1 MONGOLIA RECORDS USD 16.6 BILLION IN TRADE WWW.MONTSAME.MN PUBLISHED:2025/09/11      2 GOVERNMENT REPORTS OPERATIONAL IMPROVEMENTS AT ERDENES TAVANTOLGOI UNDER SPECIAL REGIME WWW.MONTSAME.MN PUBLISHED:2025/09/11      3 DIESEL LOCOMOTIVE CONVERTED TO HYBRID LOCOMOTIVE IN MONGOLIA WWW.RAILLYNEWS.COM  PUBLISHED:2025/09/11      4 MONGOLIA REVEALS ITS UNTAMED BEAUTY AND RICH CULTURE THROUGH THE EYES OF DUTCH TOURISTS ON AN UNFORGETTABLE ADVENTURE WWW.TRAVELANDTOURWORLD.COM  PUBLISHED:2025/09/11      5 ROBOTIC MILITARY DOG TRAINING FEATURED IN CHINA-RUSSIA-MONGOLIA BORDER DEFENSE EXERCISE WWW.NOVINITE.COM  PUBLISHED:2025/09/11      6 MONGOLIA DEPLOYS 15TH BATTALION’S SECOND CONTINGENT TO UN MISSION IN SOUTH SUDAN WWW.MONTSAME.MN PUBLISHED:2025/09/11      7 THE MONGOLZ RANKINGS RISE TO SECOND WORLDWIDE WWW.MONTSAME.MN PUBLISHED:2025/09/10      8 CHABOT MOBILITY JOINS MONGOLIA VOYAGER PROJECT TO EXPORT K-MOBILITY INFRASTRUCTURE WWW.BIZ.CHOSUN.COM  PUBLISHED:2025/09/10      9 "OYUT" COPPER DEPOSIT WITH 1.1 MILLION TONS OF PURE COPPER DISCOVERED WWW.GOGO.MN PUBLISHED:2025/09/10      10 CHINA-RUSSIA-MONGOLIA BORDER DEFENSE COOPERATION 2025 JOINT EXERCISE KICKS OFF WWW.ENG.CHINAMIL.COM.CN  PUBLISHED:2025/09/10      ЗАСГИЙН ГАЗРЫН WWW.D-GOV.MN ЦАХИМ СИСТЕМ ӨНӨӨДРӨӨС АЖИЛЛАЖ ЭХЭЛЛЭЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2025/09/11     ТӨМӨРТЭЙН ОВООНЫ ЦАЙРЫН ОРДЫН ТУСГАЙ ЗӨВШӨӨРЛИЙГ АЛБАН ТУШААЛТНУУД ХУВИЙН КОМПАНИДАА ШИЛЖҮҮЛЭН АВСАН ҮЙЛДЛИЙН УЛМААС ТӨРД УЧРУУЛСАН ХОХИРЛЫГ НЭХЭМЖЛЭХЭЭР БОЛОВ WWW.ITOIM.MN НИЙТЭЛСЭН:2025/09/11     ТӨСВИЙН АЛДАГДАЛТАЙ АЛБАН ТУШААЛТНЫГ ЧӨЛӨӨЛНӨ WWW.NEWS.MN НИЙТЭЛСЭН:2025/09/11     ДҮҮЖИН ЗАМЫН ТЭЭВЭР ТӨСӨЛД 2 ТЭРБУМААР ЗӨВЛӨХ ҮЙЛЧИЛГЭЭ АВНА WWW.NEWS.MN НИЙТЭЛСЭН:2025/09/11     ИПОТЕКИЙН БАНК БАЙГУУЛАГДАХААС ӨМНӨ САНХҮҮЖИЛТИЙГ ЗАСГИЙН ГАЗАР РУУ ШИЛЖҮҮЛНЭ WWW.EGUUR.MN НИЙТЭЛСЭН:2025/09/10     Р.ЧИНГИСИЙГ ДОТООДЫН ЦЭРГИЙН ЕРӨНХИЙ КОМАНДЛАГЧААР ТОМИЛНО WWW.NEWS.MN НИЙТЭЛСЭН:2025/09/10     БИРЖИЙН НҮҮРСНИЙ ЭКСПОРТ 739 МЯНГАН ТОНН БОЛЖ, ӨМНӨХ САРААС ХОЁР ДАХИН ӨСЖЭЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2025/09/10     “ЭРДЭНЭС ТАВАНТОЛГОЙ” ХК НҮҮРС БАЯЖУУЛАХ ҮЙЛДВЭРЭЭС ГАРЧ БУЙ ХАЯГДАЛ НҮҮРСИЙГ ДАХИН БОЛОВСРУУЛНА WWW.ITOIM.MN НИЙТЭЛСЭН:2025/09/10     ХАЛЗАН БҮРЭГТЭЙН ОРДЫН АСУУДЛААРХ СОНСГОЛД ХОВДООС 50 ХҮН ОРОЛЦУУЛАХ ХҮСЭЛТ ГАРГАЖЭЭ WWW.EAGLE.MN НИЙТЭЛСЭН:2025/09/10     “УЛААНБАДРАХ 300 МВТ ЦАХИЛГААН СТАНЦ” ТӨСЛИЙН ТЭЗҮ-ИЙГ МЭРГЭЖЛИЙН ЗӨВЛӨЛӨӨР ХЭЛЭЛЦҮҮЛНЭ WWW.MONTSAME.MN НИЙТЭЛСЭН:2025/09/10    

