20.12.2013, NEWSWIRE, Issues 304-305

BUSINESS COUNCIL of MONGOLIA NewsWire

wwwbcmongoliaorg infobcmongoliaorg

Issue 304-305 ndash December 20 2013

HAPPY HOLIDAYS TO ALL OUR BCM MEMBERS

WATCH FOR SPECIAL bdquo2013 YEARENDER‟ NEWSWIRE ISSUE NEXT FRIDAY

DECEMBER 27

NEWS HIGHLIGHTS

Business

Oyu Tolgoi approves 2014 budget

OT mine‟s bdquoPhase Two‟ bank financing pledges extended

Trafigura agrees to off-take deal for Oyu Tolgoi mine

OT to cooperate in Tavan Tolgoi power plant project

Erdenes TT unlikely to pay $160m debt to Chalco in 2013 says CEO

Reserves of the Tavan Tolgoi JSC coal deposit increased twofold

Shenhua to import 30-50m tons of coke per year from Mongolia

Erdenet Mining brings MNT 370 billion to state budget

Asgat silver deposit to undergo development

MIAT to hire foreign-skilled management

Standard Bank consultant detained amid debt dispute

Khan Bank opens express banking center

Erdene announces new gold discovery at Altan Nar

Xanadu Mines forms JV for copper exploration in Mongolia

Jatenergy tests prove conversion of Mongolian brown coal to semi-coking coal

SouthGobi Resources announces restated financial and operating results

MSE cancels Khansh Invest‟s brokerage licenses

MNU partners with University of California for renewable energy

McDonalds International calls for franchisee to possibly open in Mongolia

Japanese ldquoSun Ricerdquo plant opens in Mongolia

MNBC migrates to DVB-T2 with Thomson Video Networks

Chinese firm negotiating to acquire Just Agro

Mongol TV exposes media corruption with fake McDonalds‟ story

EBRD adopts new strategy for energy and natural resources sector

Sustainability hosts SESA workshop

UB registers Maternity Hospital No 1

Rio Tinto‟s Sam Walsh digs in for the long haul

Kyrgyzstan files ecology damage lawsuit against Centerra

Economy

Fitch affirms two Mongolian banks at B revises outlooks to bdquoNegative‟

Mongolia score falls on political risks index for mining investment

Mongolia looks for second chance with foreign investors

CPI increases to 12 percent year-over-year in November

Growth seen in export of precious metals

MNT 788 billion will be entered into the Stabilization Fund

Economic Development Ministry plans to put 81 of budget into construction

TT power plant may need conclusion to OT dispute says director

Cabinet to conclude concession on Altanbulag-Zamyn Uud highway

MNT 116 billion will be spent for building emergency alarms in UB

EIU clarifies extent of official estimates of oil shale reserves

Mongolia and the threat of the resource curse

Mongolias nomads warm to solar power

Iron-ore and coal prices go separate ways

Are commodities traders bdquotoo big to fail‟

Smog darkens Shanghais prospects for becoming a global financial center

Politics

Minerals Policy enters final discussions

Parliament unanimously backs ldquoSmart Governmentrdquo initiative

Government calls to end practice of appointing MPs as ministers

Committee leaders to be elected this month

Foreign currency banned for miningexploration licensing fees

Mining Ministry to cooperate with Association of Fluorspar Explorers

DP rejects Amarjargal‟s resignation

MPP head to step down

Fifth round of negotiations for the Japan-Mongolia Economic Partnership Agreement

First Mongolia-China joint border commission meeting in Beijing

Belarus to open embassy in Mongolia in 2014

Howell New Jersey USA becomes sister city of Sukhbaatar district

Mongolian calligraphy added to UNESCO Cultural Heritage List

Though Improving Mongolia still reeling under corruption

MPP demands dismissal of ministers

Former Tavan Tolgoi JSC director arrested

Mongolia Turkmenistan join international racing federation

Mongol TV head media can help fix the big problems

ECONOMIC INDICATORS

MSE Top 20 Index by market Capitalization

Foreign-listed Companies with Mongolian Assets

Inflation

Central bank policy rate

Currency rates

Click on titles above to link to articles

SPONSORS

Khan Bank

International SOS

Wagner Asia Automotive

Oxford Business Group

Mongolian National Broadcasting

Breakthrough PR

BCM MONTHLY MEETING RECAP

The BCM meeting on 9 December with Bayanjargal Byambasaikhan in the chair was attended by 80

members and invited guests Byambasaikhan made reference to the changes made to the legal

environment for investors and how the president is putting his efforts into creating a ―smart

government to improve things even further

―I think this message is of a change for the economic life of Mongolia said Byambasaikhan

―Everyone is saying government is an obstacle and it needs to be changed Thats whats being

discussed now

BCM membership now stands at an all-time high The seven most recently joined members are

1 Amar Power LLC operates in the fields of construction of power plant and facilities relevant

configuration services consulting service sales and supply of electrical equipments Its skillful

engineering team cooperates with several organizations companies and research institutes of

Russia China the United States Canada Australia Turkey and Poland that perform similar

operations and activities

2 AREC Mortgage Corporation is a non-banking financial institution that specializes in real estate

finance in Ulaanbaatar AMC provides finance on mortgaged property and provides project finance

to real estate developers for their development projects

The banking system in Mongolia is still relatively underdeveloped AMC provides loans to SMEs at

lower rates than would otherwise be available to them All loans are well secured by property

mortgage AREC has a team in Ulaanbaatar that performs property management and asset

management for the assets AREC manages

3 Fiscal Audit provides audit consulting financial statement analyzing tax consulting and financial

statement assurance services from independent position to legal entities and business owners in line

with the Law of Mongolian Auditing Law of Mongolian Accounting and other International Auditing

and Financial statement preparation standards using with professional ethics of auditors

4 Fluor is one of the worldlsquos leading publicly-traded engineering procurement construction

maintenance and project management companies It was ranked No 1 on Fortune magazinelsquos

―Engineering Construction industry list of Americalsquos largest corporations and 1 in the same

category on Fortunelsquos annual survey of ―Worldlsquos Most Admired Companies

It operates over 1000 projects annually serving more than 600 clients in 79 different countries

with 41000 employees executing projects globally It has offices in 29 countries on six continents

and in 2012 celebrated 100 years of exceeding client expectations

5 Khaan Insurance LLC is a national investor-owned insurance company in Mongolia

Khaan Insurance was formed in 2012 to write insurance throughout the Mongolia It has 18 active

branches and was listed in the top 10 entities in terms of equitymdashall in just a year since its

establishment Khaan Insurances reinsurance partners are globally accredited companies

Its core businesses are property casualty and liability insurance

6 NovaTerra advises entrepreneurs large corporations governments financial institutions and

private equity firms Its approach is to be deeply involved with clients in long-term relationships

NovaTerra can invest alongside its clients and further invest part of its success fees into deals or

companies NovaTerra has a proven record in negotiating and closing projects and agreements with

the Mongolian Government

7 Outotec Oyj provides customers with technology solutions and services that support the entire

life cycle of operations Outotec tailors solutions to customerslsquo needs to ensure that they receive

the smartest value from virtually all types of ore while making the least impact on the

environment In addition its global sales and service network guarantees that there is always an

experienced Outotec professional on hand for support

Outotec Mongolia LLC was officially formed in Mongolia from January 2013 It now cooperates with

Erdenet Mining Co Oyu Tolgoi LLC Energy Resources LLC and Boroo Gold

J Bayarmagnai executive director of the Quality Supplier Development Center (a USAID grantee)

spoke first on his organization and its missions to increase the productivity and competitiveness of

small- and medium-size enterprises He said the center acts by intervening to facilitate in

relationships between buyers and suppliers and that its impact can be determined by looking at

added sales as indicators They also look to remove bottle necks that producers face in meeting the

needs of buyers

―This is very exciting because I believe it can bring real quality and value to business said

Bayarmagnai

One example offered was the centers experience with Wagner Asia Equipment LLC which required

a local company able to repair or salvage parts back to specifications The center sought out a

company and found Geomach which assisted in removing bottlenecks such as attaining financing

for a welding machine

―Basically we have no limit he said ―We can help SMEs deliver quality products and services to

buyers

L Sumati director of the Sant Maral Foundation spoke next to discuss progress made in Mongolias

battle against corruption He said it was impossible to deny all the progress made given all the

positive responses in his latest poll which surveyed 1200 people in the business community about

corruption

Sant Maral found that land access to be a leading challenge for businesses in Mongolia leading the

list of grievances since 2006 Other issues included mining licensing customs and regulations

Respondents said the most difficult agencies to work with were the Tax Office Special Inspection

Agency Customs and local authorities ―There may be some optimal time for development for the

future but for today it remains difficult he said

Meanwhile at the household level people reported dramatically less experiences with corruption

with the number of responders who said they had paid bribes falling from a high of 28 percent in

2007 to 8 percent this year He said there were generally positive feelings about the Independent

Agency Against Corruption and the arrests they had made too

D Jigjidmaa investment promotion program manager at the World Banks International Finance

Corp in Mongolia gave the final presentation on investment protections

―Mongolia is not so different from other developing countries especially regarding the political risks

of the last four to five years said Jigjidmaa

She said IFC had been engaged with the Mongolian government since March 2013 to collaborate on

the Investment Law that took effect in November It has also signed a cooperative agreement with

the Ministry of Economic Development to help improve the investment environment This includes

the establishment of a reference guide for complaints made by investors and how government

responded They hope to work closely with the government to improve grievance management and

dispute resolution

―Now were fine-tuning how the mechanism will work Every minister wants control over

investments in the sectors they oversee

The plan she said is to work from January 2014 to the following July to build awareness and a

stakeholder network Afterward they will then benchmark international experiences such as the

improvements made to South Koreas investment environment since 2009 to help direct the

evolution of Mongolias dispute resolution mechanism

BUSINESS

OYU TOLGOI APPROVES 2014 BUDGET

The Oyu Tolgoi LLC board of directors unanimously approved the company program plan and

budget for 2014 The decision was taken at the quarterly board meeting held in Ulaanbaatar from

11 to 12 December

―Itlsquos great to have unanimous board support for the projectlsquos coming year said Craig Kinnell

president and chief executive officer of Oyu Tolgoi ―This is a sign of confidence in the entire

