2025
  Days
M T W T F S S
 OM1724
767-300ER 
SIN
19:25 UBN
02:55*
Duration: 07:30
 OM1723
767-300ER 
UBN
09:30 SIN
16:55
Duration: 07:25
* Next day
Operating on Tuesdays and Saturdays, MIAT’s service departs Singapore in the evening, touching down in Ulaanbaatar just before 3am the following day (ouch!). The return leg is more civilised, a daytime flight leaving the Mongolian capital at 9.30am and arriving into Changi shortly before 5pm.
MIAT is using Terminal 4 at Changi Airport, which includes the Blossom Lounge for those departing in Business Class or holding a lounge access membership like Priority Pass or DragonPass.
Visiting Mongolia
Mongolia is certainly an off-the-beaten-track destination for more adventurous tourists, but the benefit of these non-stop MIAT flights is the ability to reach the country in just 7.5 hours, while the shortest indirect routings from Changi take at least 10 hours each way, with transit typically in Beijing, Hong Kong or Seoul.
Mongolia remains one of Asia’s least-travelled countries, with huge swathes of untouched landscapes, nomadic culture, and adventure tourism.
Singapore citizens don’t need a visa to travel to Mongolia, for trips of up to 30 days, with many other nationalities also benefiting from visa-free access, including:
Malaysia: 30 days
Hong Kong: 14 days
UK: 30 days
USA: 90 days
Australia: 30 days
New Zealand: 30 days
For a full up-to-date list, check this section of the Ministry of Foreign Affairs of Mongolia website.
MIAT’s Boeing 767
Passenger Boeing 767s are a rarity in Singapore, most are freighters these days, and many of our readers would probably assume MIAT’s aircraft is therefore an ageing model.

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Petro Matad announces updates on Gazelle and Heron wells in Mongolia www.offshore-technology.com

Petro Matad has started production from the Gazelle-1 well in Mongolia at an initial rate of 200 barrels of oil per day (bopd), following testing and installation of surface facilities last month. 
This initial production rate was set after analysing pressure data from the well test to reduce the risk of early water breakthrough. 
Petro Matad said that it will closely monitor well performance to assess whether the production rate can be increased. 
The company is processing Gazelle-1 crude for export, with the first shipments delivered to the Block XIX TA-1 processing and export facility under its current oil sales agreement with PetroChina. 
Heron-2, another well operated by Petro Matad, is undergoing a retest. 
Temporary pumping facilities have recovered around one-third of the remaining injected fluid, which contains stimulation fluid and an increasing proportion of oil. 
However, the operation experienced a decline in flow, which may indicate a downhole issue or obstruction. 
The well was shut in to realign the beam pump but has since resumed pumping. 
If fluid recovery rates remain low, Petro Matad will shut the well in for the winter and consider further remediation options. 
Petro Matad’s Heron-1 well has produced a total of 59,920 barrels (bbl) of crude oil, with a daily average of 164bbl, since it started production in October last year. 
The water cut has remained around 3%, and current daily production is around 145bbl, consistent with typical performance in the region. 
Petro Matad has prepared the infrastructure to connect Heron-1 to the national electricity grid, with commissioning subject to regulatory approval. 
The company is working with the Mineral Resources and Petroleum Authority of Mongolia to expedite the process. 
It has received funds for oil delivered up to August 2025 under its agreement with PetroChina. 
The company is currently negotiating with PetroChina to finalise the revised sales agreement and confirm a payment schedule for previously withheld amounts. 
Petro Matad CEO Mike Buck said: “Our operations team has worked hard to get the Gazelle-1 well ready for production in short order. We will closely monitor well performance to maximise production balanced with prudent reservoir management. 
“We are very pleased to be able to increase production and revenue generation so quickly after the successful Gazelle-1 well test and to add this to the consistent performance of Heron-1. Meanwhile, Heron-2 continues to present challenges. 
“We still hope to get an oil rate out of the well this year or, at the very least, enough information to allow us to prepare for another operationally appropriate attempt to do so after this winter’s operational shutdown. 
“PetroChina has been slow to respond on the rewording of the oil sales agreement but progress is being made.”