Category

Events

Events

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

NEWS

64x64

Centerra’s Kyrgyz units seek bankruptcy protection over Kumtor mine expropriation www.mining.com

Canada’s Centerra Gold (TSX: CG) announced late on Monday that its Kyrgyz subsidiaries have filed for bankruptcy in New York to protect investors and restructure the company, whose Kumtor gold mine was seized by the former soviet nation last month.
The Toronto-based miner said it hoped the internationally recognized restructuring process will facilitate potential negotiations with the government of Kyrgyzstan, which is now in full control of Kumtor.
Centerra also noted the ongoing proceedings will not impact any other areas of the company’s business, including its Mount Milligan copper-gold mine in Canada, the Öksüt gold operation in Turkey and the molybdenum business in North America.
The move comes on the heels of the Kyrgyz government organizing a press tour to the mine last week, in which it said Kumtor was operating as usual.
“There are no problems at the Kumtor mine,” Nurdin Usenov, mill manager and acting director of operations told reporters. “All departments are working, production targets are being met, there are enough stocks of spare parts, consumables, lubricants and fuel.”
According to a new law passed in mid-May, the Kyrgyz government can take control for up to three months of any company that operates under a concession agreement if that firm violates regulations that damage or put locals and the environment at risk.
The head of a Kyrgyz state commission investigating alleged wrongdoing at the Kumtor mine, Kamchybek Tashiev, said on May 17 the agreement with Centerra Gold had to be revoked on the grounds of “corruption” and “violations of safety and environmental regulations.”
At the same time, a Kyrgyz court fined KGC more than $3 billion for allegedly unloading mining waste on glaciers near the mine, 4,000 meters above sea level. A state commission also recently claimed that the KGC owed more than $1 billion in unpaid taxes.
Former Kyrgyz Prime Minister Omurbek Babanov was detained on Monday as part of the investigation into corruption linked to the development of Kumtor.
Inside job?
The man who now controls the operation, Tengiz Bolturuk, was one of Kyrgyzstan’s three appointed representatives on the 11-man board of Centerra directors.
The dual Kyrgyz-Canadian citizen is being sued by the Canadian miner under the premise that he conspired to steal the asset from the company while he was a director.
Bolturuk had gained a reputation as a very hostile colleague in Toronto, two sources familiar with his time on the board told Eurasianet.
At home he had been making an impression, too. In a letter published in Kyrgyz media, employees of Kyrgyzaltyn, the state miner that owned the government’s shares in Centerra, showed discontent with Bolturuk’s growing involvement in Kumtor’s operations.
The document claimed he had fired dozen of locals employees and seemed to have positioned himself as the de facto head of the mine.
Strategic review
In a conference call on Tuesday, Centerra said it was conducting a “strategic review” of its ownership of KGC and KOC.
“The seizure of the mine is based on false information and groundless allegations that undermine everything we have built together,” Scott Perry, Centerra’s president and CEO said in an open letter to the people of Kyrgyzstan. “We fear that the government’s unjustified action will put thousands of well-paying jobs and the businesses of hundreds of Kyrgyz suppliers at risk.”
Kumtor is the largest of Centerra’s three gold mines, accounting for over 50% of the company’s total output.
The operation is also crucial to Kyrgyzstan. It accounts for a fifth of the ex-Soviet country’s total industrial output and has produced more than 13.2 million ounces of gold between 1997 and the end of 2020. Last year’s output was slightly over 556,000 ounces.
Dalton Baretto, Canaccord Genuity
Arbitration proceedings can take up to ten years and even if the Canadian miner succeeds, there is not guarantee it will be paid the stipulated amount.
Dalton Baretto of Canaccord Genuity said in a May note that he wasn’t surprised by Kyrgyzstan’s move.
“We have been anticipating something like this since President Japarov took power on January 10; however, the speed and breadth of these reforms has caught us off-guard,” he wrote.
The analyst added he believed the government has opened the door to what is likely going to be a multi-year degradation of the relationship between Centerra and the Kyrgyz State.
“While Centerra Gold will leverage all available avenues of international trade disputes, we believe these are unlikely to be effective in the long term,” Baretto said.
Kumtor has been the focus of a number of disputes between the company and the Kyrgyz government.
Japarov, who seized power after violent riots last October, once campaigned for the nationalization of the mine. After winning January’s elections and assuming the post, however, he said he no longer considered it necessary.
Kyrgyzstan has a history of popular uprisings and political turmoil, ever since gaining its independence after the collapse of the Soviet Uni
...


