Record number of independents to run for parliament www.news.mn

Mongolia will hold its parliamentary election on 24 June. This year, a record 208 independent candidates have registered to run for seats in the State Great Khural, reported the National Audit Office.For example, former Finance Minister S.Bayartsogt, former MP N.Nomtoibayar and lawyer J.Erkhembaatar are nominated independently to parliament election.

Mongolia cancels Tavan Tolgoi’s $1 billion IPO plan www.mining.com

Mongolia has cancelled an executive order to fund its giant Tavan Tolgoi coal project through an international initial public offering (IPO), citing “political distortions” and the current dire state of global financial markets.

Mongolia extends suspension of int'l passenger flights until end of May www.xinhuanet.com

Mongolia's State Emergency Commission (SEC) on Tuesday decided to extend the suspension of international passenger flights till the end of May.

Government resolution on Erdenes Tavantolgoi JSC partially revoked www.montsame.mn

Ulaanbaatar /MONTSAME/ At its irregular meeting on April 27, the Cabinet decided to revoke clause 2 of its resolution No. 296 of 2019 on the measures to be taken in regard with the Erdenes Tavantolgoi JSC.

In 2018, the National Security Council made a recommendation to the Cabinet regarding the measures to speed up the construction of Tavantolgoi-Zuunbayan and Ukhaakhudag-Gashuunsukhait railroads. The recommendation instructs that every possible effort be made to carry out basic infrastructure construction of railroads in the above-mentioned routes and the project financing be obtained through international Initial Public Offering of shares.
Erdenes Tavantolgoi JSC has made profits in 2018 and 2019 and has been investing in the construction of Tavantolgoi-Zuunbayan railroad thus far.

The Cabinet issued its resolution No. 296 of 2019 to boost investment in compliance with the recommendation of the National Security Council and set a goal to carry out initial public offering on stock markets. As the National Security Council recommendation has been evidently misrepresented for political reasons, the Cabinet Secretariat on March 27, 2020 submitted a request to the National Security Council to revoke the clause 2.1 of its recommendation. However, on April 16, 2020, the National Security Council stated in an official note that there are no grounds to make changes to the recommendation.

The Cabinet at its April 27 meeting assigned relevant ministers to work attentively in light of the difficulties that may arise due to the revocation of clause 2 of the resolution No. 296.

Following measures were included in the revoked clause 2 of the Cabinet Resolution No. 296:

Clause 2. Minister of Mining and Heavy Industry D.Sumiyabazar, Minister of Finance Ch.Khurelbaatar, and the Government Agency for Policy Coordination on State Property (A,Ariunbold) are assigned to take the following measures to trade shares of the holder of the special license of Tavan Tolgoi coal deposit on international stock exchanges:

2.1. To establish subsidiaries of Erdenes-Tavantolgoi in order to efficiently raise funds from international markets in the shortest possible time in compliance with relevant laws and international standards and requirements;

2.2. To transfer special licenses held by Erdenes-Tavantolgoi, first of all, special license No, MU-011943 of the East Tsankh deposit, to the company’s subsidiary in order to increase the value of Tavan Tolgoi coal deposit in phases;

2.3. To offer up to 30 percent of the shares of Erdenes-Tavantolgoi’s subsidiary to investors on international stock exchanges; and to make arrangements so that Erdenes-Tavantolgoi owns more than 70 percent of the subsidiary’s shares;

2.4. To take measures required to efficiently carry out the initial public offering in a short period of time;.

Erdenes Tavantolgoi Mining company has been established at the Erdenes Tavantolgoi JSC in charge of the initial public offering plans and was preparing for IPO on international stock exchanges.

After the cabinet’s meeting yesterday, Minister of Mining and Heavy Industry D.Sumiyabazar clarified that parliamentary resolution and recommendation by the National Security Council enabling the stock market launch of the Erdenes Tavantolgoi JSC shares are still effective and the works of the IPO launch of the company’s shares are still underway.

