EK SALES DIRECTOR, RECEIVED THE AWARD FROM THE MOFALI.
S.Bolor, Sales Director of Eurokhan LLC, was awarded the title of Leading Employee of the Ministry of Food, Agriculture, and Light Industry.
He has been the Director of the Sales department for more than two years and is committed to team leadership, motivation and teamwork.
We know that S.Bolor, who is always innovative and supports the initiatives of others, is a truly good friend not only to his colleagues and friends but also to his partners.
Director S.Bolor, we wish you all the best in your future work and life, and we are pleased to express our team's pride.
DIESEL GENERATORS ARE IN THE HANDS OF END-USERS.
As mentioned earlier, EC has been supplying high-quality generators of various types, both large and small.
This time, the three diesel generators reached their end-users and successfully fulfilled their contractual obligations.
We are happy that we were able to deliver our goods on time, despite the many difficulties caused by the customs burden and the situation at the border.
EK TEAM IS DOING DESK-BASED RESEARCH ON CBD PRODUCTS.
Alcanolli Pharm has signed a cooperation agreement with the largest logistics company in Portugal.
This will help deliver manufactured products to end-users around the world in a timely manner.
We are also pleased to announce that the Alcanolli plant's construction designs are complete.
We are getting close to producing CBD products as planned. The EK team continues to expand its knowledge of CBD products and explore their use and market internationally.
This not only gives us a better understanding of the nature of the product but also opens up opportunities for us to contribute and innovate.
EK CONTINUES TO PROVE THAT IT IS A RELIABLE PARTNER SUPPLIER
We have proved once again that we are a reliable and good supplier by fully meeting the bearing quality and technical specifications. As we announced, we have been awarded for supplying Bearing 4 to EMC SOE, which is on the way to meet end-users.
We are also working with a leading company and Steppe Gold, and we are pleased to announce that we will continue to provide the next supply under the Master Agreement.
The products to be supplied to Oyu Tolgoi LLC have started to deliver to end-user.
EK IS NOW REPRESENTING PLATH GmbH
The PLATH Group is one of the leading European suppliers of products and systems for data-driven crisis prevention. For nearly 70 years now, the Group has been a technological pioneer and driver of innovation, focusing on customers and their specific needs at all times. The PLATH Group thus supports its customers’ strategic and tactical operations with suitable solutions for a variety of tasks – whether on land, at sea, in the air or in cyberspace.
Economy
• Mongolia steps up gold purchases as gold price drop 9 pct year-to-date
• ‘New Northern’ targets: South Korea sets sights on Russia, Mongolia and Kazakhstan after record rise in food exports
• Mongolian Bank Merger Indicates Accelerating Sector Consolidation
• 223 km roads to be built over next three years to alleviate congestion in capital city
• President of Mongolia U.Khurelsukh expresses readiness to cooperate with MNCCI in expanding activities internationally
• Impact evaluation study on early action cash transfers: 381 households received cash assistance during 2021 dzud
• Terminal for container transportation to be commissioned at Gashuunsukhait next month
• Climate Change Impacts on Health and Livelihoods: Mongolia Assessment
• Request put forth to accelerate import of oil refinery equipment
• Wildfires burn 122,669 hectares of land in Mongolia so far this year
• ICT in Education Taskforce consultation with UNESCO for the Preparation of Mongolia’s ICT Master Plan, Ulaanbaatar, Mongolia
• Industrial meat preparation is essential for ensuring food safety - Editorial
Business
• Review casts doubt over Rio Tinto explanation of Oyu Tolgoi problems
• Fitch Affirms Development Bank of Mongolia at 'B'; Outlook Stable
• Fitch Affirms Mongolia's XacBank at 'B'; Outlook Stable
• Mongolia Floats EPC Tender for a 10 MW Solar Project at Moron
• Second phase trading of ‘ETT Bond’ to be opened next week
• Steppe Gold making strong recovery following coronavirus related setbacks
• Opening bell ceremony for the first Mongolian company with a market cap of MNT 1 trillion
• How to invest in the Resilience Mining Mongolia IPO
• S. Korean Company expresses interest to invest in construction projects
• Entrée Resources Announces Second Quarter 2021 Results
• Success Story – Univision Mongolia
• How and where to invest in Mongolia - Editorial
ECONOMY
MONGOLIA STEPS UP GOLD PURCHASES AS GOLD PRICE DROP 9 PCT YEAR-TO-DATE
Mongolia has increased its official gold purchases this year, buying a total of 11 metric tons so far, according to local media reports citing the country's central bank.