64x64

Russia-China trade turnover saw 13-fold growth over past 20 years – Lavrov www.rt.com

The volume of trade between Russia and China amounted to $104 billion at the end of last year and continues to grow, according to Russian Foreign Minister Sergey Lavrov.
“The treaty [signed by Russia and China in 2001 – Ed.] plays a significant role in accelerating trade and economic cooperation. We have something to show to the public. Over the past 20 years, mutual trade has increased 13 times – from $8 billion to $104 billion by the end of 2020,” Lavrov said on Tuesday in a video message to the participants of the 6th International Conference ‘Russia and China: Cooperation in a New Era’.
The foreign minister added that investment cooperation between the two nation continues on 70 projects worth over $120 billion.
Despite the economic disruptions caused by the coronavirus pandemic, trade between Russia and China still exceeded the targeted $100 billion last year, but was down almost 3% compared to 2019. The two countries want to double the volume of trade to $200 billion. The target level could still be reached by 2024, the head of the Russian Export Center, Veronika Nikishina, earlier told TASS.
...


64x64

OPEC, Russia seen gaining more power with Shell Dutch ruling www.reuters.com

Climate activists who scored big against Western majors last week had some unlikely cheerleaders in the oil capitals of Saudi Arabia, Abu Dhabi and Russia.
Defeats in the courtroom and boardroom mean Royal Dutch Shell (RDSa.L), ExxonMobil (XOM.N) and Chevron (CVX.N) are all under pressure to cut carbon emissions faster. That’s good news for the likes of Saudi Arabia’s national oil company Saudi Aramco (2222.SE), Abu Dhabi National Oil Company and Russia's Gazprom (GAZP.MM) and Rosneft (ROSN.MM).
It means more business for them and the Saudi-led Organization of the Petroleum Exporting Countries (OPEC).
"Oil and gas demand is far from peaking and supplies will be needed, but international oil companies will not be allowed to invest in this environment, meaning national oil companies have to step in," said Amrita Sen from Energy Aspects consultancy.
read more
Climate activists scored a major victory with a Dutch court ruling requiring Royal Dutch Shell to drastically cut emissions, which in effect means cutting oil and gas output. The company will appeal. read more
The same day, the top two U.S. oil companies, Exxon Mobil Corp (XOM.N) and Chevron Corp (CVX.N), both lost battles with shareholders who accused them of dragging their feet on climate change. read more
"It looks like the West will have to rely more on what it calls "hostile regimes" for its supply," joked a high-level executive from Russia's Gazprom oil and gas group, referring to energy companies around the world owned completely or mostly by the state.
Saudi Aramco, Adnoc and Gazprom all declined to comment. Oil major Rosneft, in which the Russian state has the biggest stake, also declined to comment.
A senior Saudi Aramco staffer said the court ruling would make it easier for OPEC to ramp up production.
"It is great for Aramco," the staffer said.
Western oil majors like Shell have dramatically expanded in the last 50 years, as the West sought to cut its reliance on energy from the volatile Middle East, and from Russia.
Those same Western energy majors, including BP and Total, have set out plans to sharply reduce emissions by 2050. But they face growing pressure from investors to do more to meet U.N.-backed targets to limit global warming.
Saudi Aramco, listed on the Saudi bourse but majority state owned, is not under the same sort of pressure to cut its carbon emissions, although the kingdom's rulers aim to sharply increase the country's use of renewables.
Gazprom expects demand for natural gas to grow in the coming decades and for it to play a bigger role in energy consumption than renewable sources and hydrogen. read more
Western oil majors control around 15% of global output, while OPEC and Russia have a share of around 40 percent. That share has been relatively stable in the last decades as rising demand was met with new producers like smaller private U.S. shale firms, which today face similar climate-related pressures.
PEAK DIVIDENDS
