In a mission country like Mongolia - where there are about 1,300 Catholics, out of a population of more than 3 million people - remembering one's roots and joining forces with all those involved in evangelization are two fundamental attitudes to be able to continue sowing the Gospel message. That is why the Salesians present in Mongolia were pleased to celebrate the 30th anniversary of the Catholic Church’s presence in Mongolia with the rest of the country's small ecclesial reality.

It was in July 1992, after the fall of the communist regime, that the Church was able to return to the country: the first missionaries sent belonged to the Congregation of the Immaculate Heart of Mary and were Fathers Wenceslao Padilla, Gilbert Sales, and Robert Goessens.

That is why, on July 9, Archbishop Alfred Xuereb, Apostolic Nuncio to both South Korea and Mongolia, with his secretary and with the Apostolic Prefect of Ulan Bator and Cardinal-elect Giorgio Marengo, and together with all the missionaries of Mongolia - including the Salesians - and Fr. Gilbert Sales, who came especially from the Philippines, and some Mongolian friends, gathered at the tomb of Msgr. Wenceslao Padilla, who had been the head of the Mission "Sui Iuris," since 1992, and then the first Apostolic Prefect of Ulan Bator, until his death in 2018.

For the occasion, the Apostolic Nuncio blessed the new altar next to Msgr. Padilla's tomb and celebrated Mass. Then Msgr. Marengo shared some information about the Church's mission in the country and what is being accomplished and said that all together they were building the dream of the late Msgr. Padilla, "who today will be happy to see us from Heaven gathered around him, humbly loving and serving our beloved Mongolia."

The main celebration took place the following day, Sunday, July 10: early in the morning many parishioners arrived at the cathedral from many places, the most distant from more than 400 km away, some bringing food and drinks for the feast day, while others started cooking in the area. By 10:00 a.m., many priests were invited to hear confessions for the many attendees as the cathedral filled with people: guests, visitors, many leaders of different religions.

During the solemn Eucharist, the Nuncio expressed a message of gratitude: to God, the pioneers, and missionaries who still live and work for the mission of the Mongolian Church! But his words of gratitude were also extended to the local government, the people, the faithful, and all the friends inside and outside the country who accompany in various ways, factually or with prayers, this mission.

"The mission started 30 years ago: it seems a long time, but for God, it will seem to be yesterday... and the mission still goes on with many challenges and changes, but all in hope, faith, with sacrifice and witness!" commented Fr. Andrew Tin Nguyen, a Salesian of Don Bosco originally from Vietnam and active in Darkhan.

The Salesian presence in Mongolia is under the care of the "St. John Bosco" Province of Vietnam (VIE) and was started in 2001, with a technical school and oratory opened in the capital, Ulan Bator. In 2004, a parish with oratory was started in Darkhan, in the north-central region of the country; finally, since 2016, they have also taken over the pastoral care of the mission in Shuwuu, not far from the capital.

Rio Tinto (ASX, LON, NYSE: RIO) flagged on Friday a cost increase of $300 million for the ongoing expansion of its massive Oyu Tolgoi copper-gold mine in Mongolia.

The world’s second largest miner said the cost and schedule reforecast, completed in June, now pegs the total project cost estimate at $7.06 billion, almost $1.8 billion higher than its original estimate in 2015.

The company blamed the rise on skilled labour supply constraints caused by covid-19 and noted the new estimate, under review by Oyu Tolgoi’s board, assumes there are no further disruptions.

Rio Tinto currently controls and operates the mine, located 550 km (342 miles) south of Mongolia’s capital Ulaanbaatar, through its 66% stake in Canada’s Turquoise Hill Resources (TSX, NYSE: TRQ). The government of Mongolia owns 34%.

The mining giant is currently trying to buy all the shares it doesn’t already own in Turquoise Hill.

Rio’s chief executive Jakob Stausholm has said he believes the acquisition would simplify the ownership structure, and further strengthen the company’s copper portfolio.

The offer followed an agreement between the miner and the government of Mongolia to complete the long-delayed underground expansion.

That deal saw Rio agree to write off $2.4 billion in loans and interest used by Ulan Bator to fund its share of the development costs.