The average gold price was at around $58 per gram, the central bank said. This total is as of July.
The central bank added that buying gold helps Mongolia with economic stability.
Mongolia's buying comes at a time when gold prices are still coming off their August 2020 record highs. Year-to-date gold is down more than 9%.
The most recent selloff in gold, which began on Friday, was triggered by a stronger-than-expected U.S. employment report. The July gain of 943,000 positions pushed the U.S. dollar and the U.S. Treasury yields higher on speculation that the Federal Reserve could announce its tapering plans reasonably soon. This created a bearish environment for gold.
Source: Kitco.com, Xinhua, Montsame
‘NEW NORTHERN’ TARGETS: SOUTH KOREA SETS SIGHTS ON RUSSIA, MONGOLIA AND KAZAKHSTAN AFTER RECORD RISE IN FOOD EXPORTS
South Korea has expanded its key food export target destinations to include ‘New Northern’ countries such as Russia, Mongolia and Kazakhstan after seeing record-setting sales of both fresh and processed food exports take off in the region.
Previously, the east Asian nation had focused much of its export efforts on countries under its ‘New Southern’ policy, which included South East Asia and India, and saw favourable results out of this in terms of skyrocketing food export numbers earlier this year.
According to the South Korean Ministry of Agriculture, Food and Rural Affairs (MAFRA), record-setting food export numbers to countries under the ‘New Northern’ policy, where efforts at co-operation have so far been more focused on diplomatic, infrastructural and cultural discussions, indicate a valuable market for food trade.
The New Northern policy was established in 2017, and relevant geographical markets include Russia, Ukraine, Belarus, Central Asia, Mongolia, and part of China.
Source: FoodNavigator-Asia.com
MONGOLIAN BANK MERGER INDICATES ACCELERATING SECTOR CONSOLIDATION
The momentum of Mongolia’s banking sector consolidation is likely to gather pace once pandemic-related pressure recedes, Fitch Ratings says, as indicated by Bank of Mongolia’s July 2021 announcement of the merger of two small banks; Credit Bank LLC and Transport and Development Bank LLC (TransBank), both unrated. We expect further banking consolidation following the introduction of tighter legislation and stricter enforcement.
We believe the minimum paid-in capital requirement of MNT100 billion, to be achieved by all domestic banks by the end of 2021, and 20% cap on commercial bank shareholdings that starts from the end of 2023 were the key drivers of the merger of the two banks, who reported sound capital adequacy ratios at end-1H21.
We think further mergers of domestic systemically important banks (D-SIB) cannot be ruled out if these rules are strictly enforced. Only XacBank LLC’s (B/Stable) shareholding structure meets the 20% cap among Mongolia’s five D-SIBs, with the rest having a much more concentrated shareholding.
Source: Fitch Ratings
223 KM ROADS TO BE BUILT OVER NEXT THREE YEARS TO ALLEVIATE CONGESTION IN CAPITAL CITY
At the Cabinet’s regular meeting on August 11, Cabinet members were updated on the implementation of project measures to reduce congestion in Ulaanbaatar.
The Cabinet discussed the loan agreement of the World Bank’s Ulaanbaatar Sustainable Urban Transport Project in June. Preparations are underway to have the agreement ratified by the State Great Khural. Using the loan, a five-year plan will be implemented to improve road and traffic safety in Ulaanbaatar, repair, upgrade, and restore the road network, upgrade public transport and the traffic control center, and introduce a new smart system to reduce traffic congestion and support the city’s road and transport development strategy.
A feasibility study was carried out into relocating large markets and building freight terminals and logistics centers and meetings were held with companies to reduce congestion in the capital city.
223 km roads will be built over the next three years to have direct impact on the reduction of traffic congestion. The design plan will be developed this year and the construction will begin in 2022.
Source: Montsame
PRESIDENT OF MONGOLIA U.KHURELSUKH EXPRESSES READINESS TO COOPERATE WITH MNCCI IN EXPANDING ACTIVITIES INTERNATIONALLY
On August 4, President of Mongolia U.Khurelsukh received board members of the Mongolian National Chamber of Commerce and Industry (MNCCI) led by MNCCI President O.Amartuvshin and exchanged views.
