As mentioned in the presentation by Chairman of Board U.Byambasuren, the company has 15 billion admitted shares, of which 12 billion were issued. The Government owns 65 percent of the issue shares, and 14.6 percent or 2.511 million shares are owned by citizens, 0.06 percent, owned by entities. In the fiscal year of 2017, ETT made net profit of MNT 461.1 billion and accumulated profit of MNT 36.0 billion.

The company held a shareholders’ meeting on April 27th of 2018 and decided against distributing dividends. However, it has been estimated that MNT 3,000 would be distributed to each citizen that holds the company’s share. As per the calculation, several alternatives have been formulated.

After the presentation, President Battulga said: “The locally owned company known as ‘small Tavan Tolgoi’ has distributed profit of MNT 90.0 billion. Meanwhile, regardless of its performance that resulted in MNT 461.1 billion after taxes, Erdenes Tavan Tolgoi is being negligent when it comes to distribution of profit. I understand that you have considered an option of giving away dividends, but the amount totals to MNT 3,000 per shareholder. This would not appropriate. Therefore I am putting forward an alternative."

“Today, ordinary citizens possess 14.6 percent of all shares. The percentage must be increased to 100 percent. A draft law is going to be submitted to the parliament on this issue. If adopted, the law will enable distribution of profits of not MNT 3,000, but MNT 300,000 and more. If the Parliament resolves to distribute shares to 100 percent of citizens, the mission of zeroing people’s debts, which mission was tasked to me upon my nomination to the Presidential election, would become possible through several years of profit distribution. It would also be a harmonious implementation of 6.1. of the Constitution, which provides that natural resources are the property of the people,” highlighted the President.

Present at the meeting was also the Chief of the Presidential Office, Mr. Z.Enkhbold. He remarked that Erdenes Tavan Tolgoi is a possession of the citizens according to the law, and therefore, the company needs to distribute dividends.

Source: President.mn