There was no update on the proposed C$34.00 per share buyout.

Turquoise Hill said in a separate statement it expected its portion of total operating cash costs at Oyu Tolgoi to increase by $50 million for this year. It means they are now expected to be in the range of between $850 million and $925 million, higher than previous guidance of $800 million to $875 million.

This was due to higher royalties and price inflation for key raw materials, especially fuel and the lower deferred stripping, the firm said.

Three-year delay and counting

The ongoing expansion of Oyu Tolgoi has been plagued by delays and costs overruns, which have triggered the Mongolian government’s ire to the point of threatening to revoke the 2009 investment agreement, which underpins the mine development.

First production, initially expected in late 2020, was rescheduled for October 2022 and later to the first half of 2023.

Rio Tinto said on Friday that technical progress has been hindered, with shafts 3 and 4 now expected to be commissioned in the first half of 2024, 15 months later than what the company estimated in 2020.

Oyu Tolgoi is Rio’s main copper growth project. Once completed, the underground section will lift production from 125,000–150,000 tonnes in 2019 to 560,000 tonnes at peak output, which is now expected by 2025 at the earliest.

According to the miner, this would make it the biggest new copper mine to come on stream in several years and, by 2030, the operation would be the world’s fourth largest copper mine.

Prime Minister of Mongolia L.Oyun-Erdene received Chief Executive Officer of Rio Tinto Group Jakob Stausholm.

During the meeting, the sides exchanged views on the implementation of the parliamentary resolution on measures to be taken to ensure the benefits to Mongolia from Oyu Tolgoi deposits, and the progress of the Government’s negotiations with the Rio Tinto Group.

The sides mutually agreed to put the construction of the underground mine into full operation by the first quarter of 2023. Thus, in January 2022, the Prime Minister of Mongolia L.Oyun-Erdene and CEO of Rio Tinto Jakob Stausholm together pressed a button to commence the first blast to start the initial stage of Oyu Tolgoi's underground mine development.

In this context, Rio Tinto CEO Jakob Stausholm emphasized that the works are underway to intensify the construction of the underground mine and put it into operation ahead of schedule and the talks are continuing successfully.

The meeting also touched on the development projects that are being implemented by Rio Tinto Group in Khanbogd and Tsogttsetsii soums of Umnugobi aimag.

Chairman of the State Great Khural G.Zandanshatar received a team of researchers led by Dr. D.Ankhbayar on July 5.

On June 12-18 this year, the joint research team of the Turcology Research Institute within the National University of Mongolia and Izmir Katip Çelebi University Turkic Studies Application and Research Center found the ruins of a summer palace and settlement that were built in the 1260s by a ruler of the Mongol Ilkhanate State Hulagu Khan in Van province of the Republic of Turkey.

It was the first research that was conducted abroad by Mongolian researchers with official permission. During the meeting, the team emphasized that the research was successfully carried out thanks to the support provided by the Chairman of the State Great Khural.

Historical sources in ancient Persian and Armenian state that Hulagu Khan had his summer palace built between 1261 and 1265 in the fertile region in present-day Van province of Turkey. As a result of many years of research, the ruins of this summer palace were discovered and rare valuable artifacts were unearthed to confirm historical facts and information. In the first days of the research, the scientists found the remains of ceramics that trace back to the period of Hulagu Khan.

Director of Turcology Research Institute Dr. D.Ankhbayar said, “To date, the ruins of palaces of three Mongol Khans, including the palace of Kublai Khan in Inner Mongolian Autonomous Region, the summer palace of Ambaghai Khan in Iran and Sarai city of the Golden Horde, were found. This time, we discovered the fourth palace. It is believed that it was a palace-city with an area of ​​at least 1200x1200 meters. Archeological research excavations are planned to be carried out in cooperation with Turkish scientists," adding that it is necessary to prepare for the excavations within the legal framework, and he asked the Chairman to support this at the decision-making level.

Speaker G.Zandanshatar said, "As a result of many years of research by our distinguished archaeologists and scientists, the discovery of the previously unexplored summer palace of Khulegu Khan, the founder of the Ilkhanate, has become an important discovery in the history and archeology of Mongolia as well as the world. I am confident that the research will be intensified and many historical artifacts will be found in the future”.