At the beginning of the meeting, MNCCI President O.Amartuvshin congratulated President U.Khurelsukh on his victory in the election. Mentioning that the world is now moving in the direction of co-existing with the epidemic despite the shrink in operations in the business sector due to COVID-19 for the last two years, he briefly introduced the study carried out on business environment by MNCCI as well as a draft bill.
He then shared his opinion on the possibility of economic recovery through effective public-private partnership amid the challenging circumstances posed by the pandemic, and expressed willingness to cooperate with the president.
In turn, President of Mongolia U.Khurelsukh expressed readiness to consistently provide support for MNCCI…
Source: Montsame
IMPACT EVALUATION STUDY ON EARLY ACTION CASH TRANSFERS: 381 HOUSEHOLDS RECEIVED CASH ASSISTANCE DURING 2021 DZUD
In January 2021, the National Agency for Meteorology and Environmental Monitoring of Mongolia predicted more than 60 percent of the country to be at risk of facing dzud during the 2020/21 winter. The Covid-19 pandemic had additional socio-economic impacts on rural households and made it more difficult for herders to prepare for harsh winter conditions.
With the financial support from the German Federal Foreign Office, People in Need (PIN) Mongolia INGO, the Potsdam Institute for Climate Impact Research (PIK), and the National Statistics Office of Mongolia (NSO) joined forces to implement a new research project to understand how pastoralist households can be best supported to cope with dzud winters.
At the core of the project is the distribution of humanitarian aid by PIN to 381 pastoralist households living in the three western provinces of Zavkhan, Uvs, and Govi-Altai, where the dzud risk was particularly high.
Source: GoGo News
TERMINAL FOR CONTAINER TRANSPORTATION TO BE COMMISSIONED AT GASHUUNSUKHAIT NEXT MONTH
Officials consider that the improvement of operations of not only Zamyn-Uud border checkpoint but also others is one of the solutions to increase export through eliminating the congestions at the border crossings and customs. This was stressed by Deputy Prime Minister S.Amarsaikhan when checking operations of Zamyn-Uud border checkpoint.
In particular, it has been decided to establish additional transportation control points and customs control zones for containerized coal shipping at other checkpoints, including Gashuunsukhait and Shiveekhuren in Umnugovi aimag, to increase the coal export. A relevant proposal to carry out this work within the framework of a public-private partnership was developed. As a result, a resolution No:185 titled ‘Establishing the terminal for container transportation’ was approved at the cabinet meeting dated July 2 this year.
The terminal is planned to be put into operations in early September, reports Ministry of Mining and Heavy Industry.
Source: Montsame
CLIMATE CHANGE IMPACTS ON HEALTH AND LIVELIHOODS: MONGOLIA ASSESSMENT
Mongolia already has encountered and will continue to experience significant warming and drying as a result of the climate crisis (certain). Temperatures are rising faster than the global average (certain). This is already being felt by communities across Mongolia, challenging traditional pastoralist–herder lifestyles and catalyzing a strong rural-urban migration trend.
The higher temperatures are likely to increase the frequency and severity of heatwaves and droughts, especially in the south and south-west. Seasons will become more pronounced (highly likely) and the peculiar and uniquely Mongolian phenomenon of the Dzud, which creates drought-like summer conditions followed by extremely cold, harsh winters, will become more frequent and fiercer (highly likely).
Extreme rainfall will become more intense and more frequent, with more rain falling during very wet days, and this may translate into increased intense rainfall-linked extreme events such as landslides, flash floods and land erosion (highly likely).
Source: ReliefWeb.int
REQUEST PUT FORTH TO ACCELERATE IMPORT OF OIL REFINERY EQUIPMENT
On August 10, Deputy Prime Minister S.Amarsaikhan held a meeting with Ambassador of the Republic of India to Mongolia M.P.Singh to discuss putting the oil refinery into operation on time.
Ambassador M.P.Singh requested the Deputy PM to implement certain measures on enhancing correlation between customs and other corresponding organizations in the framework of accelerating the work to import equipment and supplies that are necessary for the construction of the oil refinery.
Mentioning that the Government of Mongolia is implementing all possible measures in phases in order to put the oil refinery into operation, Deputy PM S.Amarsaikhan noted the difficulties being faced in the refinery’s construction such as the increase in the price of construction materials as well as delays in the shipment of goods due to the pandemic situation. Despite this, the government will pay special attention to the matter put forth by the Ambassador in order to complete the construction on time.