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Mongolia Shines at WTM 2025 in London, Unveiling Its Rich Culture and Sustainable Travel to a Global Audience www.travelandtourworld.com

At WTM 2025 in London, Mongolia is captivating global audiences by showcasing its unique cultural heritage and commitment to sustainable tourism. With its vast landscapes, nomadic traditions, and UNESCO World Heritage Sites, Mongolia offers an unparalleled travel experience that combines adventure with cultural immersion. Through its “Go Mongolia” campaign, the country aims to position itself as a top destination for responsible travelers seeking authentic experiences. By highlighting its efforts to preserve the environment while promoting local traditions, Mongolia is not only attracting attention but also solidifying its place as a key player in the future of sustainable global tourism.
Among the many countries showcasing their tourism offerings at WTM 2025, Mongolia is returning for the second consecutive year. This year, Mongolia is represented by the Ministry of Culture, Sports, Tourism, and Youth, along with the Embassy of Mongolia in the United Kingdom, the Mongolian Tourism Association, and ten local tour operators. The nation’s aim is clear: to increase its visibility in the global tourism market, attract a diverse audience of travelers, and position itself as a unique and sustainable destination for those seeking something extraordinary.
At the heart of Mongolia’s participation is its tourism campaign, “Go Mongolia.” This national initiative seeks to highlight the country’s rich cultural heritage and stunning natural landscapes. Mongolia is home to vast steppes, ancient historical sites, and a nomadic lifestyle that draws visitors from around the world looking for adventure and authentic experiences. The “Go Mongolia” brand emphasizes the country’s ability to offer both breathtaking landscapes and rich cultural experiences, presenting it as an ideal destination for those who want to explore the deep traditions and wild beauty of Central Asia.
The theme of WTM 2025, “Redefining Travel in a Changing World,” reflects the evolving nature of the global tourism industry. The pandemic reshaped travel patterns and expectations, making sustainability, innovation, and technology key areas of focus. This year’s exhibition is centered around how the industry can adapt to these changes, with a strong focus on sustainable practices, digital advancements, and collaborative efforts between countries and industry stakeholders.
The growth of WTM in recent years highlights the increasing interest in tourism innovation. In 2024, the event saw a 7% increase in attendance from the previous year, with over 43,700 tourism professionals and 3,875 organizations from 184 countries participating. This rise in participation underscores the significance of the exhibition as a global meeting point for tourism professionals and emphasizes the growing importance of innovation in the industry.
For Mongolia, WTM 2025 provides a valuable opportunity to reach a wider audience, forge new partnerships, and promote its diverse tourism offerings. The country’s tourism sector has immense potential, and the government, alongside the private sector, is working diligently to enhance Mongolia’s appeal to international travelers. With UNESCO World Heritage Sites like the Orkhon Valley Cultural Landscape, the country offers a variety of experiences that span from cultural heritage to outdoor adventures. Visitors can explore its vast deserts, mountainous regions, and pristine valleys while immersing themselves in Mongolia’s unique traditions, including the famous Naadam Festival, which celebrates the country’s ancient history.

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Mongolian doctors and health staff announce strike from November 13 www.thestar.com.my

Doctors and other health workers held a press conference Wednesday evening (Nov 5) and formally announced they will go on strike starting Thursday, November 13.
The executive council of the Mongolian Healthcare Workers’ Union met in an extraordinary session and decided to initiate a collective labour dispute under Article 25, Clause 1.2 of the Labour Law and to declare a strike, after their demand for a basic salary of MNT 3.5 million (US$978) remained unresolved.
The executive council will attach its meeting resolution and submit an official notice to the Ministry of Health Thursday (November 5). Under the law, the strike will begin five working days after the notification is delivered, which places the start date on November 13. - Go Go Mongolia/ANN

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ADB to Support Mongolia’s Disaster Preparedness Through Innovation and Technology www.adb.org