Since 1990, global oil consumption has grown to 100 million barrels per day from 65 million bpd, with Asia providing the lion's share of growth.
Countries such as China and India have made no pledges to reduce oil consumption, which on a per capita basis is still a fraction of the levels in the West. China will rely heavily on gas to cut its huge coal consumption.
The International Energy Agency, which looks after energy policies of the West, issued a stark appeal last month to the world to essentially scrap all new oil and gas developments. But it gave no clear formula on how to reduce demand.
Despite pressure from activists, investors and banks to cut emissions, Western oil majors are also tasked with maintaining high dividends amid heavy debt. Dividends from oil companies represent significant contributions to pension funds.
"It is vital that the global oil industry aligns its production to the Paris goals. But that must be done in step with policy, changes to the demand side, and the rebuilding of the world’s energy system," said Nick Stansbury from Legal & General, which manage £1.3 trillion ($1.8 trillion) in assets on behalf of savers, retirees and institutions.
"Forcing one company to do so in the courts may (if it is effective at all) only result in higher prices and foregone profits," he said. Legal & General, one of the world's largest fund managers, holds assets in most oil majors.
Climate lawsuits have been filed in 52 countries in the past two decades, with 90% of those in the United States and European Union, risk consultancy Verisk Maplecroft said.
"In the West, energy investments will peak on fears and concerns over regulations and court rulings. Then, we will see peak dividends," said the Aramco executive. Aramco pays the highest annual dividend of $75 billion.
Over the past five years, the IEA has been predicting a large oil shortage and an oil price spike due to a lack of investments following a 2014-2017 oil price crash.
An oil price rally coupled with the declining strength of oil majors would mean a large wealth transfer from the West to countries like Russia and Saudi Arabia, until demand starts declining not only in the West but in Asia too.
"The same oil and gas will still be produced. Just with lower ESG standards," said an executive from a Middle Eastern producer, who previously worked for an oil major, referring to environmental, social and governance performance measurements.
Our Standards: The Thomson Reuters Trust Principles.
...


64x64

Mongolia records 790 new COVID-19 cases www.xinhuanet.com

June 1 (Xinhua) -- Mongolia's COVID-19 tally rose by 790 to 59,229 in the last 24 hours, the country's health ministry said Tuesday.
The national death toll climbed to 297 with seven more fatalities, and total recoveries rose to 50,763 as 327 more patients had recovered, according to the ministry.
The Asian country launched a nationwide COVID-19 vaccination campaign in late February, aiming to cover at least 60 percent of its population of 3.3 million.
More than 1,858,500 Mongolians have so far received their first dose, and over 1,306,400 have been fully vaccinated.
...


64x64

Mongolia officially re-opens its borders www.news.mn

From today (1 June), Mongolia is officially re-opening its borders and starting international flights to over 10 countries including the USA, Turkey, Brazil, Thailand, Greece, India and Australia thus allowing international arrivals.
Currently, over 110 countries such as Russia, China, Japan and European countries are partially or fully closed amid concerns related to the coronavirus pandemic. Therefore, Mongolian Government is actively discussing with those countries through diplomatic lines to confirm vaccine certification for those who get vaccination against Covid-19.
As early as 27 January 2020, Mongolia closed its borders with China, only four days after Chinese authorities locked down Wuhan. By the time it recorded its first case on 10 March 2020, and as the WHO declared a global pandemic, Mongolia was already shut off from the world. As a result of its prompt response to the risk, and the government’s readiness to introduce unpopular – yet effective measures – the country if 3.3 million was able to prevent local transmission until November 2020.
...