Source: Montsame
WILDFIRES BURN 122,669 HECTARES OF LAND IN MONGOLIA SO FAR THIS YEAR
A total of 25 wildfires have been reported across Mongolia since the beginning of this year, which have destroyed 122,669 hectares of forest and grassland, the country's National Emergency Management Agency reported on Wednesday.
There are now no on-going wildfires in the territory of Mongolia, the emergency agency said.
However, large parts of Mongolia, including Ulan Bator, the capital of the country, have been covered with smoke from massive wildfires raging in Russia's Siberia, the agency added.
Source: Xinhua
ICT IN EDUCATION TASKFORCE CONSULTATION WITH UNESCO FOR THE PREPARATION OF MONGOLIA’S ICT MASTER PLAN, ULAANBAATAR, MONGOLIA
In the afternoon of 29 July 2021, UNESCO, Ministry of Education and Science of Mongolia and the Mongolian National Commission for UNESCO, jointly organized the first meeting of the ICT Taskforce for the preparation of the ICT Master Plan for Mongolia.
Ms. Uyanga, Secretary-General of the Mongolian National Commission for UNESCO, first introduced the ICT in Education Policy Review report that was just completed with solid support from UNESCO and submitted to the Ministry of Education and Science. The Secretary-General thanked UNESCO for the technical support and leadership in guiding the Ministry of Education and Science in completing the ICT Policy Review for Mongolia. The Secretary-General highlighted that the ICT Policy Review report recommendations had been taken seriously into consideration by the government and the Ministry of Education and Science and shall be incorporated in the ICT Policy and Master Plan for Mongolia.
Source: UNESCO
INDUSTRIAL MEAT PREPARATION IS ESSENTIAL FOR ENSURING FOOD SAFETY - EDITORIAL
The primary food staple for most Mongolians is meat. According to a recent study, an average Mongolian family consumes 54 kilogram of meat every month in winter and 13.5 kilograms in summer. In 2019, the average per capita consumption of meat was 170.8 kilograms, an increase of 7.8 kilograms compared to the previous year. Mongolia ranks 15th in the world in terms of meat consumption. In other words, the health and safety of meat should be a priority for Mongolians, whose diet is heavily reliant on meat, and inspections and hygiene control should be ensured strictly.
In accordance with the Law on Food, the population must be able to choose quality, nutritious and safe food in a sustainable and accessible manner throughout their lives, regardless of the country’s economic, social or geographical situation.
However, in 2019, a total of 106,100 food samples were analyzed for chemistry, hygiene and bacteriology, and the pollution level was at 3.3 percent.
Source: The UB Post
think giving a politician a second call was a way to check a fact,” Baatar said. “But it opened up way more opportunities that we didn’t know existed before.”
Bataar and her team used Poynter’s fact-checking classes to familiarize themselves with a slew of new digital tools and techniques to fight online falsehoods. Tools like Google’s advanced search and reverse image search helped the fact-checkers expand their skill sets.
Source: Poynter.org
REGULATIONS UPDATED FOR ISSUANCE OF MONGOLIAN VISA
The Government of Mongolia approved the updated regulations for the issuance of Mongolian visa, which will be in effect from August 16.
The updated regulations include new types of visas, bringing the total number of visa types to 64.
For instance, visas will begin to be issued for those coming to Mongolia to participate in cultural and arts events and sports competitions, to create content, to transport passengers and imported goods, to travel in the border region for a day trip, to receive medical treatment, and for transit. By specifying the types of visas, it becomes possible for foreign nationals to submit their visa applications truthfully and travel to the country for their intended purposes.
Furthermore, some changes have been made to the organizations in charge of issuing the visas. While the visa type B issued for foreign nationals visiting the country for business purposes for up to 30 days…
Source: Montsame
ADMINISTRATION IN CHARGE OF CONSTRUCTION PROJECTS IN NEW ZUUNMOD AND MAIDAR CITIES ESTABLISHED
At its regular meeting today on August 11, the Cabinet made the decision to establish an administration in charge of construction projects at Khushig Valley, reports Minister of Construction and Urban Development B.Munkhbaatar.