The Asian Development Bank (ADB) has approved a $32 million financing package to help the Government of Mongolia strengthen disaster preparedness by modernizing the country’s disaster early warning system.
The financing comprises an $18 million loan from ADB’s concessional ordinary capital resources, $12 million loan from ordinary capital resources, and a $2 million grant from the ADB administered Asian Development Fund (ADF). The project will enhance Mongolia’s capacity to respond to major hazards such as floods, storms, wildfires, earthquakes, and dzud—a severe winter condition that can cause mass livestock deaths.
“Around 40% of rural Mongolians live in poverty, many of whom depend on traditional herding, which is highly vulnerable to extreme weather and disasters,” said ADB Country Director for Mongolia Shannon Cowlin. “Climate-related and geophysical disasters pose serious socioeconomic and health challenges for these communities, especially for women. This project will modernize and integrate Mongolia’s disaster early warning systems, improve how risk information is shared, and strengthen preparedness capacity—benefiting the entire population.”
Mongolia is among the world’s most disaster-prone countries. From 2015 to 2024, the country recorded over 40,000 hazardous events, including 1,220 severe weather incidents, resulting in 726 deaths, 2,014 injuries, and the loss of over 11.5 million livestock. Located in a seismically active zone, Mongolia also experienced 73 earthquakes with a magnitude of 3.5 or higher in 2024 alone. These disasters have caused direct financial losses estimated at MNT1.9 trillion, placing a heavy burden on both the government and affected communities.
Climate risks are worsening as hazards intensify faster than the pace of the country’s current early warning systems. Mongolia lacks an integrated multi-hazard early warning system, leading to fragmented coverage and coordination gaps and overlaps. Alerts are limited to certain hazards and locations, such as earthquake warnings in and around Ulaanbaatar. This leaves many, particularly remote herding communities, without timely warnings.
The Strengthening Integrated Early Warning System in Mongolia Project will use digital technologies to improve hazard monitoring, early warning dissemination, and public awareness nationwide. It will upgrade emergency dispatch centers for two-way disaster communication, introduce cell broadcast alerts across mobile networks, enhance emergency broadcasts, expand siren towers, and deploy mobile communication units to remote areas.
The project will also establish a disaster risk monitoring system that addresses the different needs of men and women, upgrade seismic monitoring equipment around Ulaanbaatar, and conduct training for national and local emergency staff. It will mobilize volunteer groups in 21 provinces and develop harmonized national and local disaster procedures.
The initiative supports Mongolia’s National Adaptation Plan to Climate Change (2024–2030), the Disaster Protection Law (2003, amended in 2020), and the “Vision-2050” Long-Term Development Policy, all of which identify disaster risk management and resilience as key national priorities.
ADF provides grants to the poorest and most vulnerable countries in Asia and the Pacific. During its 2021–2024 period, the fund helped 384,000 people emerge from poverty and generated around 500,000 jobs.
ADB is a leading multilateral development bank supporting inclusive, resilient, and sustainable growth across Asia and the Pacific. Working with its members and partners to solve complex challenges together, ADB harnesses innovative financial tools and strategic partnerships to transform lives, build quality infrastructure, and safeguard our planet. Founded in 1966, ADB is owned by 69 members—50 from the region.

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Minister G.Damdinnyam: “We Have Firmly Demanded That Rio Tinto End the Management Contract Based on the “Expired” Dubai Agreement” www.arctusanalytics.com

