Mongolia and Rio Tinto have reached an agreement to reduce management fees for the Oyu Tolgoi copper and gold project by 50 percent, according to government officials.

The negotiations were conducted by a government working group established under Prime Ministerial Decree No. 68 to review and reduce the project’s management fee structure.

Prime Minister Н.Учрал described the agreement as an initial achievement in ongoing discussions related to the Oyu Tolgoi investment agreement.

The working group, headed by Minister of Industry and Mineral Resources Г.Дамдинням, also agreed with Rio Tinto to eliminate overlapping payments associated with project management costs.

Officials said the agreement is expected to reduce total fee-related expenses by US$2.2 billion and increase Mongolia’s economic benefit from the project by an estimated US$1.5 billion.

“This is also good news for investors,” Prime Minister Uchral said. “It shows that Mongolia is capable of protecting its national interests while engaging in negotiations with investors on an equal footing.”

He added that the government will continue working toward further progress in negotiations related to the OT LLC investment agreement and efforts to reduce interest rates on Oyu Tolgoi project loans.

Oyu Tolgoi is one of Mongolia’s largest mining projects and remains a major contributor to the country’s economy and export revenues.

Source: Zuuniimedee № 98 (7830) May 21, 2026

Published Date:2026-05-24