In May 2020, the Parliament approved the Cabinet’s draft resolution for establishing the cities of ‘New Zuunmod’ and ‘Maidar’ in Khushig valley. In the framework of developing the comprehensive plans for developing the valley area, a preliminary study has found that there is enough water resources to supply 150 thousand residents. Alongside supporting the growth of transport and logistics businesses based at the new international airport in Khushig Valley as well as the Bogdkhan Railway Bypass Line that is soon to be constructed, plans have been developed with the aim of creating new job opportunities for the sectors of culture, tourism, and light industry.
According to a preliminary study of water resources, there is a living space for 150 thousand people.
Source: Montsame
CEREMONIES AND HORSE RACES VIOLATE GOVERNMENT RESOLUTION
Recently held horse racing and state worship ceremony in provinces violated Government Resolution No. 183, which prohibits public events such as horse races, worship ceremony, and anniversaries.
In accordance with the resolution, governors at all levels were instructed not to organize public events.
However, from June 6 to 8, the eastern region horse race was held in Khulunbuir soum of Dornod Province, the central region race took place in Sukhbaatar soum of Selenge Province, and the western region race was organized in Jargalant soum of Khovd Province. In one race, an average of 400 horses competed. For instance, in the western region race, 406 horses took part.
Even President U.Khurelsukh attended the Heaven Hallowing State Worship Ceremony for Sutai Mountain on August 7.
Due to the increase in the spread of COVID-19 infection in rural areas, professional organizations recommended that provinces responsibly and cautiously make preparations for the start of the new school year on September 1.
Source: The UB Post
PUBLIC INFORMATION BILL DISCUSSED
On August 10, the Standing Committee on Innovation and e-Policy held an open discussion on bills on public information and protection of personal information submitted by Cabinet.
Chairman of the working group in charge of developing the bills N.Uchral introduced the bills and emphasized that with the implementation of e-transition, government services can be made faster and less bureaucratic for citizens.
“The legislation on public information is directly related to every citizen. The bill on public information divides information into closed, open, and limited classification. One of the most common complaints is that a citizen’s ID card is notarized. But the government has that person’s personal information. Therefore, under the bill, the government will not have to demand the information. As a result, government agencies share information with each other. People will also be informed of the personal information the government used,” he said.
Source: The UB Post,
OFFICIALS DISCUSS RESTORING SCHEDULED FLIGHTS BETWEEN MONGOLIA AND SOUTH KOREA
Per the air communications agreement between the Governments of Mongolia and the Republic of Korea, Mongolia-Korea air services consultations took place in Seoul, South Korea on August 2-3.
The consultative meeting was chaired by Head of the Department for Civil Aviation Policy and Implementation at the Ministry of Road and Transport Development Ch.Munkhtuya, and Head of the Aviation Policy Division at the Ministry of Land, Infrastructure, and Transport of the Republic of Korea Yoon Jin-hwan. The sides exchanged views on measures being taken by the two countries’ governments and emergency commissions, challenges being faced in correlation with infection prevention guidelines, and restoring regular scheduled flights.
From 2022, designated airlines of the two countries (MIAT Mongolian Airlines from the side of Mongolia, Korean Air and Asiana Airlines from the side of South Korea) will begin conducting flights with a carrying capacity of 5,000 passengers between the months of June and September.
Source: Montsame
U.KHURELSUKH: ARMED FORCES MUST CONTRIBUTE TO COMBATING DESERTIFICATION AND DUST STORMS
On August 11, President of Mongolia and Commander-in-Chief of the Mongolian Armed Forces U.Khurelsukh became acquainted with the work of Ministry of Defense and the General Staff of the Armed Forces.
Chief of the General Staff of the Armed Forces of Mongolia, Lieutenant General D.Ganzorig and officials of the Ministry presented the country’s defense policy, objectives, further works to be implemented, the security environment of Mongolia as well as the development trends of the Armed Forces.
In recent years, natural disasters have been causing significant damage to human, livestock, and property.
In March alone, 10 people, including two children, have died due to the heavy dust and snowstorms that occurred covering several aimags.
Source: Montsame
BANNING MONGOLIAN FROM KINDERGARTENS PART OF CHINA'S 'CULTURAL GENOCIDE': ACTIVISTS - EDITORIAL
Plans by the ruling Chinese Communist Party (CCP) to extend compulsory Mandarin teaching to preschoolers across the country are part of an ongoing process of "cultural genocide" in the northern region of Inner Mongolia and in other regions of China with specific cultures, commentators told RFA on Wednesday
Starting from the fall semester of 2021, kindergartens in ethnic minority and rural areas that aren't already using Mandarin for childcare activities must begin to do so, according to a recent directive from the ministry of education.