64x64

Latvia and Mongolia want to develop parliamentary cooperation www.baltictimes.com

RIGA - Latvia and Mongolia must seize the all opportunities to expand cooperation, including on the parliamentary level, which would also pave the way for closer business and education cooperation, Saeima Vice Speaker Dagmara Beitnere Le-Galla (New Conservative Party, JKP) said while meeting with Mongolia's new Ambassador to Latvia Barkhas Dorj.
As LETA was told at the Saeima press office, Beitnere-Le Galla noted Latvia's transport infrastructure and geographical location providing convenient access to Northern Europe. The ambassador agreed on the significance of transport in Latvian-Mongolian cooperation, voicing support for the planned Latvian-Mongolian transport agreement.
The officials also discussed prospects for cooperation on education, with the ambassador expressing satisfaction that young people from Mongolia are also studying at Latvia's universities. He said that in the future they will become envoys promoting cooperation between Latvia and Mongolia.
Beitnere-Le Galla stressed culture as an important area for cooperation, noting Mongolia's rich heritage. The ambassador promised to step up cultural cooperation between the two countries at a time when they are marking the 30th anniversary of their diplomatic ties. The ambassador also underlined the two countries' common democratic values.
...


64x64

Steppe Gold to Participate in Fireside Chat with Alliance Global Partners on Thursday, June 3rd, 2021 at 10am EST www.juniorminingnetwork.com

Ulaanbaatar, Mongolia--(Newsfile Corp. - May 31, 2021) - Steppe Gold Limited (TSX: STGO) (OTCQX: STPGF) is pleased to share that Executive Vice President & Director, Aneel Waraich, and Senior Vice President & CFO, Jeremy South, will be participating in a virtual fireside chat hosted by Alliance Global Partners' Managing Director and Head of Metals and Mining Research, Jake Sekelsky on Thursday, June 3rd, 2021 at 10 am EST.
As Asia's newest gold producer, the Steppe team is thrilled to share their story with Alliance Global Partners' investors. After achieving one year of production amidst a global pandemic, with solid cashflow in the bank and newly-doubled resource estimates of 2.45M oz Au Eq, Steppe Gold is embarking on its Phase 2 expansion plans this year.
About Steppe Gold Limited
Steppe Gold (TSX: STGO) (OTCQX: STPGF) is Mongolia's premier precious metals company, holding a portfolio of gold and silver projects covering over 20,000 hectares, including the Altan Tsagaan Ovoo Project (ATO Project) and the Uudam Khundii (UK) property.
...


64x64

Centerra says Kyrgyz units seek bankruptcy after mine seizure www.mining.com

Centerra Gold Inc on Monday said Kyrgyzstan units Kumtor Gold Co and Kumtor Operating Co have commenced bankruptcy proceedings in a US court following nationalization of the miner’s Kumtor gold mine by the former Soviet republic.
Centerra said the Chapter 11 filing would have no financial or operational impact on it or any other areas of its business, including the Mount Milligan mine in Canada, the Oksut Mine in Turkey and its molybdenum business in North America.
SIGN UP FOR THE PRECIOUS METALS DIGEST
Kumtor, Kyrgyzstan’s largest foreign investment project, was operated by Centerra. However, the government of the Central Asian country seized the mine, prompting the Canadian miner to seek redress in an international court.
Kyrgyz lawmakers in early May passed a law giving the state power to temporarily take control of the mine and appoint “external management” to address alleged environmental and safety problems.
Centerra said bankruptcy proceedings would prevent further efforts by the Kyrgyz government to strip Kumtor Gold of its assets or otherwise “improperly dispose” of the Kumtor mine in violation of its investment agreements with the company.
Representatives for the Kyrgyz government could not immediately be reached by Reuters for comment.
Centerra said the court-supervised restructuring provides for a worldwide automatic stay of all claims against the Kyrgyz business units, which it said are currently solvent.
The Canadian miner said that while it hopes the process will facilitate talks, it will continue to pursue arbitration proceedings to enforce agreements with the Kyrgyz government.
“Those agreements are governed by New York law, and we expect the U.S. court proceedings will serve to further protect Centerra’s interests under their terms pending a restructuring or other resolution of the dispute,” Centerra Chief Executive Scott Perry said in a statement.
Centerra has suspended its 2021 production guidance and three-year outlook for Kumtor, which last year produced more than 556,000 ounces (15,762 kg) of gold.
The miner said it would also conduct a strategic review of its ownership of the subsidiaries “in light of recent events involving the Kumtor mine”.
(By Jeff Lewis and Mike Spector; Editing by Christopher Cushing)
...