“The cabinet’s decision only dissolves the Erdenes Tavan Tolgoi Mining, a subsidiary of the Erdenes Tavantolgoi” added the minister. He further said that the government’s decision made yesterday is connected with current falls of commodity prices on the global stock markets due to COVID-19 pandemic and “internal conflict and involvement of politics”, which led to delay in the IPOs.

Since its establishment in 2008, the Erdenes Tavantolgoi JSC had the highest sales revenues in 2018 and 2019, with USD 1 billion last year and has provided funding for a number of large scale development projects of the country, such as Zuunbayan and Gashuunsukhait railway projects, ‘Tavan Tolgoi Fuel’ project aimed at reducing air pollution in Ulaanbaatar, and also has repaid debts of USD 350 million to Aluminum Corporation of China Limited (CHALCO).

"The successful IPO of the Erdenes Tavantolgoi will create 10,000 jobs and will help fund railway projects to continue further.” said Minister Sumiyabazar.

He noted that the global commodity price drops and a decrease in demand from China have caused 50 percent decline in the sales revenue of the state-owned coal mining company and a shortage of MNT 250 billion of its contribution to the state budget. “If this issue persists, the mining industry revenue could fall by 50 percent already by the end of this year. I doubt that the Erdenes Tavantolgoi will earn profits this year” said the Mining Minister.

MIAT’s new Boeing 767-300 to transport anti-Covid-19 equipment www.news.mn

On Monday 27 April, ‘MIAT’ Mongolian Airlines, conducted an international cargo flight using its new Boeing 767-300 aircraft, taking its first step to enter the international cargo transport market.

Falling Walls Lab Mongolia to take place May 29 online www.montsame.mn

Ulaanbaatar /MONTSAME/. The Falling Walls Lab Mongolia, with an aim to foster scientific and entrepreneurial innovations, and to promote the exchange between outstanding emerging scholars and professionals from various fields of expertise, will take place on 29 May 2020 digitally via www.zoom.us online platform due to COVID-19 pandemic.

John Nixon, the representative of DAAD in Mongolia, emphasizes that “The DAAD is very pleased to support the second annual Falling Walls Lab in Mongolia. Just as the falling of the Berlin Wall 31 years ago ushered in a new era of openness and exchange, so too does the Falling Walls event provide bright young researchers and innovators from around the world with the opportunity to demonstrate and exchange their new ideas. Come and participate in this meeting place of great young minds!”

Selected participants will compete to win a trip to the Falling Walls Lab Finals in Berlin, Germany on 8 November 2020 and a ticket to the Falling Walls Conference. In total, 100 applicants qualify for the Finals in Berlin. Each finalist will receive the opportunity to present their research work, initiative or business model within three minutes in front of a high-calibre jury from academia, research and business. The three winners receive a cash prize and the opportunity to present their idea on the grand stage of the Falling Walls Conference the next day.

The call for applications is now open for this year’s international Falling Walls Labs, an annual global gathering of forward-thinking individuals from over 75 countries. Bachelor and Master students, postdocs, young professionals, entrepreneurs, and junior professors are invited to apply. Ground-breaking research projects, initiatives, ideas and business models from all disciplines are welcome.

Early-career researchers, entrepreneurs and professionals can apply for the Falling Walls Lab Mongolia digital event to present their research work - in 3 minutes each. Applications can be submitted via www.falling-walls.com/lab/apply until 05 May 2020.

The Falling Walls Lab is hosted by the German-Mongolian Institute for Resources and Techno-logy (GMIT) and organized by the Arts & Media Project Management & Consulting NGO (AMPMC) in cooperation with the Cultural Envoy of Mongolia, GMIT and the German Academic Exchange Service (DAAD). The official partner is the Ministry of Foreign Affairs of Mongolia, cooperation partners are the Federal Foreign Office and the Embassy of the Federal Republic of Germany. Official media partners are Mongolian Economy and business.mn.

The Falling Walls Lab is organized by the Falling Walls Foundation and generously funded by the German Federal Ministry of Education and Research, the Berlin-Senate, the Bayer Foundations, Huawei, and Sartorius. It is supported by the Federal Foreign Office of Germany and the DAAD.