The government is also launching a nationwide "batch training" scheme for kindergarten teachers to ensure a sufficient supply of qualified staff to meet the new demand.
The move is aimed at "enabling pre-school children in ethnic minority and rural areas and rural areas to gradually acquire the ability to communicate at a basic level in Mandarin, and to lay the foundations for the compulsory education phase," the directive said.
Source: Radio Free Asia
MONGOLIA REMAINS LENIENT ON TRAFFICKING OFFENDERS BUT MERCILESS ON VICTIMS - EDITORIAL
The report indicates that Mongolia’s increased law enforcement efforts have made the penalization for sex trafficking and labor trafficking “sufficiently stringent”. However, there were cases when authorities prosecuted trafficking crimes under statutes carrying lesser penalties. In previous years, some prosecutors reportedly charged child forced begging cases as misdemeanors, rather than as criminal offenses. Observers noted complex case initiation and referral procedures, coupled with restrictions on contact between anti-trafficking police and prosecutors, at times hindered investigations and prosecutions.
The government frequently redirected law enforcement resources and personnel to contain the pandemic, interrupting certain anti-trafficking efforts. Despite this change, arrests, investigations, and judicial proceedings continued. During the reporting period, the government initiated 36 sex trafficking investigations involving at least 49 alleged perpetrators (compared with 10 investigations involving 24 alleged perpetrators in 2019). Eleven of these investigations resulted from police raids on …
Source: The UB Post
BUSINESS
REVIEW CASTS DOUBT OVER RIO TINTO EXPLANATION OF OYU TOLGOI PROBLEMS
Ground conditions were not a significant factor behind delays and cost blowouts in the $6.75bn expansion of Rio Tinto’s huge copper project in Mongolia, according to an independent review that is contrary to the company’s explanation for the problems.
When the Anglo-Australian company revealed in July 2019 the underground development of the Oyu Tolgoi mine was running almost two years behind schedule and $1.45bn over budget it blamed weaker than expected geology for the need to redesign its mine plan.
However, a group of independent consultants tasked with examining the reasons and causes that led to the delays found no evidence that rock conditions were significantly different than anticipated.
The 157-page report, which has been seen by the Financial Times, blames the delays chiefly on key “enabling” infrastructure, including two 1km deep shafts that limited the number of underground crews that could be deployed to complete excavation work.
Source: Financial Times, GoGo News, bne IntelliNews, Reuters, The UB Post
See also: Turquoise Hill Comments on Review of Oyu Tolgoi Mine Increase in Cost and Schedule Extension
G.Yondon: The independent investigation report was reviewed
Kh.Nyambaatar: Cost overruns and schedule delays of the Oyu Tolgoi underground expansion is not caused by geotechnical conditions
FITCH AFFIRMS DEVELOPMENT BANK OF MONGOLIA AT 'B'; OUTLOOK STABLE
Fitch Ratings has affirmed the Long-Term Issuer Default Ratings (IDR) of Mongolia's only policy bank, Development Bank of Mongolia LLC (DBM), at 'B'. The Outlook is Stable.
The IDRs and Support Rating Floor of DBM are equalised with the IDRs of the Mongolian sovereign (B/Stable), reflecting our assessment that the state has strong propensity to provide support for the bank, if required. This stems from DBM's policy role, full state ownership and close linkages with the government, such as lending to state-owned companies and state-guaranteed legacy debt. The Mongolian government remains the sole shareholder and the Ministry of Finance chairs the bank's board, overseeing DBM's operations.
DBM, as the only policy financial institution in Mongolia, has a specific mandate to finance projects in important sectors that support the economy as per the Development Bank of Mongolia Act. The act stipulates that at least 60% of DBM's exposures should be channelled towards export-related projects.
Source: Fitch Ratings
FITCH AFFIRMS MONGOLIA'S XACBANK AT 'B'; OUTLOOK STABLE
Fitch Ratings has affirmed Mongolia-based XacBank LLC's Long-Term Issuer Default Ratings (IDR) at 'B' and Viability Rating at 'b'. The Outlook is Stable. Fitch also affirmed XacBank's Support Rating at '5' and Support Rating Floor at 'B-'.