64x64

Minister of Foreign Affairs B.Battsetseg arrives in Moscow www.montsame.mn

On May 31, Minister of Foreign Affairs B.Battsetseg arrived in Moscow, Russia. The Foreign Minister was welcomed by officials of the Embassy of Mongolia in Russia and the Russian Ministry of Foreign Affairs at Moscow Domodedovo Airport.
Minister of Foreign Affairs B.Battsetseg held a meeting with Aide to the President of the Russian Federation, State Council Secretary I.Ye.Levitin at the Embassy of Mongolia in Russia, discussing bilateral political and economic relations.
Per the decree of President of Mongolia Kh.Battulga in recognition of the significant contributions made in developing the relations between Mongolia and Russia, Minister B.Battsetseg also presented the Order of the Red Banner of Labour to Aide to the President of Russia, State Council Secretary I.Ye.Levitin, and the Order of the Polar Star to Referent at the Administrative Directorate of the President of Russia M.Yu.Morgunov.
On the same day, Minister of Foreign Affairs appeared on a TV show, ‘Strana Industriya (Industry Nation)’, and gave an interview to RIA Novosti news agency, in which she spoke about the current state of Mongolian-Russian relations, and opportunities for further development as well as about the policy and measures being implemented by the Government of Mongolia against the pandemic.
The Foreign Minister will be holding talks with her Russian counterpart S.V. Lavrov today.
...