The researchers said that the model of the city of Kharkhorum was probably used in terms of building design and architectural arrangement. The construction of a Buddhist temple and the involvement of Buddhist sculptors and artisans in the decoration of the palace increase the possibility that the palace is Mongolian in nature. The preliminary observation of the research team revealed the remains of blue and green pottery of the Ilkhanate period, as well as the remains of wall-patterned pottery.

The meeting was attended by Director of Turcology Research Institute Dr. D.Ankhbayar, Director of the Institute of Archaeology of the Mongolian Academy of Sciences Dr. A.Enkhtur, Professor of the Mongolian University of Science and Technology Dr. Yu.Boldbaatar, and Historian Dr. B.Enkhchimeg.

Prime Minister L.Oyun-Erdene met with Minister of Communications and Information and Minister-in-charge of the Cyber Security Agency and Smart Nation Initiative of the Republic of Singapore Josephine Teo today.

While emphasizing the crucial role of the internet and information technology in the development of the rapidly evolving world, the Prime Minister introduced the Government of Mongolia’s goal of becoming a digital nation, as well as the works that are underway to achieve this goal.

“The Government of Mongolia made changes to its structure, establishing the Ministry of Communications and Digital Development. Information technology is one of the six priority sectors reflected in Mongolia’s long-term development policy, ‘Vision-2050’. By introducing good practices of the leading countries in the industry, the Government is aiming to implement the ‘Digital City’ project”, said the Prime Minister.

Ideas were exchanged on cooperation with Singapore in the directions such as introducing Singapore's good practices in Mongolia, making reforms to civil service based on the digital transition, improving digital governance, strengthening the communications sector, and ensuring cyber security.

The sides agreed to intensify the cooperation between the Ministry of Communications and Digital Development of Mongolia and the Ministry of Communications and Information of Singapore and to cooperate in future joint projects and programs, and in the fields of innovation, digital development, and information technology.

“Over the years, the experiences of many countries have been studied in increasing the productivity of the public sector, urban planning and solving traffic congestion”, said the Minister, while expressing readiness to share its good practices in this regard.

A Mongolian producer “Mind Tech” company has started exporting rapeseed oil to South Korea with a contract signed for supplying 800 tons of oil in the first phase. In late April, an initial export contract worth USD1.4 million was made with Dansuk Industrial Co., Ltd. of Korea. The company’s factory “Selenge” operates with an annual capacity of processing 35,000 tons of Rapeseeds, 100 tons of Rapeseed per day. Its capacity can be increased to 300 tons in the future. At present, the plant employs 40% of the total capacity.

It becomes necessary to grow black Rapeseed plantation, the primary raw Vegetable Oil material for export. If the main product— black Rapeseed— can be cultivated more, it will not only satisfy the domestic needs, but it will also be possible to export vegetable oil to many other countries such as China and Japan. Mongolian vegetable oil has many advantages, such as being grown in healthy organic soil, free of trans fat, and low in saturated fat.

Currently, 40-50% of the total imported vegetable oil is Sunflower Oil, 20-30% is Palm Oil, more than 20% is Soybean Oil, and 3-5% is Rapeseed Oil. More than 90% of Sunflower Oil and 50% of Soybean Oil imports are from Russia, while more than 80% of Palm Oil is from Malaysia and more than 90% of rapeseed oil is imported from Russia and Germany combined.

Soil Issues Concerns Grow Among the Agrarians

Initial developments of Rapeseed planting started in Mongolia in mid-2000 as Chinese businesses entered this field. The majority of Mongolian Rapeseed crop is exported to China. The crop totaled 51,762 tons last year, up 130% y-o-y. Although Mongolian Statistics data shows that rapeseed is planted on 86,000 hectares, some sources claim the crop area is as high as 100,000 hectares.

If the same plant is planted repeatedly, diseases and pests will appear, and it will reduce the fertility of the soil. Local farmers comment: “Rapeseed should be cultivated once in 4 years, but they cultivate it every two years. As long as there is a field left, they are planting Rapeseed for high profit gaining and creating a mess.” Some farmers criticize that Chinese crop industry policy is being implemented on Mongolian soil and worry about soil deterioration.