Mongolia and Rio Tinto have begun negotiations to amend the Oyu Tolgoi Investment Agreement, focusing on lowering shareholder loan interest rates, revising management fees, and improving corporate governance. The talks are co-chaired by Finance Minister B.Javkhlan and Industry and Minerals Minister G.Damdinnyam, with the goal of achieving a fairer and more transparent arrangement for Mongolia.
In an interview with journalist U.Orgilmaa, Minister G.Damdinnyam discusses Mongolia’s priorities in the ongoing Oyu Tolgoi negotiations, including loan-interest reductions, management-fee reform, and the call for greater transparency and board oversight.
The negotiations have temporarily paused. How would you assess progress so far?
G.Damdinnyam: Naturally, the fact that we are negotiating means there are unresolved issues. Both sides have stated their positions and are continuing discussions in a constructive and respectful manner. There have been moments of tough exchange, which is normal, but overall, the talks have begun on a productive footing.
What outcomes is the Mongolian side aiming for?
Our first objective is to reduce the interest rate on the shareholder loan. Mongolia today faces far lower financial risk than it did 15 years ago. The country’s credit standing has improved: international rating agencies have assigned us BB- with a Stable outlook, our government bonds are traded internationally, and we are seen as a credible borrower. Second, the underground mine construction is essentially complete, which means project risk has declined significantly. Therefore, the interest rate must reflect current market and risk conditions. Third, governance improvements are urgently needed, as recent events have clearly demonstrated shortcomings in transparency and oversight.
Do you have a specific target for the new interest rate?
The negotiations are ongoing, so it would be premature to mention an exact figure at this stage. What matters is that both sides have recognized the need to align loan terms with current market realities and Mongolia’s improved credit standing.
You also mentioned management fees. What issues are being raised there?
Managing a complex underground mine certainly requires expertise, skill, and experience. We recognize that such expertise deserves compensation. However, according to international practice, management fees should be performance-based. Currently, Mongolia pays 34 percent and Rio Tinto 66 percent of total management costs. Our question is why these costs are so high and why we must pay above the global benchmark. Independent reviews have already found evidence of cost duplication. Rio Tinto’s corporate overheads are charged to the project, and an additional fee is applied for project management itself. We believe this is unjustified. Fees should reflect actual efficiency and cost reduction, not simply scale with expenses. The higher the cost base, the more we end up paying. That is not acceptable and cannot continue under fair-dealing principles.
So, management cost discussions include several sub-issues?
Exactly. Rio Tinto currently calculates its fee as a percentage of costs. We are asking for that to be revised in line with international standards. Excessive charges must end. In addition, governance reform is critical. Oyu Tolgoi’s board has no independent members, and Mongolia’s representatives are not given full access to operational information. We have even discussed the possible use of the “golden share” mechanism to suspend implementation if needed. Governance must become open and transparent so that both partners share responsibility equally. Only with such reform can we reduce costs, lower loan interest, and bring forward the time when Mongolia begins to receive dividends.
Have the negotiations produced any tangible results so far?
Yes, some progress has been made. The shareholder agreement currently stipulates that the loan interest rate may be reviewed only once every seven years. No one can explain why “seven years” was chosen or on what basis. Both sides now agree in principle to revise this clause. The last opportunity to adjust the rate was seven years ago, but it passed without any change. At present, the government’s working group has initiated discussions to remove this limitation entirely so that interest rates can be reviewed as needed, not just once every seven years.
Some politicians claim the government is acting too slowly before the current seven-year window closes on January 31, 2026. Does this deadline still apply?
No, that date is no longer a barrier. The agreement to start negotiations effectively nullified it. We have secured Rio Tinto’s consent to continue talks until the matter is fully resolved, without being constrained by the previous “lock-in” date. Let me be clear: the government and its ministers are committed to defending the national interest. Since the day I took office, our team has been working continuously, backed by strong technical experts. Our goal is to finalize an agreement that brings concrete benefits to Mongolia, and we will continue negotiations until that goal is achieved.
Which topic has been the most contentious so far?
The management-fee issue. Rio Tinto initially refused to accept our proposal, so we temporarily suspended the negotiations and made it clear that the talks could not continue unless this matter was included. We cannot leave such a major issue unresolved. The government’s mandate to our working group is clear: no concession that undermines Mongolia’s interest can be made. After our position was reiterated, Rio Tinto agreed to reopen discussions on management fees. Talks have since resumed.
Parallel to the talks, corruption probes have emerged involving Oyu Tolgoi’s procurement department, with large sums reportedly seized. Has this affected the atmosphere of negotiations?
I cannot speak for what information the other side had, but from our perspective, we emphasized the need to improve governance and transparency. Oyu Tolgoi is a joint venture, so mismanagement harms both parties. We told Rio Tinto directly: “Either we fix this together as partners, or such a situation cannot continue.”
Some of these issues have been raised under previous governments as well. What makes this round different?
The management-fee issue again stands out. This fee structure originates from the now-defunct Dubai Agreement, which Parliament has already declared invalid. The question is simple: why is a management contract based on an annulled agreement still in effect? It must end. We are working to stop this arrangement entirely and to ensure that all related matters are properly resolved through negotiation. On this, our position is firm.
Did Rio Tinto refer to any prior commitments made with earlier governments?
I cannot disclose details of the internal negotiation process. What I can say is that we are acting strictly within the mandate to protect Mongolia’s long-term interests. We do not engage in emotional politics; we rely on knowledge, evidence, and professional diligence. Our team is composed of capable young professionals who are dedicated to their country’s future. By the end of this month, Rio Tinto will deliver its written response to our proposals, after which we will consolidate and finalize the draft agreement.
Translated and edited by Arctus Analytics. The views expressed are those of the interviewee and do not necessarily reflect the position of Arctus Analytics.
Ulaanbaatar, October 2025
Interview by U.Orgilmaa

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