Government to take Control of Tavan Tolgoi Project

{mosimage}On November 27, the new Prime Minister informed representatives of the national investors who own shares in the Energy Resources Company, that the government should take 100 percent control of the Tavan Tolgoi coking coal mine.

On November 27, the new Prime Minister informed representatives of the national investors who own shares in the Energy Resources Company, that the government should take 100 percent control of the Tavan Tolgoi coking coal mine.

The Government decided to withdraw the draft of the investment agreement of Tavan Tolgoi Mining from Parliament, according to the Government Press Office. Prime Minister S.Bayar received representatives of the Energy Resources Company and he noted the importance of the company share holders’ contributions for keeping the deposit for the Mongolian people while still trying to begin development work of the mine.

The Prime Minister pointed out that the time was coming to properly use the rich resources, which should be shared by the Mongolian people.

He explained the basis of the government’s decision and that development of the huge deposit would effect Mongolia’s economy and politically sustainable position. He also expressed his hope that the national consortium would agree that the government’s decision to take the project under its authority and continuing negotiations that should begin development in a short time. The representatives also expressed to the Prime Minister that they took the license of the Tavan Tolgoi deposit under the law and invested many billion togrogs to start development of it.

They noted that company share holders gave many billions towards investment of the deposit’s development, but that they had not taken any profit and didn’t extract any coal from the deposit.    

Written by B.Bulgamaa  
The UB Post