64x64

Crypto-Minegolia: Building a new digital city in Mongolia www.mongoliaweekly.org

China has long been a massive player in global cryptocurrency markets. Bitcoin miners have been drawn to cheap electricity prices, which they use to power the huge computers they need to produce more bitcoin. In fact, it's estimated that 70 percent of the world's cryptocurrency supply comes from Chinese digital mines.
Credit: ReutersCredit: Reuters
Credit: Reuters
At least that was the case until March, when the province of Inner Mongolia banned bitcoin mining. This week Chinese Vice Premier Liu He put the nail in the coffin with a new crackdown on cryptocurrency mining. State media cited the role of bitcoin in illegal activities and crypto’s huge energy demands as reasons for the decision.
The price of bitcoin has since plummeted and a major exodus of crypto miners is getting underway.
Interestingly, there is now talk of a major opportunity for Mongolia. Could it become a new home for cryptocurrency producers fleeing China?
Plans are already underway
Bat-Orgil Turbold – a former business executive of a multinational company and currently the Dacheng Dentons Mongolia Law Firm Senior Counsel – spotted this opportunity a while ago. He is coordinating a group of companies that want to build a server farm, complete with its own power plant, in Sukhbaatar aimag -
a far eastern province sharing a border with Xilingol, Inner Mongolia, China.
"Mongolia is perfect for developing server farms," Bat-Orgil said to Mongolia Weekly. "Data is growing exponentially and its storage and management is becoming critical. And Mongolia can offer that service."
The reason, he explains, is the climate in south-east Mongolia. The ambient humidity rarely dips below 30 percent or above 70 percent, which is perfect for server farms – below 30 increases the risk of static charges and above 70 causes condensation in critical equipment.
"Almost eight months of the year in Mongolia is considered to be the cold season," he adds. "Server farms elsewhere use around 30-40 percent of their electricity supply just to cool themselves down. So Mongolia has the perfect climate."
But there's an obstacle – an unreliable electricity supply and a lack of renewable energy infrastructure.
"We don't have much sustainable electrical power in Mongolia," Bat-Orgil said. "And demand is cyclical in nature – consumption increases in the winter and between certain hours every evening."
To get around the issues in the Mongolian grid, Bat-Orgil and the team he is coordinating (called Maverick Civic Initiative) want to build a whole new coal-fired power plant to power a server farm and put Mongolia on the digital map.
"This could be a new economic engine for Mongolia," he said. "We're planning to build a 1.2 gigawatt power plant next to a big crypto farm."
While Bat-Orgil can't go into specifics on who is involved in Civic Initiative (citing commercial sensitivities), he says one company that's involved already owns a power plant in China and has bought equipment to build the new plant in Sukhbaatar aimag.
"We're waiting for the border to open to bring in the equipment," he said. "Then it will take a year to build the facilities and install it."
When asked whether businesses will be dissuaded from investing in a new coal-fired power station given the global shift to green energy, Bat-Orgil acknowledges the trend and confirms that the renewable energy plants will be built as a second tier..
"I understand the world is moving to renewables, but currently, the cost of renewable energy is prohibitively high for Mongolia to start the project with. Coal is the main commodity available to us right now," he explained. "Although the initial phase of course is coal power, there is another group working on renewable energy and other technologies, like fuel cells."
"Given today’s rate of scientific discoveries and advancements surely new and most importantly affordable technologies will be available soon. On the other hand, coal plant technologies are becoming greener as well," he said. "We aren't going to stop at 1.2 gigawatts but will increase it exponentially over time."
Beyond crypto mining
These plans are extremely ambitious. Crypto mining is a competitive business and other regions, particularly North America, are already attracting interest from Chinese miners looking for a new home.
But Civic Initiative's ambitions don't stop with crypto. The consortium reportedly wants to use the power plant-server farm to kick-start a whole economic 'enclave' in Sukhbaatar aimag; essentially a brand new digital city on the steppe, hosting data from giants like Google and Amazon.
"These companies are having political problems in China," Bat-Orgil said. "And who can predict what will happen in Russia? Coming to Mongolia is a win-win for them and us."
Bat-Orgil even talks about plans to eventually build a 'smart city' for the thousands of people he believes will be employed in this enclave, including a hospital, educational and research facilities, accommodation and more.
"We're already in the process of negotiating with Japanese universities to establish a relationship," he said. "There will also be a focus on agriculture and tourism. As we develop, we'll aim for an organic food supply chain and we're working with some companies on that, including one based in the UAE."
Where will the money come from?
According to Bat-Orgil, there is 'plenty of money' in the world at the moment but Mongolia's political instability is an issue for attracting investment into this mega-project.
"One goal of this initiative is to establish an environment that provides the stability investors need," he said.
To do this, Bat-Orgil outlines two strategies; run the place autonomously from the government, and set up an employee-owned company to attract international interest.
Independence, he says, will be achieved in a similar way to the Oyu Tolgoi mine or International School of Ulaanbaatar – having stricter and more comprehensive rules and by-laws that are in compliance with national legislation, but are geared towards global best practices and international private and customary laws, given the majority of targeted investors are foreign.
The city will be structured not as an administrative unit, he says, but as a territory of a holding company that consists of numerous operating, employee-owned companies that run different types of businesses.
According to Bat-Orgil, this will allow much broader freedom and independence from political interference into commercial affairs and governance issues; which, he argues, rests on the basis that national legislation also doesn’t prohibit use of another country’s commercial laws between contracting parties.
Controversial? Perhaps.
"Legally the government can't interfere with the company’s internal affairs, unless we break the law," Bat-Orgil said. "We'll pay taxes, but business operations won't involve government interference. It's a legal framework for investors that is clear, stable and transparent."
Employee ownership in the company is the second half of this investment plan.
"We're offering a concession build-operate-transfer (BOT) model for investors," he explained. "Once the initial investment is completely or partially (that is being elaborated by the economic and business development working group ) recuperated, up to 49 percent ownership will be gradually transferred over a period of time to employees. This is one of the legal issues we're working on – how to make this internationally appealing."
Bat-Orgil says they're hoping to have international grants coming in April 2022, and if all goes well, to start building the plant not long afterwards. He says initial operations will hopefully begin in 2023.
"It's 'democracy 2.0'," he said. "This is unique. Nobody has tried this before."
BY: Ewen Levick
...


  • Terms of Reference
  • About
  • Contact Us

Managed by: B2BMongolia www.b2bmongolia.com

Events

News

Facebook