8000-strong Oyu Tolgoi team After safely ramping up production this year welsquore now looking

forward to our first full year of exporting business

Source Turquoise Hill Resources Ltd

OT MINE‟S bdquoPHASE TWO‟ BANK FINANCING PLEDGES EXTENDED

Turquoise Hill Resources Ltd said on Monday that parent Rio Tinto PLC had secured extended

commitments from the banks that have agreed to finance the underground expansion of the Oyu

Tolgoi copper and gold mine The extension to March 31 gives Rio Tinto more time to resolve a

dispute over costs with the government of Mongolia Rio which owns 508 percent of Turquoise Hill

and operates Oyu Tolgoi put the mines more than USD 5 billion expansion on hold in July saying

the Mongolian government wanted parliament to approve the projects financing Mongolia which

will not see its share of Oyu Tolgois profit until Turquoise Hill recovers its costs has complained

that total costs on the first phase were USD 2 billion higher than planned It wants assurances such

overruns will not happen again and hopes to resolve the dispute by early 2014 a government

source told Reuters last month Turquoise Hill which owns 66 percent of Oyu Tolgoi had said in

June that financing commitments would expire Dec 12 The Vancouver-based company announced

a rights offering to raise up to USD 24 billion in November citing the delays at Oyu Tolgoi A

feasibility study for the underground expansion is still on track for the first half of 2014 the

company said on Monday It also confirmed that it expects Oyu Tolgoi to produce 150000 to

175000 tons of copper in concentrates and 700000 to 750000 ounces of gold in concentrates in

2014

Source Reuters

TRAFIGURA AGREES TO OFF-TAKE DEAL FOR OYU TOLGOI MINE

Commodity trader Trafigura has agreed to provide financing for the massive Oyu Tolgoi mine in

exchange for a long-term deal to buy an undisclosed portion of the output it said on Monday

Trafigura which markets a wide range of metals including copper concentrate referred to the off-

take deal in its first fully public annual report since being set up 20 years ago We also provide

finance in exchange for long-term supplies For instance we recently signed an off-take agreement

with Oyu Tolgoi in Mongolia it said giving no further details

Rio Tinto put the mines USD 5 billion expansion on hold in July saying the Mongolian government

wanted Parliament to approve the projects financing Mongolia hoped to resolve the dispute by

early 2014 a government source told Reuters last month Fifteen banks that have agreed to finance

the expansion have told Rio they will extend their commitments which were due to expire at the

end of the year until next March a statement said on Monday Trafigura also said the global copper

market is expected to be broadly in balance next year as low inventories and a recovery in global

growth offset stronger mine output

We dont expect prices to rise markedly but on the other hand with concentrates trading at close

to cost levels for some producing areas a collapse in prices is also unlikely the Trafigura report

said

The benchmark copper price on the London Metal Exchange has shed 83 percent this year weighed

down by more output from new mines such as Oyu Tolgoi and improved operations at many existing

mines The global copper market is expected to widen its surplus next year to 328000 tons from

182000 tons this year analysts polled by Reuters said in October

Source Reuters

OYU TOLGOI TO COOPERATE IN TAVAN TOLGOI POWER PLANT PROJECT

Oyu Tolgoi LLCs board of directors agreed to participate in the Tavan Tolgoi power plant project

following a series of meeting held from 11 to 13 December

The board discussed issues that remain under dispute at the meeting before giving approval of the

2014 budget After the meeting board members announced their plan to cooperate in the Tavan

Tolgoi power plant project Issues regarding involvement and the volume of investment are

expected to be discussed early next year Also discussed was the issue of the underground mine of

Oyu Tolgoi but the board did not come to any conclusion on the matter Both Mongolian and

foreign board members agreed to grant a loan to resolve the funding issue but did not set on a date

of when the loan could be received

Source Montsame

ERDENES TT UNLIKELY TO PAY $160M DEBT TO CHALCO IN 2013 SAYS CEO

Erdenes Tavan Tolgoi LLC will not likely meet its target for paying off debt owed to Aluminum Corp

of China Ltd (Chalco) by the end of this year its chief executive told newspaper Uls Turiin Toim

―To date we have paid off about 60 percent of total debt and the remaining amount is about USD

160 million out of USD 350 million said Erdenes Tavan Tolgoi Chief Executive Officer Yachil

Batsuuri

The state owned coal miner will sell 600000 tons of coal on top of the one million tons of coal

already sold for a net profit of USD 70 million to USD 80 million Batsuuri said A six-month halt in

shipments was the primary factor for delayed payment of total debt owed he said Although

production at Tavan Tolgoi was on target he said the transportation issues prevent it from making

the sales required to fully pay of its debt

―The coal being extracted from the East Tsankhi of the Tavan Tolgoi site is fully devoted to paying

off the Chalco debt of USD 350 million and therefore in order to work benefaction we have been

developing the West Block since July and started to export coal from September this year said

Batsuuri

He said Mongolia had successfully negotiated new terms for coal sales after months of selling its

coal reserves at a below-market rate The current deal is due to expire at the end of 2013 he said

He added that Erdenes Tavan Tolgoi plans to issue shares on international markets in 2015

Source Info Mongolia

RESERVES OF THE TAVAN TOLGOI JSC COAL DEPOSIT INCREASED TWOFOLD

A court ruling has allowed Tavan Tolgoi JSC to expand the size of its operating territory for an

added 70 million tons of reserves

Tavan Tolgoi JSC which operates upon the same coal deposit as Mongolian Mining Corp (MMC) and

Erdenes Tavan Tolgoi (Erdenes TT) saw its total reserves double with the expanded licensed area

Tavan Tolgoi has signed a memorandum of understanding with Chinas Shenhua Group to supply

coking coal for 20 years and will work in cooperation with Erdenes TT MMC and Shenhua for the

construction of a rail line to China

The rail line will connect the Mongolias Gashuun Sukhait port and the Gantsmod port of China

Source Unuudur

SHENHUA TO IMPORT 30-50M TONS OF COKE PER YEAR FROM MONGOLIA

Chinese coal producer Shenhua Group Corp Ltd will import 30 million to 50 million tons of coke

from Mongolia per year in the future

Zhang Guangjun deputy general manager with the Shenhua Science and Technology Research

Institute disclosed at a forum on 4 December that it would import 30 million to 50 million tons of

coke from Mongolia per year in the future Available data shows that the nation imported a total of

about 30 million tons of coke in the first half of this year and in line with industry observers the

import of Shenhua will deliver a strong impact on the domestic coke market

It has taken the group about a decade to gain the exploitation right of a Mongolia-based Tavan

Tolgoi coal mine Policy factors have been the strongest barrier from reaching that goal

Information from the China National Coal Association (CNCA) released on its website at the start of

November shows that it had signed a memorandum of understanding with three Mongolian firms

namely Erdenes Tavan Tolgoi LLC Energy Resources LLC and Tavan Tolgoi JSC on railway

construction cooperation and boosting coal trade And in line with some industry observers this is a

prelude to its success in gaining the exploitation right

Zhang reiterated that its failure to gain the exploitation right had a close tie with foreign

investment policies of Mongolian and so far the government had not even reached a conclusion

internally People in the circle said at the start of October that Mongolia released new policies for

foreign investments recently and according to the policies provided that a state-owned foreign

firm wanted to invest in industries including mining banking communications and news and media

in Mongolia Purchasing a stake exceeding 33 percent in any of these economic sectors by a foreign

state-owned entity requires a nod from concerned Mongolian authorities only at the ministerial

level And this might mean that the threshold for Chinese firms to invest in the Mongolian mining

industry would be lower

Source MENAFN

ERDENET MINING BRINGS MNT 370 BILLION TO STATE BUDGET

Erdenet Mining Co represents 30 percent of government revenues for industry contributing MNT

370 billion to the state budget in the year to December

According to the Erdenet Minings chief executive the amount of MNT 66 billion will go toward the

state by the years end Last year company represented 13 percent of income from taxes 10

percent of gross domestic product (GDP) and 20 percent of total export

Source Zuunii Medee

ASGAT SILVER DEPOSIT TO UNDERGO DEVELOPMENT

The board of Mongolialsquos 51 percent-owned joint venture with Russia Mongolrostsvetmet LLC decided

to begin development of the Asgat silver deposit

Asgat located in northwest Mongolia 1800 kilometers from Ulaanbaatar has a total average ore

reserve of 231 million tons and estimated 246 million ounces of silver The board agreed that the

project is economically viable now that a paved road leading to the development has been

complete The project is owned 51 percent by Erdenes MGL LLC and 49 percent by Russialsquos Rostec

The board agreed to the establishment of a working group to proceed with the next steps for

development

Source Business-Mongoliacom

MIAT TO HIRE FOREIGN-SKILLED MANAGEMENT

The Cabinet of Ministers decided on 14 December to hire a foreign-skilled executive management

team to operate state-owned MIAT Mongolian Airlines

The Cabinet hopes in hiring a foreign management it may produce greater profits increase its

competitiveness ensure greater flight safety and better prepare national staff The Cabinet

relayed orders to the State Property Committee and MIATs representative Council

Source Montsame

STANDARD BANK CONSULTANT DETAINED AMID DEBT DISPUTE

Mongolia has issued a travel ban on a New Zealand national consulting for Standard Bank Group Ltd

amid an escalation in a dispute with a local company over a debt repayment

Chris Bradley was part of a five-person team from Africalsquos biggest lender that visited Ulaanbaatar

last month to seek talks with the government over its USD 131 million in loans to Just Group LLC a

holding company said two people familiar with the matter The people asked not to be named

because they arenlsquot authorized to speak publicly Standard Bank alleges the loans are in default and

filed a lawsuit in July in a London court seeking repayment

Standardlsquos loans were made between 2007 and 2010 to Just Group to fund raw materials supplies

and debt repayments at state-controlled Erdenet Mining Corp and Ulaanbaatar Railways Bradley

said by phone on 2 December that he had been due to depart Mongolia on 29 November but ―is

restricted by the authorities from leaving Bradley said he was advised of his situation by local

police and that he is a suspect in an investigation

―I went in gladly to assist the police and compare notes said Bradley ―We are focusing on the

commercial aspects of this transaction and they are focusing on the criminal aspects The two

although linked are also running in parallel

Mongolia has barred foreign executives from leaving the country during investigations into

companies before Justin Kapla a US citizen and then-president of coal miner SouthGobi Sands