Only four Chinese merchandisers purchase Mongolian Rapeseeds by setting a monopoly. They know whether to buy Rapeseeds at a high or low price. Mongolian planters also purchase the seeds at whatever price Chinese traders say. Chinese businessmen buy Rapeseed for MNT 1.8-2 million (USD600-666) per quintals in autumn. But in the spring, the seeds are sold for between MNT 4-6 million (USD1,330-2,000). And when it is exported to China, it is shipped without paying a single penny of tax and makes much revenue. Rapeseed is three times as expensive as Wheat in Mongolia.

As part of the Agricultural Ministry’s policy, 25-30% of the total cultivated area must be planted with Rapeseed. “If farmers follow the technological recommendations and plant Rapeseed in rotation, there will not be much negative impact” said Mr.Esun-Erdene, Head of Division for Soil, plant protection, and seeds and sorts at the Ministry of Agriculture. “It is dangerous if it is constantly planted with seeds that are not approved, cheap, and of unknown origin. It is time the Ministry policy sorts out the country’s illegal and unknown seeds.”

At a broader level, it is considered appropriate to increase the customs duty on imported products of the same type as Edible Vegetable Oils, exempt Rapeseed and Edible Oils from VAT, and stop the cultivation of non-standard Rapeseed.

Deputy Prime Minister of Mongolia S.Amarsaikhan received Ambassador Extraordinary and Plenipotentiary of the People’s Republic of China to Mongolia Chai Wenrui, discussing the issue of enhancing bilateral economic cooperation and intensifying activities of border checkpoints.

During the meeting, the Deputy PM informed the Ambassador that preparations are complete for the expansion of ‘Zero Point’ between the borders of Mongolia and China.

Emphasizing that intensifying the activities of border checkpoints is of mutual interest, the Ambassador highlighted the importance of enhancing traditional forms of activities alongside introducing automatic guided vehicles (AGV).

Moreover, the Ambassador mentioned that the Chinese side is pursuing the direction of taking all possible measures, such as increasing the capacity and restoring the operations of the border checkpoints, and said that the resumption of flights between the two countries is an important step.

Mongolia welcomed a total of 73,161 foreign tourists in the first half of this year, up 537.6 percent year-on-year, the country's Ministry of Environment and Tourism said Wednesday.

The dramatic increase was attributed to Mongolia's re-opening of its borders to foreign tourists in February, the ministry said.

Russia, South Korea and Kazakhstan were the biggest sources of tourist arrivals for Mongolia in the January-June period, it said.

Among measures to revive its pandemic-hit tourism sector, the Mongolian government on Tuesday made a decision to declare 2023 and 2024 as "Years to Visit Mongolia."

In addition, the government has decided to allow South Korean tourists to visit Mongolia without a visa for up to 90 days until the end of 2024. The visa-free policy took effect on June 1.

Currently, Mongolia's economy is largely dependent on its export-oriented mining sector. Developing tourism is seen as the most viable way to diversify the economy.

The Asian country has set a goal of welcoming one million foreign tourists and earning 1 billion U.S. dollars from tourism in 2024.

Yesterday, July 6, Prime Minister of Mongolia L.Oyun-Erdene arrived in Singapore for an official visit at the invitation of the Prime Minister of Singapore Lee Hsien Loong.

At the Changi International Airport, the Prime Minister of Mongolia was welcomed by the Minister for Manpower and Second Minister for Trade and Industry of Singapore Tan See Leng and Singaporean Ambassador to Mongolia Teo Boon Hee. This visit is a return visit to the official visit of Prime Minister of Singapore Lee Hsien Loong to Mongolia in 2016.

During the visit, Prime Minister L. Oyun-Erdene will pay a courtesy call on President of Singapore Ms. Halimah Yacob, hold official talks with Prime Minister Mr. Lee Hsien Loong and meet with Minister of Communications and Information of Singapore Ms. Josephine Teo. The Prime Minister also plans to visit with the leadership of the Singapore Cooperation Enterprise, the Central Provident Fund, the Housing & Development Board, Temasek Foundation International, and the National University of Singapore.