The Falling Walls Foundation is a non-profit organisation that fosters the discussion on research and innovation and promotes the latest scientific findings among a broad audience from all parts of society. For the Falling Walls Conference, each year on 9 November, 20 of the world’s leading scientists present their current breakthrough research in 15 minutes each.

The Falling Walls Foundation is supported by the German Ministry for Education and Research, the Robert Bosch Foundation, the Helmholtz Association and numerous other acclaimed academic institutions, foundations, and companies.

For further information, please visit www.falling-walls.com/lab or fb.me/FallingWallsLabMongolia and https://twitter.com/walls_lab

Erdenes TT to distribute MNT 199 billion in dividends www.news.mn

‘Erdenes Tavan Tolgoi’ (ETT) held a press conference earlier today (27 April) regarding dividends from the revenue of 2019.

Rio signs $51 million earn-in on Zambia copper deposits www.mining.com

Rio Tinto (NYSE: RIO) has entered into an earn-in and joint venture agreement with Vancouver-based junior Midnight Sun Mining (TSXV: MMA), under which the Anglo-Australian miner can earn up to a 75% interest in the latter’s Solwezi licenses.

Ivanhoe’s Kakula mine advances ahead of schedule www.mining.com

Ivanhoe (TSX: IVN) announced on Monday that underground development at the Kakula copper mine in the Democratic Republic of Congo continues to advance ahead of schedule and said it will bring the deposit into production on time and budget by the third quarter of 2021. .

The company reported that more than 13.5 kilometres (8 miles) of underground development is now completed, 4.2 kilometres (3 miles) ahead of schedule.

“The mining team is on pace to set a new monthly development record of 1.7 kilometres of advancement ─ 562 metres ahead of plan for the month,” the company said in a release.

Ivanhoe said each blast in Kakula’s high-grade mining zone produces approximately 550 tonnes of ore.

Kakula’s high-grade ore stockpile is expected to total approximately 1.5 million tonnes prior to the start of initial production.

According to the pre-feasibility study (PFS) released last year, if all phases are completed the Kamoa-Kakula project is expected to reach peak annual production of more than 700,000 tonnes of copper.

The mining company also announced cost-saving measures that should cut costs by about $75 million, including lower expenditures this year at its Platreef palladium-platinum-nickel-copper-gold-rhodium project in South Africa and at its Kipushi zinc-copper-lead-germanium mine in the DRC.

Work on Platreef’s first shaft will continue, but the company has reduced the project’s 2020 budget to $41.7 million, down from $60 million, and trimmed its budget for Kipushi to $28.7 million, down from $40 million.

The company also announced voluntary salary reductions by senior management of up to 35% for a six-month period, and the suspension of all short-term incentive award payments for 2020.

In addition, Ivanhoe has trimmed its corporate and senior management headcount and reduced its footprint of global offices.

The company’s head office will remain in South Africa and be supported by satellite offices in Beijing and London.

In terms of management changes, Egizio Bianchini, Ivanhoe’s executive vice chairman, will relinquish his executive role but remain as vice chairman and a director.

The initiatives “are designed to further build on our robust cash and cash equivalents of approximately $600 million and essentially no debt,” Marna Cloete, the company’s CEO said.

Andrew Mikitchook of BMO Capital Markets has an outperform rating on the stock and a price target of $9.00 per share, according to The Northern Miner.

At presstime in Toronto the company’s shares were trading at $2.69 apiece within a 52-week trading range of $1.80 and $4.54.

“The company is in a strong financial position with $603 million at the end of March with today’s press release highlighting ~$75 million in cost savings through 2021 including the reduction of activities at Platreef and Kipushi, deferral of exploration activities, and voluntary management salary reductions,” Mikitchook wrote in a research note.

“The company continues to prioritize focus towards developing Kakula on time and on budget.”

Mongolia Scraps Coal Miner’s $1 Billion Overseas IPO Plan www.bloomberg.com

Mongolia has shelved near-term initial public offering plans for state-owned coal miner Erdenes Tavan Tolgoi JSC as the Covid-19 pandemic roils financial markets.