LLC was banned from departing at the end of last year and is still in the country after the nationlsquos

Independent Authority Against Corruption launched a probe into the companylsquos mining licenses

Sharavlamdan Batkhuu Just Grouplsquos controlling shareholder and other companies in the group

have defaulted on loans since 2011 Danjilaa Ganbat director of the banking supervision

department at Mongol Bank the nationlsquos central bank said in July Ganbat made his comments

after Just Grouplsquos Savings Bank Mongolialsquos fifth-largest lender was declared insolvent due to

affiliated companies defaulting on loans Batkhuu and Just Group are among the defendants in the

Standard Bank lawsuit

Standard Bank wasnlsquot able to arrange any meetings with Mongolialsquos government to resolve the debt

dispute the people familiar with the matter said Bradley was the Mongolia specialist on the team

and the only member not directly employed by the bank said one Bradley said he worked as an

employee of Standard Bank from 1999 to 2001 and has consulted on a contract basis for the bank

over the last nine years including five visits to Mongolia since May ―to engage with the government

on our issues the debt recovery

Cabinet Secretary Saikhanbileg Chimed said by e-mail on 3 December that he thinks itlsquos better to

solve the debt dispute out of court and planned to ―push appropriate people to respond

Bradley 50 is a native of Hokitika New Zealand ―In the absence of a New Zealand consulate the

British Embassy is working on behalf of Bradleylsquos consular welfare said Julian Pearson Deputy

Head of Mission at the British Embassy in Ulaanbaatar on 2 December

Source Bloomberg

KHAN BANK OPENS EXPRESS BANKING CENTER

Khan Bank LLC opened an express banking center on 10 December

The Express Banking Center services include a new ATM to deposit cash an E-Corner which allows

customers to make transfers between Khan Bank accounts review accounts through Internet

banking and receive account slips They can also be used to obtain foreign remittances

The Banking Centers are located at the State and Ulaanbaatar department stores on Peace Avenue

and will be open 24 hours every day

Source Khan Bank LLC

ERDENE ANNOUNCES NEW GOLD DISCOVERY AT ALTAN NAR

Erdene Resource Development Corp reported significant gold and silver results from the second

phase of trenching completed during the fourth quarter at its Altan Nar gold-polymetallic project

Results have been received for an additional 11 of the 28 trenches completed The trenching

program was designed to test 10 distinct mineralized zones across the 55-kilometer-long Altan Nar

target area Samples from the final thirteen trenches over the central Altan Nar prospect area have

been submitted to SGS laboratories with results anticipated during first quarter 2014

Highlights include the discovery of a new high-grade gold mineralized zone one kilometer north of

Discovery Zone (Maggie prospect) Significant gold mineralization (Northbow prospect) identified in

the northern portion of a previously untested 700-meter-long anomaly that widens and intensifies

to the south and gold and base metal mineralized zones confirmed at northwestern and

southeastern extent of the 55-kilometer-long Altan Nar target area (Northwest and Far South

prospects) All 11 trenches testing 6 distinct targets returned highly anomalous precious and base

metal mineralization

Source Erdene Resource Development Corp

XANADU MINES FORMS JV FOR COPPER EXPLORATION IN MONGOLIA

Xanadu Mines Ltd has established a joint venture company Mongol Metals with Ganbayar

Lkhagvasuren director and substantial shareholder of Xanadu to execute Xanadulsquos business and

copper exploration strategies

Xanadu recently returned broad copper and gold values from a 780-meter trenching program to test

coincident geophysical and geochemical anomalies at its Oyut Ulaan copper-gold porphyry project

in Mongolia The program has defined three near-surface mineralized porphyry centers with results

up to 85 meters at 075 percent copper with 054 grams per ton gold including 36 meters at 149

percent copper and 102 grams per ton gold The trenching was performed concurrently with the

recent drilling at the Diorite Hill prospect and drill testing of the new targets is scheduled within

the next phase of drilling

Source Proactive Investors

JATENERGY TESTS PROVE CONVERSION OF MONGOLIAN BROWN COAL TO SEMI-COKING COAL

Jatenergy Ltd is on track to pursue its Mongolian coal upgrading plans after testing proved that

coal from the country were highly suitable for conversion using Coal Plus technology

This sets the stage for the immediate start of its investment strategy with Monrospromugoli LLC

which could result in a USD 2 million upfront technology payment and ongoing annual royalties of

USD 176 million The test results had demonstrated that the high moisture high volatile low

calorific Mongolian brown coal can be easily converted into semi-coking coal using Coal Plus

―This report independently verifies that Coal Plus has potential in Mongolia executive chairman

Tony Crimmins said He added ―As the technology is already commercialized and in use in 5

locations in China for over 4 years we see high probability of financing this project in Mongolia

The confirmation that Mongolian brown coal is suited for conversion using Coal Plus into higher

value products paves the way for Jatenergylsquos agreement with Monrospromugoli to go ahead


SOUTHGOBI RESOURCES ANNOUNCES RESTATED FINANCIAL AND OPERATING RESULTS

SouthGobi Resources Ltd released its regular update on restated financial statements and

management discussion and analysis presentation In the consolidated financial statements for the

year ended 31 December 2012 the restated financial position at 31 December 2012 31 December

2011 and 1 January 2011 the results of operations for the years ended 31 December 2012 and 31

December 2011 and the statement of changes in equity and statement of cash flows for the years

ended 31 December 2012 and 31 December 2011

Following the correction in SouthGobilsquos point of revenue recognition revenues from affected coal

sales contracts are recognized in later periods than previously reported and some revenue has been

reported after 31 December 2012 as not all contracted coal has been collected by customers

During the periods from 2010 to 31 December 2012 trade and other receivables have been adjusted

lower and deferred revenue recognized to reflect revenue being recorded in later periods than

previously reported The inventory balance increased over the same period to reflect higher coal

inventory stockpile balances Prepaid expenses also increased with a corresponding decrease in

trade and other payables as coal sales royalty expenses were recognized in late r periods than

previously reported

The consolidated financial statements auditorslsquo reports and related financial information for the

affected periods contained in SouthGobilsquos filings filed prior to 14 November 2013 should no longer

be relied upon The restatements do not result in a change in cash at the end of any period The

statement of cash flows as reported does not change except for the reclassification of various items

within operating activities

Separately on 19 November 2013 SouthGobi paid USD 81 million in cash to the China Investment

Corporation in accordance with the convertible debenture agreement The amount related to the

64 percent per year cash interest payment and is payable semi-annually Further on 21 November

2013 SouthGobi issued 35 million common shares to China Investment

Source SouthGobi Resources Ltd

MSE CANCELS KHANSH INVEST‟S BROKERAGE LICENSES

The Mongolian Stock Exchange has invalidated the brokerage and securities dealing licenses of

Khansh Invest LLC on 4 December

―The companylsquos clients will be transferred to other brokerage firms that conduct professional

services in the market with licenses for broker-dealer related issues and it shall be governed

according to the concerning jurisdiction and regulations said the Source

Source Mongolian Stock Exchange

MNU PARTNERS WITH UNIVERSITY OF CALIFORNIA FOR RENEWABLE ENERGY

Mongolian National University (MNU) and the University of California announced 13 December the

signing of a memorandum of understanding to conduct high temperature solar thermal technology

research in Mongolia in 2014

Under the terms of the agreement the Mongolian Innovation and Technology Centre at MNU will

have a 100-kilowatt high-temperature non-tracking solar array on their campus that is not only the

first and the largest solar array of its kind in Mongolia but anywhere in the world

―We are delighted to be working with the University of California on this great project and we

particularly excited to make this announcement on the 15th Anniversary of MNU said MNU

Founder and Chairman Munkhbat Lkhagvasuren ―The thermal solar array will be installed

monitored and evaluated by our MNU Engineering Department under the advice and instruction of

the faculty of the University of California Munkhbat said

The technology was developed by University of Californialsquos solar director and professor Roland

Winston who is also a world-renowned scientist in the solar research field Winstonlsquos technology is

already operational at the University of California Purdue University and the Gas Institute of

Chicago although it has not yet been released for commercial deployment anywhere in the world

―My goal in working with MNU is to provide the technology and the staff he said ―Ultimately it

is the Mongolian engineering students that will be required to install and operate these systems as

well as determine the scope of the application beyond simply providing a high temperature heat

source

Source Mongolian National University

MCDONALDS INTERNATIONAL CALLS FOR FRANCHISEE TO POSSIBLY OPEN IN MONGOLIA

McDonalds International sent out a press release on December 10 calling for partners to approach

the company to open its first burger outlets in Mongolia

―We have not set a firm date for the development of McDonalds restaurants in Mongolia In the

future we may take steps to open McDonalds restaurants in Mongolia and if we seek a franchisee to

represent us the person will have the following characteristics

―High integrity business experience in the market history of success ability to work well with a

franchisor ability to complete a training program that can take about nine months willingness to

devote full time to the McDonalds restaurant business retail experience knowledge of real estate

market significant capital

The press release ends by inviting candidates to apply for a franchise

Source BNE

JAPANESE ldquoSUN RICE PLANT OPENS IN MONGOLIA

An opening ceremony for Mongolialsquos Technik Import LLC and Japanlsquos Niigata Kubota ―Sun Rice

factory in Ulaanbaatar on December 10

Niigata brown rice will be imported sorted and packed at the Ulaanbaatar factory which has a

daily capacity for the production of two to three tons of packaged rice The plant is equipped with

fully automated machines from Kubota The rice will begin sale in the domestic markets at MNT

5000 to MNT 7000 per kilogram

―Mongolia has been receiving rice from the people of Japan under aid program for many years

said Deputy Minister B Tsogtgerel ―During the latter event I and Ambassador Takenori Shimizu

were discussing that the period of receiving rice as aid is over and now the time of reciprocal

assistance has come and the ―Sun Rice factory is a sample of joint cooperation to produce the

world known quality in Mongolia

Niigata Prefecture is the second largest producer of rice in Japan after Hokkaido


MNBC MIGRATES TO DVB-T2 WITH THOMSON VIDEO NETWORKS

Video Mongolia Digital Broadcasting (MNBC) has launched Mongolias first ever DVB-T2 service using

head-end systems from Thomson Video Networks

Launched in 2007 MNBC was Mongolias first digital terrestrial TV network operator and will now be

able to broadcast up to 120 digital TV channels over five UHF transponders to maintain its position

and compete with Mongolias national satellite operator Working with systems integrator Digital