Fitch expects the operating environment for Mongolian banks to benefit from the rebound in Mongolia's economy and the government's large economic stimulus programme, which provides soft loans through commercial banks to corporations and individuals to support their business. We expect soft loans to likely be the key loan growth driver for banks in 2021 and 2022 despite remaining pandemic-related risks.
The recent developments on banks' regulatory framework could also offset some risks from the pandemic, in Fitch's view, although potential benefits are only likely to accrue over the medium term. We maintain a stable outlook on the operating environment score, which is aligned with that on the sovereign's rating (B/Stable), reflecting the correlation between Mongolia's economy and bank performance.
Source: Fitch Ratings
MONGOLIA FLOATS EPC TENDER FOR A 10 MW SOLAR PROJECT AT MORON
The Ministry of Energy, Government of Mongolia, has invited bids for the engineering, procurement, and construction (EPC) of a 10 MW solar power project at Moron in Mongolia.
The last date to submit the bids is October 20, 2021, and bids will be opened on the same day.
The bidders must establish that they have the financial resources to meet or exceed the total requirement of the contract of $2,247,500.
Bidders must have, in the role of a contractor, a management contractor, or a member of the joint venture, successfully executed one solar project with a minimum capacity of 10 MW in the last five years. The project should have been in successful operation for the last two years.
Also, the bidder should have experience in detailed engineering design for at least one solar project with a minimum capacity of 10 MW in the last five years that has been in successful operation for the last two years.
Source: MercomIndia.com
SECOND PHASE TRADING OF ‘ETT BOND’ TO BE OPENED NEXT WEEK
In April this year, Erdenes Tavantolgoi JSC received a permission from the Financial Regulatory Committee to issue the dual currency ‘ETT Bond’ with a total value of up to MNT 2 trillion with a purpose to finance the implementation of major projects.
The ETT bond was intended to be offered to the public in three phases, and the first phase was successfully organized between March 30 and April 09, 2021.
In the first phase of the ‘ETT Bond’ primary market trading order, a total of MNT 677.7 billion of orders were submitted by stakeholders and fully met planned target. 970 business entities and individuals (in repeated counting) took part in the trading and placed 2,755,639 orders, which raised MNT 347.7 billion, in addition to MNT 330 billion raised under the bank refinancing agreements.
The second phase will be organized on August 16-25, with an intent to offer bonds worth MNT 285 billion and USD100 million.
Source: Montsame
STEPPE GOLD MAKING STRONG RECOVERY FOLLOWING CORONAVIRUS RELATED SETBACKS
Steppe Gold Limited said 2021 has been active thus far following several coronavirus (COVID-19) related supply chain challenges in 2020.
According to the corporate update, the first six months of the year have been a busy period for the company which has been mining and stacking on the heap leach phase.
The Mongolian-focused precious metals miner plans to have a newly installed fixed crushing unit operational by October 2021 at its ATO Gold mine.
To date, there is 1.6 million tonnes stacked on the leach pad and a further 450,000 tonnes on the ROM pad, adding to Steppe’s “strong gold and silver inventory build-up through the year.”
“Based on sampling grades on mined and stacked ore, together with estimated unrecovered ore on the leach pad or in the solution or circuit, we estimate that we have a total of approximately 34,000 oz of gold in inventory on the leach pad, ROM pad and in circuit,” the statement noted.
Source: Proactive Investors
See also: Steppe Gold Provides Corporate Update
OPENING BELL CEREMONY FOR THE FIRST MONGOLIAN COMPANY WITH A MARKET CAP OF MNT 1 TRILLION
An opening bell ceremony was held on 9 August 2021, in connection with the stock market valuation of APU JSC reaching MNT 1 trillion. Members of Parliament (G. Temuulen and Kh. Bulgantuya), Chairman of the Financial Regulatory Commission (D. Bayarsaikhan), CEO of the Stock Exchange (Kh. Altai), CEO of APU JSC (Ts. Erdenebileg), and other authorities attended the event.
In his opening remarks, D. Bayarsaikhan stated:
‘An historic event is taking place in which a company with a market capitalization of MNT 1 trillion has been established. The market capitalization of APU JSC, which is listed in the first category of the Stock Exchange and ranks first in the TOP-20 index portfolio, reached MNT 1,210,728,232,277 for the first time in Mongolia.
We are facing a difficult time when Mongolia's economic growth has slowed due to the global pandemic…
Source: Financial Regulatory Commission
HOW TO INVEST IN THE RESILIENCE MINING MONGOLIA IPO
Exploration, mining, and financing company Resilience Mining Mongolia is set to list soon on the Australian Securities Exchange (ASX), which means that you'll be able to buy company shares.