The visit will make a significant contribution to strengthening the friendly relations with Singapore, a member state of ASEAN, intensifying political dialogue, and expanding mutually beneficial cooperation in trade, investment, economy, and other areas.

The main objective of the visit is to learn and master Singapore’s good practices on public service reform, development of e-governance, urban planning, information technology, and capacity building, as well as discuss the projects to be implemented within the framework of the ‘New Revival Policy’ of Mongolia and establish relevant agreements of bilateral cooperation.

The Mongolian Parliament has approved plans to transfer a number of state-owned companies to partial public control during 2022-23, with the proceeds to be used to invest in technological innovation.

At the regular session of the Parliament held on 29th June, legislators instructed shareholders of a number of state-owned entities to prepare additional stock offerings and register on the Mongolian Stock Exchange. Mongolia Telecom Company LC, Information Communication Network LLC, Information Technology Park, and road maintenance companies were included in the list of state-owned companies, up to 34% of which will be transferred to public control via. brokers.

The Mongolian Prime Minister, L. Oyun-Erdene, has instructed relevant officials to boost the process of transferring the control of state-owned entities to the public and give support to the development of the Mongolian Stock Exchange.

Commenting, Deputy Prime Minister of Mongolia Amarsaikhan Sainbuyan said: “The decision to open up these state-owned assets and place them in public control is a vital step in making them fit for the future and in driving the wider modernisation of the Mongolian economy.

“The pace of technological change demands that organisations adapt to continue to meet the needs of citizens, and by increasing the funds available to these entities this programme will provide a significant boost to this process.”

This development is the latest example of how Mongolia is implementing its ‘New Recovery Policy’, designed to boost the living standards of Mongolian citizens and attract more international investment into the country. The Policy invites local businesses, foreign partners and international organisations to cooperate on a 150 trillion MNT investment goal that aims to double GDP by addressing current issues in six key areas: energy, border ports, industrialization, urban and rural recovery, green development, and public sector efficiency.

Parliament also took the decision on 29th June to merge a number of state-owned companies, as well as approve other changes.

Transferring state-owned companies to public control: next steps

Following the decision to approve the list of state-owned companies to be transferred to public control, Parliament gave an order to call for shareholders' meetings of approved state-owned entities, to decide on additional stock quantity and its price, to provide an initial offering of the additional stock to current shareholders, and to get the entities registered on the Mongolian Stock Exchange.

In accordance with the Mongolian Government's policy, the Cabinet has ordered the representatives and executives of each entity to hold the listed shareholders meeting immediately, to release additional shares and unit prices and offer them to the current shareholders, to register at the Mongolian Stock Exchange, and to invest the revenues of the stock in the company's technological innovations. The Chief of the Cabinet Secretariat of the Government of Mongolia, Ts. Nyamdorj, and the Head of State Procurement Agency, B. Tsengel, have been ordered to carry out the release of the additional shares, to legally provide the availabilities of public exchanges, and to present to the Cabinet.

Merger of and other changes to state-owned entities

The following mergers and other decisions relating to state-owned companies were agreed during the regular Parliamentary session on 29th June:

The “Mongolian water” state-owned enterprise factory was closed down

The “White falcon” state-owned factory was merged with the “Burte” state-owned factory

“Buyant Ukhaa” sports hall was merged with the “Training and learning center of the National team”

Relevant authorities have been ordered to carry out the process of merging the "Energy development center" and the "Geology research center" and turning them into a state-owned LLC, and to present to the Cabinet

Operating entities such as "Mongolian National Radio and Television Broadcasting Network", "Climate Change Research and Cooperation Centre", "Mongolian Tourism Organization", "Mongolia-Kuwait Nature Reserve Center", "Mongolian Commodity Exchange", "Auto Impex", and "Darkhan Hides Complex Establishment", that do not require state cooperation and are manageable by private sector, are to be closed down or to be merged with similar operating entities

Relevant ministry and agencies and State procurement agency have been ordered to carry out such structural changes and have it discussed by the cabinet by August 2022