Horizon MNBC has deployed TVNs Vibe EM1000 multi-channel SD encoders and NetProcessor 9030

multiplexer and video processor with an embedded DVB-T2 gateway

Source Rapid TV News

CHINESE FIRM NEGOTIATING TO ACQUIRE JUST AGRO

A Chinese company is in negotiations to purchase Mongolias only meat exporter said a company

source

Just Agro LLC which owns 11 meat companies with the Makh Market brand is reportedly the subject

of negotiations for sale to a Chinese entity said the source who asked not to be named The Just

Agro company provides 40 percent of meat processing and 30 percent of storage in Mongolia and is

the only meat exporter in Mongolia

Last July authorities revealed that Just Grouplsquos Sh Batkhuu falsified signatures of the State

Property Committee and Erdenet Mining Cos director to receive USD 131 million in loans from

South Africas Standard Bank putting up the Erdenet Mine as collateral for the credit After Just

Group was dissolved the central bank took over all its assets including Just Agro

Source Unuudur

MONGOL TV EXPOSES MEDIA CORRUPTION WITH FAKE MCDONALDS STORY

An investigative news show on Mongol TV planted a false news story last week with all 9 of

Mongolias major local media outlets about McDonalds opening a branch in the country The

exercise was undertaken to expose corruption and the rampant practice of paid-for journalism in

Mongolia Mongol TV said

The appearance of a Mr P Rank promising McMutton burgers and goat milk-shakes in the

official press release set off no alarms at the media networks which took between USD 150 and

USD 700 from an undercover journalist to run the story on their websites on the front page of three

newspapers and on TV news on three networks including the local public broadcaster

―Soon the first letter our children learn will be Mlsquo Mr P Rank says with a golden shining smile

according to the fake release which also claimed McDonalds was to be sponsored by Mongolialsquos

Health Ministry and sold in schools all over the country

After Mongol TV unveiled the sting it invited representatives of the 9 duped media organizations to

explain their actions though all reportedly declined

Source Hollywood Reporter

EBRD ADOPTS NEW STRATEGY FOR ENERGY AND NATURAL RESOURCES SECTOR

The European Bank for Reconstruction and Development (EBRD) has adopted a new strategy that

will guide its investments in the energy and natural resources sector for the next five years EBRD

press release reported Tuesday

The bank sets out a commitment to helping its countries of operations move toward a sustainable

energy future The EBRD region which stretches from Morocco to Mongolia is faced with a

challenge of providing sustainable secure and affordable energy The energy strategy identifies

energy efficiency as the first and best response to this challenge

―What the EBRD brings to this challenge is our focus on structural reform said EBRD Managing

Director for Energy and Natural Resources Riccardo Puliti ―We have learnt from our work that

when properly channeled market forces can be harnessed to make energy sectors more sustainable

- environmentally economically and politically

The bank intends building on its well-established support for the Extractive Industries Transparency

Initiative by requiring clients operating in the extractive industries sector to disclose subsoil

contracts and licenses as well as all payments they make to local and national authorities

In the case of coal-fired generation the strategy supports the move to lower-carbon fuel sources in

response to the challenge of climate change In alignment with other international financial

institutions the EBRD will not finance any coal-fired power generation projects except in rare and

exceptional circumstances in which there is no feasible alternative energy source

The strategy also reinforces the EBRDs growing support for renewable energy which will include

financing both energy-generating capacity and key infrastructure such as transmission lines and

backup generation

―We have also developed and invested in the first wind farm in Mongolia - where it was also the

first new energy generator in 30 years said Puliti

Source Trend News Agency

SUSTAINABILITY HOSTS SESA WORKSHOP

Sustainability East Asia LLC organized a National Validation Workshop on 10 December as part of its

responsibilities for establishing a strategic environment and social assessment (SESA)

Participants from across the country arrived to represent government the private sector and non-

government organizations to discuss the proposed SESA The next step will be to assess mining

growth options and identify at least three likely growth scenarios which mining could bring to

Mongolia Afterward the SESA team will evaluate the environmental and social issues that are likely

to arise as a consequence of each scenario

The Mining Sector Institutional Strengthening Technical Assistance Project commissioned

Sustainability to conduct a strategic environmental and social assessment for Mongolias mining

sector

Sustainability will also perform a gap analysis of the legal regulatory and institutional capacity to

deal with each possible scenario An action plan is expected for SESA by summer 2014

Source Sustainability East Asia LLC

UB REGISTERS MATERNITY HOSPITAL NO 1

The new building annex for Maternity Hospital No 1 was registered as capital city property

13 December at a regular session of the Ulaanbaatar Citizens Council This maternity hospital

building was built with financing from Boroo Gold and was presented as a gift to the people of

Mongolia With a capacity to receive 150 mothers and children its total cost was MNT 92 billion It

includes the hospital building of 1169 square meters external heating clean water and sewer

water pipelines a diesel station an asphalt road a pedestrian walkway outdoor vegetation and an

external LED sign

This new building was commissioned 15 June The new annex has one vacuum operation room and

two standard operating rooms on the fifth floor 100 beds for women and 50 beds for infants on the

third and fourth floors paraclinical and sanitation units a pharmacy a conference room and

training rooms on the second floor an ambulatory section and reception on the first floor and staff

cafeteria closets washrooms and a disinfection chamber in the basement

Source Centerra Gold Inc Newsmn

RIO TINTO‟S SAM WALSH DIGS IN FOR THE LONG HAUL

Sam Walsh wants to remain as Rio Tinto PLClsquos chief executive beyond the end of his contract and

has told the minerlsquos board he will not be ready to retire in 2015

―I am there if they want me said Walsh ―Likewise if therelsquos someone else who can come in and

take what Ilsquove done to the next level thatlsquos fine too

The Australian 63 later this month replaced Tom Albanese 11 months ago after Rio decried

―unacceptable writedowns on its coal business in Mozambique Walsh says investors support his

strategy to cut costs and sell non-core assets

Walsh said he has explored selling all of Riolsquos aluminum business this year in what would be a

signature reversal of Albaneselsquos costly purchase of Alcan in 2007 But he says no offers have been

good enough while the business is not generating enough cash for an initial public share offering or

spin-off to Riolsquos shareholders Walsh has also been frustrated in attempts to sell Riolsquos diamonds

business

―Who would thank me if I sold something under value just to get a tick At the end of the day you

have to be pragmatic about things he said Offers ―werenlsquot in the bailiwick of where we thought

they should be

The Alcan deal epitomized Riolsquos poor recent dealmaking and Walsh admits the company had

―relaxed some of the controls it should have had Rio staff has now ―refound their mojo he said

On operating costs which Rio has said it will cut USD 3 billion next year he said ―There is rolling

momentum and thatlsquos important

Source Financial Times

KYRGYZSTAN FILES ECOLOGY DAMAGE LAWSUIT AGAINST CENTERRA

Kyrgyzstan is suing Canadas Centerra Gold Inc for 15 billion soms (USD 304 million) over what the

government says is ecological damage marking a new twist in a bitter row with the investor running

the largest Kyrgyz gold mine

The state environmental protection and forestry agency said in a statement that it had filed the

lawsuit at an economic court in the Kyrgyz capital Bishkek saying Centerra Gold had ignored its

earlier request for voluntary compensation It said the alleged ecological damage included

emissions of pollutants and waste dumps It said its claim referred to the companys operations

between 1996 and 2011

Centerra had said earlier that it viewed the governments claim as exaggerated and unfounded

The company disagrees with these charges and plans to give explanations on this matter in the

nearest time said a spokesman for the Kumtor Operating Company (KOC) the Centerra subsidiary

that runs the Kumtor mine in the Tien Shan mountains

The Toronto-listed miner which also owns the Boroo gold mine in Mongolia is already under

pressure from the Kyrgyz parliament which demands the state hold 67 percent in a proposed joint

venture to run the mine In September the government and Centerra Gold signed a memorandum

of understanding paving the way for Kyrgyzstan to swap its 327 percent stake in the Canadian firm

for 50 percent in a venture that would own Kumtor But in October the legislature voted to tear up

the document and seek control over the planned venture It gave the cabinet until 23 December to

report on its talks with Centerra Gold on setting up the venture Pearson said Centerra is having

constructive dialogue with the Kyrgyz government

Source Reuters

ECONOMY

FITCH AFFIRMS TWO MONGOLIAN BANKS AT B REVISES OUTLOOKS TO bdquoNEGATIVE‟

Fitch Ratings on 16 December revised the outlook on the Long-Term Issuer Default Ratings (IDRs) of

Khan Bank LLC and XacBank LLC to ―Negative from ―Stable At the same time the agency

affirmed the two Mongolian banks IDRs and viability ratings at B and b

The revision of the outlooks on both banks IDRs reflects weakening operating conditions as

indicated by the change in the Outlook for the Mongolian sovereign (B+) to Negative from Stable on

13 December The sovereigns outlook was revised due to mounting risks to the countrys economic

and financial stability Ratings on the two banks could be downgraded if pressures on asset quality

and liquidity intensify Persistent local-currency depreciation would reduce borrowers repayment

capacity and could lead to accelerated deposit withdrawals given the countrys high level of

dollarization

The banks ratings also remain sensitive to the withdrawal of credit stimulus as this could result in

asset deterioration on slowing economic growth or higher inflation Further decline in the

governments international reserves could also trigger a negative rating action as the banks

currency-related risk is counterbalanced by the authorities swap facility and unlimited foreign-

currency conversion Both banks ratings are also sensitive to any changes in their steady access to

capital from private-sector owners

Khan Banks Support Rating and Support Rating Floor (SRF) reflect Fitchs view that as the largest

bank in Mongolia it would be likely to receive state support in case of need However the

Mongolian sovereigns ability to provide timely support to the banking system remains limited as

underlined by its IDR of B+ A downgrade of the sovereign ratings would point to weakening in the

Mongolian governments ability to provide timely support to the banking system which put negative

rating pressure on Khan Banks SR and SRF In contrast Fitch expects XacBanks SR and SRF of 5B-

to be maintained even if the sovereigns rating is downgraded to B This is because the current SR

and SRF already reflect the agencys view that support from the sovereign in case of need cannot

be relied upon

The rating actions are as follows Khan Bank Long-Term Foreign-Currency IDR affirmed at B

