Mongolian lawmakers demand revision of large mining deal

ULAN BATOR, Sept. 7 (Xinhua) -- A group of 20 Mongolian lawmakers has demanded that the government revise an investment deal signed with two foreign mining firms in 2009, local media reported Wednesday.
Lawmakers from both the ruling Mongolian People's Party and Mongolian Democratic Party demanded the government increase Mongolia's stake in the investment agreement made with Canadian mining company Ivanhoe Mines and global mining giant Rio Tinto on Oct. 6, 2009.
They also demanded a higher tax on the mining companies, adding that the government needs to get the deal revised by Oct. 1.
The government currently owns a 34-percent stake in the giant mining project and lawmakers expect it to be raised to 50 percent once investors recoup initial investment costs.
According to its website, the Oyu Tolgoi project requires more than five billion U.S. dollars and production is expected to start in late 2012.
Lawmaker Davaajav Gankhuyag said "in the investment agreement with miners, the price of copper is set at 4,320 U.S. dollars per ton. Today the price of copper is around 8,000 dollars. It may reach 9,000 dollars soon. At this rate, investors can recoup the initial investment cost within two years."
According to the original agreement, Mongolia would provide a stable tax and legal environment for investors and not revise the agreement.
The Oyu Tolgoi mine contains one of the world's biggest copper-gold deposits. According to a preliminary exploration, the mine contains more than 31 million tons of copper, some 1,328 tons of gold and about 7,000 tons of silver.

Source:Xinhua news service
Share:

0 comments:

Post a Comment

Facebook page

Powered by Blogger.

Categories

Advertising in Mongolia An Culture Editorial of the Mongolianviews education Environmental protection Famous Mongolians Foreigners in Mongolia Inner Mongolia Ivanhoe Mines Mongolia agriculture Mongolia analysis Mongolia and Australia Mongolia and Belorussia Mongolia and Cambodia Mongolia and Canada Mongolia and central Asia Mongolia and China Mongolia and Cuba Mongolia and EU Mongolia and Germany Mongolia and Hongkong Mongolia and Hungary Mongolia and India Mongolia and Inner Mongolia Mongolia and Iran Mongolia and Italy Mongolia and Japan Mongolia and Kazakhstan Mongolia and Korea Mongolia and Kuwait Mongolia and Malaysia Mongolia and Nato Mongolia and North Korean Mongolia and Poland Mongolia and Russia Mongolia and Singapore Mongolia and South Korea Mongolia and Taiwan Mongolia and the world Mongolia and Tibet Mongolia and Turkey Mongolia and UK Mongolia and Ukraine Mongolia and UN Mongolia and USA Mongolia and Vietnam Mongolia Banking Mongolia civic society Mongolia crime Mongolia diplomacy Mongolia Economy Mongolia Education Mongolia Energy Mongolia Finance Mongolia Health Mongolia History Mongolia holiday Mongolia in international media Mongolia Industries Mongolia Joke Mongolia law Mongolia LGBT Mongolia medical Mongolia military Mongolia Mining Mongolia Mining Developments Mongolia Mortgage Mongolia natural disaster Mongolia Petroleum Mongolia public announcements Mongolia railways Mongolia Religion Mongolia society Mongolia Sports Mongolia Stamp Mongolia telecommunication Mongolia tourism Mongolia Urbanization Mongolia Wild Life Mongolian Agriculture Mongolian Archeology Mongolian Food Mongolian Gay Mongolian Government news Mongolian History Mongolian Military Mongolian Mining Development Mongolian Movie Mongolian News Mongolian Parliament Mongolian Political news Mongolian Press Mongolian Songs Mongolian Women Mongolian Youth Mongolians abroad Moninfo Opinion Oyu Tolgoi Investment Agreement Photo news Press Release Rio Tinto Tavan Tolgoi coal mine Ulaanbaatar development Weird expatriates in Mongolia

Blog Archive

Followers

Live Traffic