Resilience Mining Mongolia had looked to raise $5,000,000 – $6,000,000 at $0.20 a share in its initial public offering (IPO). Although the dates and prices may change, the company is pegged to begin trading publicly on the ASX on 28 September 2021.
Here's what we know about the initial public offering (IPO), including how to invest before it lists and how to buy in when it lists.
To invest in an IPO, you'll typically need to be registered with a participating broker or lead manager. This can be tricky for regular investors because only a few firms are allocated IPO stock and they're most often full-service brokers. In this case, the IPO is being lead managed by Novus Capital Limited.
Source: Finder.com.au
S. KOREAN COMPANY EXPRESSES INTEREST TO INVEST IN CONSTRUCTION PROJECTS
On August 10, authorities of the State Housing Corporation held a meeting with representatives of Doosan Engineering and Construction LLC of the Republic of Korea. At the meeting, the representatives of Doosan Engineering and Construction LLC expressed their interest to invest in new projects.
State Housing Corporation is implementing ‘Eco Yarmag-1,’ ‘Solongo 1, 2’ and ‘Zaluus-1’ construction projects. On August 6, the representatives of the company were provided the detailed information on the projects. Moreover, the sides exchanged views on further cooperation and investment conditions.
Authorities of the State Housing Corporation proposed the company to invest in a housing project to be implemented in the territory of the 12th khoroo of Bayanzurkh district, and the sides decided to exchange relevant information and make related calculations..
Source: Montsame
ENTRÉE RESOURCES ANNOUNCES SECOND QUARTER 2021 RESULTS
Entrée/Oyu Tolgoi JV Property
On June 15, 2021, Entrée reported an updated Feasibility Study for its interest in the Entrée/Oyu Tolgoi JV Property. A National Instrument 43-101 Technical Report was filed on July 21, 2021.
2021 Technical Report highlights include:
Oyu Tolgoi Underground Development Update
• COVID-19 impacts are ongoing. Over 98% of OTLLC's workforce is now fully vaccinated and health and safety remain a high priority with appropriate measures being maintained to protect OTLLC's employees, contractors and the community.
• During the second quarter 2021, COVID-19 cases increased significantly in Mongolia, causing a series of lockdowns in the country and South Gobi region which limited the ability of OTLLC to maintain normal roster changes for its workers. Limitations on the movement of international expertise also significantly impacted progress on the Oyu Tolgoi underground project.
Source: Yahoo Finance
SUCCESS STORY – UNIVISION MONGOLIA
In 2016 Unitel Corporation LLC successfully completed the replacement of the former middleware vendor with the Beenius Unified TV Platform. Beenius implemented successful migration to the Beenius solution, integrated Edgeware for VOD, and concluded the integration on STBs. Since embarking on cooperation with Beenius, Unitel has grown from a challenger to the primary IPTV provider in the country. UNITEL leverages Beenius advertising features, which enable the promotion of the operators and third-party services and products.
In 2018 Beenius delivered a new UX on Android AOSP client for Android-based STBs. This way, Unitel was able to keep its leading market position and even increased market growth in Mongolia to this day.
In 2021 Beenius helped Univision with the upgrade of the Edgeware IPTV system and extension of current capacities.
During the whole period of cooperation from 2016 till today, Beenius provided updates to the existing ecosystem and required extensions on all elements of the IPTV ecosystem.
Source: Beenius.tv
HOW AND WHERE TO INVEST IN MONGOLIA - EDITORIAL
Mongolia has been on my radar for some time. Only recently, however, did I decide to get the advice of leading experts who work and invest in Mongolia to learn more about the country, its economy, and the opportunities available there for investment and business.
It seems that just a few years ago everyone was talking about Mongolia, but that excitement has since cooled and I wanted to know why. I’ve never been one to follow the herd, so I wanted to understand what it was that drove so many investors to Mongolia, and whether the fundamentals that got everyone excited in the first place are still in place.
We discussed it all, from business opportunities to real estate investment, the mining industry to China’s One Belt One Road initiative. If you’ve ever wondered about Mongolia as an investment opportunity or wanted to learn more about one of the fastest-growing economies in the world, this article draws from the experts to cover it all.
Source: NomadCapitalist.com