Outlook revised to Negative from Stable Short-Term Foreign-Currency IDR affirmed at B Long-

Term Local-Currency IDR affirmed at B Outlook revised to Negative from Stable Viability Rating

affirmed at b Support Rating affirmed at 4 Support Rating Floor affirmed at B XacBank Long-

Term Foreign-Currency IDR affirmed at B Outlook revised to Negative from Stable Short-Term

Foreign-Currency IDR affirmed at B Long-Term Local-Currency IDR affirmed at B Outlook revised

to Negative from Stable Viability Rating affirmed at b Support Rating affirmed at 5 Support

Rating Floor affirmed at B-

Source Fitch Ratings

MONGOLIA SCORE FALLS ON POLITICAL RISKS INDEX FOR MINING INVESTMENT

An annual survey by Behre Dolbear of political risks saw Mongolia decline 5 points in an index

ranking Mongolia 19th out of 25 countries

Mongolia this year received a score of 269 compared with 32 last year Leading the countries

surveyed was Australia down 07 points from last year Russia with a total score of 171 compared

with 16 last year was the lowest ranking

The 25 countries considered in this yearlsquos survey are ranked based on seven criteria

-the countrylsquos economic system

-the countrylsquos political system

-the degree of social issues affecting mining in the country

-delays in receiving permits due to bureaucratic and other issues

-the degree of corruption prevalent in the country

-the stability of the countrylsquos currency and

-the competitiveness of the countrylsquos tax policy

Each criterion is rated on a qualitative scale from one (worst) to 10 (best) that reflects conditions

that promote investment growth in the mining sector The maximum score attainable for a country

is 70 points

Source Behre Dolbear Group

MONGOLIA LOOKS FOR SECOND CHANCE WITH FOREIGN INVESTORS

Saruul Ganbaatar the deputy head of Mongolias stock exchange hopes the countrys days of

interventionist economic policies are over and new laws ensuring foreign investors access to the

frontier markets industries will bring back sorely needed cash

Ganbaatar 32 who cut his investment teeth in Chicagos financial houses after graduating from

Loyola University is careful not to over-promise on what the stock market can deliver in 2014 and

beyond in terms of new listings or overall growth In October a law was passed easing ownership

restrictions for private companies to invest in the strategic industries A Securities Markets Law

coming into effect 1 January 2014 is expected to provide the key ingredient to attract deep

pocketed institutional investors such as mutual funds to invest

This really is the missing ingredient said Ganbaatar who has been traveling the globe promoting

the changes in the laws to global investors for the past two weeks

The stock index fell 19 percent in 2012 and year-to-date is down 115 percent although it did start

to climb with the newly passed laws On 1 January the new Securities Markets Law will allow

Mongolias commercial banks to offer custodial banking services Custodial banks serve as safeguards

for a firm or individuals financial assets playing a critical role in the final settlement of market

transactions Total market capitalization now is between USD 900 million and USD 1 billion Dont

expect the number of new listings to mushroom There may instead be a cull of companies Fifty-

five to 60 of them many of which have not traded in years are being reviewed for potential

delisting

The Mongolian Stock Exchange 100 percent state-owned is perhaps itself a candidate for

privatization It has been in a strategic partnership with the London Stock Exchange for two and a

half years

They have the right of first refusal he said

Source Reuters

CPI INCREASES TO 12 PERCENT YEAR-OVER-YEAR IN NOVEMBER

The National Statistical Office reported a 12 percent increase in the national consumer price index

(CPI) in November year-over-year

The CPI growth which also in November grew 13 percent from the previous month was explained

by a 14 percent increase in food prices and non-alcoholic beverages 23 percent for clothing

footwear and fabrics and 07 percent for housing water electricity and fuels


GROWTH SEEN IN EXPORT OF PRECIOUS METALS

The export value of precious metals grew 114 percent in November from the month before and 63

percent from the same period in 2012 according to the National Statistical Office

Exports totaled USD 38 billion in the year to December while imports grew to USD 58 billion The

foreign trade balance saw a deficit of USD 2 billion November saw exports of USD 381 million and

imports of USD 514 million with exports and imports in decline between July and November The

value of export products for the first 11 months was USD 11 billion Despite the gain in precious

metal exports exported minerals which represented 81 percent of all exports in the year to

November fell 129 percent from the year before

Source Zuunii Medee

MNT 788 BILLION WILL BE ENTERED INTO THE STABILIZATION FUND

The Stabilization Fund is set to collect MNT 49 billion this year and MNT 298 billion next

The Stabilization Fund was established to collect surplus revenue in years of economic gains from

the mining sector to cushion possible annual losses during economic downturns and weak

commodity demand Any gain in the price for gold and coal next year will also be reflected in

allotments to the fund

Source Zuunii Medee

ECONOMIC DEVELOPMENT MINISTRY PLANS TO PUT 81 OF BUDGET INTO CONSTRUCTION

The Economic Development Ministry plans to invest MNT 814 percent of its total investment budget

into construction

Beginning 1 January 2014 the ministry will provide MNT 9303 in loans toward the construction

sector The ministry will spend 39 percent of its budget for reconstruction and repair 10 percent

for the purchase of new techniques and technical equipment 3996 percent for infrastructure

2743 percent for education and health 636 percent for employment and agriculture and 2926

percent for other sectors of the economy

Projects include the construction of 30 clinics 27 cultural centers 6831 km of paved roads and

1032 m length of bridges Mongolia has received USD 55 billion in aid in the last two decades of

which 55 percent was in the form of low rate loans and 45 percent as non-repayable grants for

investments into agriculture infrastructure power and health sectors

Economic growth since 2011 has allowed Mongolia less aid than in the past The government has

now turned its focus on providing funding with concession agreements to large scale projects such

as the Nariin Sukhait-Shivee paved road and the power station at Mogoin gol Other projects include

Power Plant No 5 the Altanbulag-Ulaanbaatar-Zamyn Uud highway the Tavan Tolgoi- Khanbogd-

Khangi road and the Tuul Songino water reservoir complex

Source Zuunii Medee

TT POWER PLANT MAY NEED CONCLUSION TO OT DISPUTE SAYS DIRECTOR

Uninterrupted development of the Tavan Tolgoi power plant will ride on the outcome of disputes

concerning Oyu Tolgois underground mine said the director of the plant

―One of the main risks is the issue of a main user Enkhsaikhan said ―The key buyer of the power

from the TT Power Plant is OT Due to the uncertainty over phase twolsquo and unresolved matters

with the government of Mongolia OT is not regarded as a reliable buyer on a stand-alone basis

He added that the power company may request a guarantee from Oyu Tolgoi

A consortium that includes Koreas Posco Energy and Daewoo Engineering and Construction GDF

Suez Energy Asia Japans Marubeni Corp and Kansai Electric Power in March was selected for

development of the plant which has a preliminary estimate cost of USD 1 billion Those expenses

include installation of 150 kilometers of electric lines between Tavan Tolgoi and Oyu Tolgoi The

consortium will be expected to raise 30 percent of the cost itself while the remaining 70 percent

will come from bank loans However the uncertainty surrounding the Oyu Tolgoi copper mine could

create more hold ups

Source Zuunii Medee

CABINET TO CONCLUDE CONCESSION ON ALTANBULAG-ZAMYN UUD HIGHWAY

The Cabinet of Ministers ordered ministers to conclude a concession agreement for the Altanbulag-

Ulaanbaatar-Zamyn-Uud highway

The government is planning to establish the concession contract with the Chinggis Land

Development Group which according to the agreement shall have exclusive rights to construction

ownership and transfer of property using its own financing The concessionaire shall complete the

construction within three years after that shall operate the facility for another 30 years before

transferring the ownership to the Government

If Chinggis Land accepts these terms it would be responsible for developing a feasibility study and

blueprint of the project to be approved by the relevant ministries before concluding a financing

agreement The concession agreement will come into effect after the Chinggis Land Development

Group obtains a financing agreement for USD 1 billion from a commercial bank of Mongolia

The government will be responsible for freeing up the land where the highway is planned while the

Chinggis Land would cover the costs for doing so

Source Montsame

MNT 116 BILLION WILL BE SPENT FOR BUILDING EMERGENCY ALARMS IN UB

The National Emergency Management Agency has installed an emergency alarm system in 60

locations of Ulaanbaatar The alarm will alert citizens to natural disasters such as earthquakes

The alarms will be controlled from a center by microwave radios and satellite communication

devices

Source Udriin Sonin

EIU CLARIFIES EXTENT OF OFFICIAL ESTIMATES OF OIL SHALE RESERVES

The latest research from Mongolias mining ministry gives a clearer picture of oil shales

development potential in the coming years Although Mongolia has long been known to have

substantial oil shale deposits previous estimates were extrapolated from rudimentary surveys

conducted in the 1990s and thus left the actual reserves open to speculation

Plans to develop the industry took shape only in April 2013 when an American company Genie

Energy signed a five-year deal with the Petroleum Authority of Mongolia to explore oil shale

reserves in central Mongolia Genie also plans to build a USD 4 billion processing factory in Tuv

Aimag According to government projections the processing plant will generate USD 850 million of

tax revenue annually Aside from the economic benefits of the project domestic fuel sources could

help Mongolia to improve its energy security by loosening the countrys dependence on its powerful

neighbors At present 90 percent of Mongolias oil and related products come from Russia with most

of the remaining amount being imported from China

Yet the benefits of large-scale oil shale extraction are not as clear as they might seem at first

glance Most importantly Mongolias oil shale resources should not be confused with the shale oil

phenomenon that is currently sweeping the United States Oil shale (also called kerogen) is more

expensive to extract than shale oil and carries greater environmental costs In particular oil shale

requires a large amount of water to process which could be a risky proposition in Mongolia where

hydrological resources are already under strain Although other countriesmdashEstonia in particularmdashuse

oil shale as a substitute for coal extracting liquid fuel from the shale is a complex and relatively

untested process

Genie Energys progress on the project seems more substantial than that of comparable coal

liquefaction projects that have faltered in the region However environmental technical and

political limitations suggest that Mongolias overall dependence on foreign fuel will not change

significantly in the foreseeable future

―We remain doubtful that oil shale will play a significant role in Mongolia in the next two years so

our economic growth and trade forecasts will remain unchanged said the Source

Source Economist Intelligence Unit

MONGOLIA AND THE THREAT OF THE RESOURCE CURSE

Mongolia is at a crossroads while investors complain the government is dragging its feet on allowing

miners to start digging it is crucial that it get things right at the early stages of the resources

boom

Mongolias challenge will soon be the worlds says Richard Dobbs and his team at McKinsey in a

report predicting a USD 17 trillion investment bonanza by 2030 to keep up with demand for oil gas

and other materials In 1995 about 58 countries depended on resources for the bulk of their output

and wealth In 2011 that number had risen to 81 By 2030 roughly half of the worlds economies

will essentially become giant filling stations for developing superpowers from China to South Africa

