Government of Mongolia Launches Negotiations with Rio Tinto www.montsame.mn
The Government of Mongolia has launched negotiations today to reduce the interest rate on the Oyu Tolgoi project loan.
Representing the Government in the talks are Minister of Finance Javkhlan Bold and Minister of Industry and Mineral Resources Damdinnyam Gankhuyag, joined by executives from “Erdenes Mongol” LLC and “Erdenes Oyu Tolgoi” LLC. They are holding discussions with representatives of the “Rio Tinto” Group.
During the negotiations, the Government is raising the following key issues:
• Increase Mongolia’s share of benefits from Oyu Tolgoi to over 50 percent;
• Reduce the shareholder loan interest rate;
• Review the current practice of discussing the loan interest rate only once every seven years;
• Reconsider the practice of charging compound interest.
Minister of Industry and Mineral Resources Damdinnyam highlighted the significance of the talks, saying, “Reducing the Oyu Tolgoi loan interest rate will increase Mongolia’s returns. In other words, it will enable us to receive dividends earlier. This means that funds will flow into the National Wealth Fund sooner and directly benefit the people. Our team is working to ensure a decision that is favorable to the Mongolian people.”
Published Date:2025-10-31

 
										 		