That means that instead of the world moving toward greater transparency democracy and freer

markets we could see rising corruption levels and even greater income inequality

Economies with natural-resource endowments have a huge opportunity to transform their

prospects but history suggests that they could all too easily squander the windfall says Dobbs

director of the McKinsey Global Institute in London

The world would be wise to take steps today to break this cycle McKinsey recommends several

While not terribly original they include strengthening public institutions and good governance

building decent infrastructure boosting national competitiveness promoting sound fiscal policy

making and spending the windfall wisely while engaging in forward-looking economic and social

planning The trouble is that political will and integrity is often the first casualty once the minerals

start flowing out and the spoils come pouring in

Mongolia is at that very crossroads today Investors complain the government is dragging its feet on

allowing miners to start digging But its more important to get things right at the early stages of

the resources boom That means acting now to create the institutions and regulatory frameworks

needed to ensure revenue transparencymdashknowing exactly how much money is being dug out the

ground and where its going Why not set up a sovereign-wealth fund to save for Mongolias future

When the stakes are that high a little patience can go a long way

Source Bloomberg

MONGOLIAS NOMADS WARM TO SOLAR POWER

In Mongolia often known as the land of the blue skies the sun shines for 250 days on average each

year It beats down on the sparse plains and on the Gobi desert that spans the countrys southern

border with China

It shines even during the frigid winter days on the hundreds of thousands of nomads who still roam

the steppes herding animals and living in dome-like tents calling gers About 800000 of Mongolias

28 million inhabitants still live the traditional nomadic lifestyle that has remained largely

unchanged for generations Apart from the addition of motorbikes the occasional petrol generator

and a passing trade from intrepid tourists wanting to stay in a ger for the night life is almost the

same as that of many nomads grandparents and great-grandparents Almost but not exactly

Dotted across the steppes glints of light can be seen as the sun bounces off the solar panels that

have been installed on the sides of gers made of felt and yaks wool At the start of this millennium

Mongolias herders and nomads had little or no access to modern electric power and its potential

benefits But as of 2013 thanks to a concerted push by the Mongolian government almost 70

percent of nomadic people have access to electricity Bor a herder who mainly travels around

western Mongolias Arkhangai province is one of the people whose family benefits from portable

solar home systems (SHS)

We use it for generating the power for lighting in the ger charging phones we can also generate a

fridge to keep food longer and we can run a television That is very useful for us because we can

get the most recent weather forecast which is important for our work and keeping our animals

safe Before we had power it was very difficult Now it is almost like living in the city

The ability to charge mobile phones is also important for the herders who often have children

staying at boarding schools Access to electricity also allows families to contact emergency health-

care and doctors for advice without having to make the often arduous journey to the nearest village

or town

The solar systems were distributed and installed with the help of the World Bank after the

Mongolian governments National 100000 Solar Ger Electrification Program ran into difficulties A

World Bank report Capturing the Sun in the Land of the Blue Sky describes the difficulties faced by

the Mongolian government on its ambitious project

By 2005 five years into the plan 30000 families had been kitted out with an SHS but then the

program began to stagnateThe government of Mongolia recognized that considerably more effort

was necessary not only to keep the program on track but to scale-up implementation in order to

achieve the National 100000 Solar Ger Electrification Program target the report said In 2006 the

World Bank agreed to cover half of the initial outlay costs for each family as well as after-sales

maintenance with 50 centers set up across the country including at least one in each of its 21

provinces so that the herders would not have to travel to Ulaanbaatar every time the solar panels

needed maintenance

The SHS project also offers environmental benefits to a country where the ratio of carbon dioxide

emissions to economic output is ten times higher than the world average because of the increase in

mining over the past decade as the true extent of Mongolias mineral wealth became apparent The

solar systems are slowly replacing the diesel generators used by some nomads as a means of

generating power although they are still using stoves for heating burning wood coal and dung

throughout the year

Source Al Jazeera

IRON-ORE AND COAL PRICES GO SEPARATE WAYS

Prices of the key ingredients in steel productionmdashiron ore and coking coalmdashare moving along sharply

different paths as mining companies resist cutting coal output despite the market being awash with

the raw material

While iron-ore prices have risen 22 percent since May coking coal is still searching for a rebound

Coking-coal prices are off more than 4 percent over the same period China is on course for another

year of record steel production with supply directed to the construction of high-rise apartment

buildings the manufacture of luxury cars and other uses

There is simply too much coal on the market the International Energy Agency said in a report this

week

Shipments of steelmaking coal from Australiamdashthe worlds biggest exporter of the commoditymdashare

forecast by the government to rise to 178 million tons in 2015 from 145 million tons last year Most

goes to China which accounts for 60 percent of global demand In contrast global iron-ore

exporters are struggling to increase output in areas other than Australias remote Pilbara region

supporting prices of that commodity The spot price of iron ore climbed to nearly USD 140 a ton

earlier this month a four-month high Prices have since eased a bit to USD 13430 a ton but

remain well above the consensus forecasts of analysts at the start of this year

Coal miners could scale back production but that isnt always easy to do In Australia many miners

are locked into so-called take or pay contracts with rail and port operators Many analysts dont

expect coking-coal prices to rebound for at least another 12 months RBC Capital Markets expects

coking-coal prices to average USD 154 a ton in 2014 down from USD 159 a ton forecast for this

year Instead they see more chance that iron-ore prices will come down more sharply RBC predicts

an 11 percent fall in iron-ore prices next year as new supply from Anglo Americans Minas Rio

project and mines owned by Fortescue Metals Group Ltd is added to the market UBS is even more

bearish predicting iron ore will fall below USD100 in the second half of 2014

Source Wall Street Journal

ARE COMMODITIES TRADERS bdquoTOO BIG TO FAIL‟

When the banking industrylsquos top lobby group commissioned a report by on commodity trading

houses the idea was to show trading houses like Glencore Xstrata Vitol or Cargill were ―too big to

fail and therefore needed to be regulated in a similar manner to the banks

But instead of highlighting the inherent issues surrounding the industry the report found trading

companies posed less systemic risk than the big banks As a result the Global Financial Markets

Association which commissioned the report decided not to finalize or publish it (The GFMA claims

that it often commissions reports which are shared with regulators and other interested parties but

never published) But the debate hasnlsquot ended

A separate report published in July by the Centre for European Policy Studies a think-tank argued

the growth of commodity trading houses which underpin the global trade in raw materials could

―have systemic implications Commodities trader Trafigura has become the latest to wade into the

debate In its recent prospectus for a EUR 500 million bond issue the worldlsquos second largest metals

trader and third biggest oil trader addresses the GFMA report as well as the issue of systemic risk

Making some tart observations the trading house says the GFMA paper was aimed squarely at the

Financial Stability Board a group of global regulators

―[The report] was widely seen as a tactic by some banks active in the commodity trading space as a

way of creating more equality between market participants by seeking to usher in further

restrictions on pure commodity trading companies the prospectus says

Commodity traders are facing the need to be more open about their operations and lift the veil of

secrecy Indeed the author of the GFMA reportmdashCraig Pirrong a widely respected academicmdashis

working on a white paper on commodities traders Commissioned by Trafigura it will look at what

commodities trading houses activities and the recent trend to accumulate more assets risk

management as well as looking at different types of commodity companies


SMOG DARKENS SHANGHAIS PROSPECTS FOR BECOMING A GLOBAL FINANCIAL CENTER

In the debate over which matters more in China money or quality of life the quality-of-life side

may have found the ultimate argument If you cant breathe nothing else really matters And itlsquos a

debate Mongolia has to have as it makes its own steps towards industrial and economic growth

Chinas pollution problem is spreading and growing worse a fact on stark display last week in

Shanghai the countrys financial center A stretch of filthy-air days in that coastal city so

thoroughly shocked residentsmdashwho had largely escaped the smog that has long plagued the likes of

Beijing and Harbinmdashthat it inspired fresh talk about getting away from China Lawrence Shu a

Shanghai-based partner at Hylands Law Firm said he and his friends are thinking more seriously

about moving abroad

The smog had a big impact because it feels really bad if you cant breathe freely he said

The environment used to take a back seat among the Chinese But as they get richer they are

traveling abroad more making the pollution back home more obvious The Internet also

contributes Blue-sky pictures posted on social networks by Chinese travelers abroad constantly

remind folks of what is lacking at home and Chinese now use various apps to track air-quality data

If Shanghais smog discourages smart financial professionals from wanting to live there that will

hinder Chinas effort to create a global financial center If businesses such as financial companies

and luxury-goods makers perceive that Chinas elites are spending more time outside their home

country they will be less willing to invest in China

Most rich Chinese havent packed their bags and left yet but they are keeping their options open

Relocation is a big decision said Anne Wang who works in the financial industry in Shanghai But

just in case she recently received a US visa that would allow her to live there


POLITICS

MINERALS POLICY ENTERS FINAL DISCUSSIONS

The government published a final draft of Mongolialsquos State Policy on the Minerals Sector for 2013

through 2025

The document was first presented to Parliament in July and is now entering final discussions during

the autumn plenary session of Parliament following a 42 percent drop of foreign investment and 23

percent fall in the currency year-on-year

―We have reviewed the proposed State Policy on the Mineral Sector which we feel will be a

positive step forward if passed said the Source ―The passing of this policy will result in more

transparency and an increasing participation from foreign investors That said it will take time for

these feats to be accomplished Investors will be weary of Government promises as they seek

longevity to prove Government intentions

The proposed policy is divided into four main sections rationale principles main policy and

implementation-results The major points stressed in the policy include transparency and

responsible mining The law sends the message that growth is going to be driven by private sector

participation and the intent to provide a stable investment environment technological innovation

and value-added activities

Key priorities of the law since it was first unveiled include stability of taxation and the legal

environment an end to any discrimination between foreign and national investors and the

preservation of strategic resources and deposits

This most recent version saw the inclusion of a new section supporting development of local areas

and the interests of local citizens Other key elements include explorationmdashwhich would see

greater government regulation for strategic mineral deposits while cutting down bureaucracy and

conducting scientific researchmdashproduction support and local support The new document also

highlights greater support for non-governmental organizations for the environment allowing them

to claim damages from mining operations the establishment of funds to support economic

diversification environmental protections and land rehabilitation

The new draft has removed the risk assessment section and replaced it with a section on

implementation This includes the improvement of the legal environment and producing of relevant

regulations programs and projects for 2013 to 2015 followed by the implementation of programs

and projects from 2014 to 2025 and finally the provision of conclusions on midterm policy

implementation and further planning for up to 2020 and 2025

―We believe that this policy will take us one step closer to attracting investors and supporting

private sector development in Mongolia said the Source ―Despite current investor hesitation this

state policy in addition to the new amended Minerals Law set to pass next year will further

encourage investors to enter the market and will build support for the junior mining community

Source Mongolian Investment Banking Group

PARLIAMENT UNANIMOUSLY BACKS ldquoSMART GOVERNMENTrdquo INITIATIVE

Parliament has unanimously backed President Tsakhia Elbegdorjs ―From Big Government to Smart

Government initiative for government reform concepts having signed a joint statement of support

on 13 December

The joint statement gives full support to the presidents initiative and commits to cooperation for

its undertaking This includes support for enhancing government systems and policies in line with

democracy and a market economy improving the capacities of public services and curtailing

government intervention into private business affairs Also included are protections to private

business including establishing government structures for rule of law support to domestic

industries and honoring contracts The fight against corruption is another main perogative

On 16 November 16 the Office of the President of Mongolia organized a national consultative

meeting on this topic at the Government Palace Elbegdorj next met with members of the

Parliament on 9 December to organize an open dialogue with representatives of Parliament for an

appeal for them to sign the joint statement Reaffirming the commitment of the Mongolian

lawmakers to a breakthrough reform of the Government the leaders of party floors and factions in

the Parliament and independent members of the Parliament signed the document for the reform on

December 13 2013

Source Montsame

GOVERNMENT CALLS TO END PRACTICE OF APPOINTING MPS AS MINISTERS

The coalition government has thrown their support behind President Tsakhia Elbegdorjs proposal to

prohibit Parliament members from serving as cabinet ministers

Democratic Party members discussed a draft resolution and proposed amendments submitted by the

president for the new restriction at a party meeting on Monday The draft amendments were

unanimously backed by the faction The Justice Coalition which includes the Monglian Peoples

Revolutionary Party and Mongolian Democratic Party came to the same conclusion following its own

meeting said coalition head N Battsereg on Monday

Source Montsame

COMMITTEE LEADERS TO BE ELECTED THIS MONTH

The coalition government will soon be electing officials to lead the various committees in

government

Parliament has 8 standing committees to elect leaders to this month with each committee to be

led by a representative of the coalition government Current committee heads are Ts Tsolmon at

the Security and Foreign Policy Committee G Bayarsaikhan at the Environment Food and

Agriculture Committee Z Bayanselenge at the Social Policy Education Culture and Science

Committee R Burmaa at the Petition and Requests Committee A Bakei at the State Structural

Committee Ts Davaasuren at the Budget Committee Sh Tuvdendorj at the Legislation

Committee and B Garamgaibaatar at the Economic Committee

Source Zuunii Medee

FOREIGN CURRENCY PAYMENTS BANNED FOR MININGEXPLORATION LICENSING FEES

The Ministry of Finance has banned the use of foreign currencies to pay for mining and exploration

licensing fees to the Mineral Resources Authority beginning 1 January 2014

The Ministry of Finance has prompted these entities and companies holding licenses to comply with

Mongolian currency law that states that all businesses and agencies must do business in Mongolian

tugrug According to the 2009 law transactions must not be carried out in foreign denominated or

foreign currency based rates

Source Newsmn

MINING MINISTRY TO COOPERATE WITH ASSOCIATION OF FLUORSPAR EXPLORERS

The Ministry of Mining Wednesday established a memorandum of mutual understanding with the

Association of Fluorspar Explorers (AFE) to cooperate in augmenting the countrylsquos export

In addition to expanding export goals include developing transparent and responsible mining

improving qualities and standards of fluorspar metallurgy and flotation concentrate and in

increasing the production output of the minerallsquos ore enrichment The hope is the memorandum

will create a launching point for a national program for fluorspar its exploitation increase the

volume of production by intensifying research and increase competitiveness in international

markets It will also be necessary to introduce the latest technology to the country along with

running joint trainings with foreign NGOs the Ministry said

Source Montsame

DP REJECTS AMARJARGAL‟S RESIGNATION

Parliament voted against MP R Amarjargallsquos resignation request on 12 December

During Tuesdaylsquos meeting the majority of the Standing Committee on State Structure voted against

Amarjargal`s resignation The head of the Democratic Party (DP) caucus D Erdenebat took a

strong stance against letting Amarjargal leave

Amarjargal said he wanted to resign to take responsibility on behalf of his party members for the

current political situation and economic restraints in Mongolia DP members agree with his

conclusion but encourage him to make the effort and participate for social change and

development Members of the opposition Mongolian Peoplelsquos Party members said that Amarjargal

could see the problems and nature of the majority of Parliament and praised his plan to resign

Source Newsmn

MPP HEAD TO STEP DOWN

Mongolian People Party (MPP) Head N Enkhbold has requested his resignation as party leader

MPP Deputy Head D Oyunkhorol said 9 December that Enkhbold submitted his request to step down

during a party meeting Oyunkhorol said Enkhboldlsquos resignation was due to personal reasons The

new party head will be appointed by the MPPs governing board

Source Udriin Sonin

FIFTH ROUND OF NEGOTIATIONS FOR THE JAPAN-MONGOLIA ECONOMIC PARTNERSHIP

AGREEMENT

The fifth round of the negotiations for the Japan-Mongolia Economic Partnership Agreement (EPA)

will be held from 16 to 19 December in Ulaanbaatar

The Japanese delegation will be led by Jun Yokota ambassador in charge of economic diplomacy

and the Mongolian delegation will be led by Ochirbat Chuluunbat vice minister for economic

development Experts from relevant ministries and agencies of both sides will participate in the

meetings

In this round negotiations are in areas including trade in goods and investment

Source 4-Traderscom

FIRST MONGOLIA-CHINA JOINT BORDER COMMISSION MEETING IN BEIJING

The very first meeting of Mongolia-China joint commission of borders took place 11 and 12

December in Beijing China

This meeting was co-chaired by T Togsbilguun a director of the Department of Neighbour

Countries of Mongolialsquos Ministry of Foreign Affairs and by Xiao Jiangguo a representative of border

checkpoint and seaport affairs Both sides shared on ideas for implementation of the

intergovernmental contract on the border regime and reached some agreements on conducting a

joint examination in the border signs and on activating the collaboration in law enforcement around

frontier areas After this they discussed issues of developing border checkpoints at a same level

putting some border checkpoints into a permanent regime giving an international status to four

checkpoints

The gathered also made a protocol on their meeting and inked its results The next meeting will run

in 2014 in Ulaanbaatar

Source Montsame

BELARUS TO OPEN EMBASSY IN MONGOLIA IN 2014

Belarus will open its embassy in Mongolia in 2014 reads a resolution from the Belarus Council of

Ministers of the Republic of Belarus from 12 December 2013 Belaruslsquo Finance Ministry will finance

the costs of opening and maintaining Belarusian Embassy in Mongolia from the funds set aside in its

national budget for the opening and maintenance of diplomatic missions and consular missions of

the Republic of Belarus abroad

Source Belarusian Telegraph Agency

HOWELL NEW JERSEY USA BECOMES SISTER CITY OF SUKHBAATAR DISTRICT

The Howell Township and the Sukhbaatar district in Mongolia signed a memorandum of

understanding to create sister citieslsquo between Howell New Jersey USA and the Sukhbaatar District

on Tuesday

The program was aimed at opening up talks on how each can benefit from one another Mayor

William Gatto said Howell Township is a very diverse city and theyve taken the relationship with

the Kalmyk community here in Howell and expanded it to a country where they have had no

relationship in the past he said

The sister citieslsquo program will allow both Mongolia and Howell to exchange ideas and come up

with new and better ways to do things that benefits both cultures Outside of Mongolia Howell has

the largest population of Kalmyks in the world with many living in the Freewood Acres section of

the township Gatto said

Some of the goals of the agreement include promoting a common prosperity and development for

both parties an electronic pen-pal program and education opportunities for exchange students

Through a translator Baljinnyam Gan-erdene of the Citizens Representatives Council of Sukhbaatar

District said he came to Howell to see how democracy works in the United States

Im really glad and hope that this unforgettable and successful visit opens the door to our

friendship and prosperity between our residents Gan-erdene said

Gatto gave Gan-erdene a Howell flag and a throw blanket created by the Historical Society

depicting the history of the township Gan-erdene also gave Gatto several items including a bronze

piece of art

Source NJcom

MONGOLIAN CALLIGRAPHY ADDED TO UNESCO CULTURAL HERITAGE LIST

State Parties at the 8th Session of the Intergovernmental Committee for the Safeguarding of the

Intangible Cultural Heritage in Azerbaijan unanimously agreed to register Mongolian calligraphy as

an intangible cultural heritage in need of urgent safeguarding on 2 December

―Mongolian heritage calligraphy is now being recognized by the world and I am grateful on behalf

of my country for decision makers said Secretary-General of Mongolian National Commission for

UNESCO Gundegmaa Jargalsaikhan He noted that Mongolian calligraphy was the fifth cultural

heritage item of Mongolia to be listed and now stands among the Mongolian epic traditional folk

dance the traditional music Tsuur and a circular breathing technique

Mongolian calligraphy is a 1000-year-old writing system that vertically connects continuous strokes

together to create a word Letters of Mongolian script have been created and taught by nomads

from generation to generation During the 1937-1940 purges of the Soviet era thousands of tutors

and traditional scholars of the script were killed Those who remained alive were banned from

mentoring the younger generation Soon after that or around 1946 a new Cyrillic script was

adopted as the only eligible script therefore banning all the teachings of old Mongolian script and

Latin lettering Only in the 1970s was the old Mongolian script re-introduced to scholars allowing a

limited number of classes in universities

After the 1990 democratic changes along with the revival of Mongolian identity interest in

traditional calligraphy reawakened As a sign of such revival the very first non-communist political

organization the Democratic Union of Mongolia used folded calligraphy as its main logo


THOUGH IMPROVING MONGOLIA STILL REELING UNDER CORRUPTION

The third joint survey by the Asia Foundation and Sant Maral Foundation to gather data on the

perception of corruption in Mongolia revealed that efforts to curb corruption in what is considered

as one of the worldlsquos most corrupt countries could be having impact

The survey shows a significant drop in the percentage of respondents who believe corruption has

increased in the last three years from 389 percent in November 2012 to 183 percent currently In

contrast in 2006 a majority of respondents (63) indicated that corruption has increased ―a lot in

the last three years The survey also shows that corruption has declined in importance as a critical

social problem since 2006 Despite these positive signs overall respondents indicated that

corruption remains a serious issue in some specific key areas

Conducted in September of this year the survey featured face-to-face interviews in 1360

households across Mongolia including seven districts in Ulaanbaatar and 21 counties in six

provinces A majority (766) cited that widespread corruption in the law enforcement agencies is

one of the main reasons the government has been unable to tackle corruption effectively When

corruption is perceived to be this widespread the attention will obviously turn to the performance

of the apex anti-corruption body the Independent Authority Against Corruption (IAAC) The survey

shows that the IAAC is slowly but surely beginning to gain confidence among citizens The

percentage of those surveyed who think that its performance is ―good or ―very good increased

from 78 percent in March 2010 to 203 percent in March 2013 In September 2013 the result shows

a new high of 294 percent

Peoplelsquos perceptions on corruption are often shaped by personal experiences Although very few

respondents in the survey said that they had actually paid a bribe themselves (8 percent about a 3

percent drop from 2012 and an 18 percent drop since 2006) as noted before many are not willing

to report instances where they are asked for one Similarly 36 percent of respondents said they

would not pay a bribe but 26 percent indicated that they would pay if they had the financial

capability

Basanta Pokharel is The Asia Foundation‟s chief of party for the STAGE program in Mongolia He

can be reached at basantapokharelasiafoundationorg The views and opinions expressed here

are those of the individual author and not those of The Asia Foundation

Source Asia Foundation

MPP DEMANDS DISMISSAL OF MINISTERS

Mongolian Peoplelsquos Party Chairman N Enkhbold and party head S Byambatsogt submitted to the

Speaker a request for the dismissal Minister of Finance Chultem Ulaan and of Economic

Development Minister Nyamjav ―Fortuna Batbayar

Our faction believes that these ministers must be held responsible for the worsening of the

national economic situation We also intend to do the same with other ministers after hearing

opinions of people said Byambatsogt

Source Montsame

FORMER TAVAN TOLGOI JSC DIRECTOR ARRESTED

The Independent Agency Against Corruption arrested former Tavan Tolgoi JSC director Kh

Tumenbayar for undisclosed reasons

An unnamed official source suggested that the arrest may be related to abuses of power and

payments to political parties as well as the construction of a high-class hotel in Dalanzadgad Soum

Umnugobi Aimag Kh Tumenbayar is a member of the Democratic Party a member of Parliament

and is an associate of ―Ajnai Bat-Erdene the Minister of Defense who helped Tumenbayar attain

position as the director of Tavan Tolgoi for 6 years and rise to head of the Umnugobi Aimag Citizens

Council

Tumenbayar voluntarily resigned from his position at Tavan Tolgoi last month The IAAC has

reportedly not given details to the reasons for the investigation opened on Tumenbayar because of

possible connections to high-ranking officials

Source Unuudur

MONGOLIA TURKMENISTAN JOIN INTERNATIONAL RACING FEDERATION

The International Federation of Horseracing Authorities (IFHA) has welcomed racing organizations

from Mongolia and Turkmenistan as affiliate members

Recent ratification to IFHA statutes at its annual General Assembly in October created a new

affiliate membership category within the Federation Thus the Federation of Mongolia Horse Racing

Sport and Trainers and the Turkmen Atlary State Association by unanimous vote of the IFHA

Executive Council in Paris in October have become the IFHAlsquos first two affiliate members

The Federation of Mongolian Horse Racing Sport and Trainers (FMHRST) is a non-governmental

organization (NGO) which serves to the development of equestrian sport in Mongolia and works to

protect the rights of horsemen who specialize in this national sport The new affiliates were

announced by IFHA Chairman Louis Romanet this week and several key appointments to IFHA

executive office positions and committees have also been made

Source Horse Talk

MONGOL TV HEAD MEDIA CAN HELP FIX THE BIG PROBLEMS

Nomin Chinbat head of Mongol TV has grander intentions than just ridding the countrys television

business of rampant pirated content and unlicensed formats The young executive wants to help

clean up Mongolian politics and the nation by creating a free and open media

―The networks are used as propaganda channels for politicians They are used very effectively every

four years at election time says Chinbat whom the Source named one of the 25 Most Powerful

Women in Global TV at MIPCOM 2013

―There are laws against piracy but they arenlsquot implemented explains Chinbat who says that

politicians in the country of roughly three million wonlsquot challenge journalists because their

relationships with them are too cozy

Mongol TV has invested in original programming licenses all of its imported content and runs

investigative journalism features highlighting social problems such as alcoholism and corruption

The company is organizing a Mongol TV Day for February 2014 to which it has invited major

international studios to raise awareness of the issues and introduce the global industry to

Mongolia Britainlsquos ITV and Americalsquos CBS are already confirmed and negotiations are ongoing with

other attendees The situation has improved in recent years with some channels having become

what Chinbat calls ―hybrids which license some sports rights but then steal others and copy

formats

―These days some of these channels might license 25 episodes of a format and make 50 But this is

actually progress says Chinbat

Chinbat and her team were at the Asian Television Forum (ATF) in Singapore looking for new

formats that can be produced within the constraints of Mongolian television budgets However with

Mongolias young populationmdash65 percent of the country is under 35 years oldmdashmobile viewing is on

the rise and the network is already working second-screen utilization and new media applications

This demographic sweet spot should guarantee strong growth in the population economy and

nascent entertainment sector in Mongolia in the coming decades


ANNOUNCEMENTS

ldquoMM TODAYrdquo ON MNB-TV FRIDAY 1900 TO 1910

BCM is pleased to announce that Mongolian National Broadcasting continues its cooperation with

BCM on ―MM Today This English news program is aired every Friday for 10 minutes and is

scheduled from 1900 to 1910 tonight Tune in to watch this program that reports stories from

todaylsquos BCM NewsWire

BCM WEBSITES

MONGOLIAN WEBSITE bdquoPRESENTATIONS‟ AND bdquoNEWS‟ SECTIONS

The Presentationslsquo section on BCMlsquos Mongolian website can be reached via bcmmnitgeluud

As a key component of BCMlsquos Mongolian website articles from the Newslsquo section and the

government website Open-Governmentmn are regularly updated

S Oyun Minister of Environment and Green Development presentation at BCM monthly meeting on

May 27 added to Mongolian website bcmongoliaorgmnилтгэлүүд

- Байгаль орчин ногоон хөгжлийн сайд СОюун Байгаль орчин ногоон хөгжлийн шинэчлэлийн

бодлого үйл ажиллагаа МБЗ-ийн сарын уулзалт 5 сарын 27 2013

___________________________________________

ENGLISH WEBSITE PRESENTATIONS MONGOLIA REPORTS bdquoINTERVIEWSbdquo MONGOLIAN

BUSINESS NEWS‟ bdquoPHOTO GALLERY‟

The following 13 presentations are from the Mongolia Investment Summit- 2013 in Hong Kong

November 18-20

- Regulatory Update Navigating Mongolialsquos legal framework for foreign direct investment

Javkhlanbaatar Sereeter Director General Foreign Investment Regulations and Registration

Department MINISTRY OF ECONOMIC DEVELOPMENT OF MONGOLIA

- Investment keynote Investing into Mongolia in 2013 ndash Where do the opportunities lie James

Passin Co-Founder and Manager FIREBIRD MONGOLIA FUND

- Development keynote Key challenges and opportunities for continued growth in Mongolia

Randolph Koppa President TRADE AND DEVELOPMENT BANK OF MONGOLIA

- Outlining government policies and long-term plans for Mongolialsquos mining sector Amarjargal

Khurelbat Head of International Cooperation Division MINISTRY OF MINING OF MONGOLIA

- From copper to met coal Demand and price outlook and expected impact on Mongolialsquos economy

Ghee Peh Managing Director Metals and Mining Research UBS SECURITIES ASIA

- How Mongolian banks and financial institutions are dealing with the challenges and opportunities

of a fast growing economy Norihiko Kato Chief Executive Officer KHAN BANK

- Update on the Mongolian stock market ndash Impact of the new Securities Law Altai Khangai Chief

Executive Officer MONGOLIAN STOCK EXCHANGE

- From investment banking to trade finance to micro credits to insurance Amartuvshin Hanibal

Managing Director TENGER FINANCIAL GROUP LLC

- Spotlight presentations Showcasing Mongolian investment opportunities Peter Morrow Board

Director ASIA PACIFIC INVESTMENT PARTNERS

- Spotlight presentation Showcasing Mongolian investment opportunities Munkhbat Davaatseren

CEO of Golomt Securities GOLOMT BANK

- Spotlight presentation Showcasing Mongolian investment opportunities ndash Natural Resources

Batmunkh Batkhuu Chairman SHARYN GOL JSC


Jimmie Wilde Chief Operating Officer BERKH UUL JSC

- Spotlight presentation Showcasing Mongolian investment opportunities ndash Natural Resources Mona

Forster Executive VP ENTREacuteE GOLD INC

The following two presentations are from the ―ANTI-CORRUPTION LEGISLATIONPOLICY

INTERNATIONAL BEST PRACTICE ON TRANSPARENCY training seminar for businesses in

Ulaanbaatar November 18 2013

-―International business standard on transparency by Jelena Pesic Director PwC

-―Finlandlsquos best practice on transparency and anti corruption by Dr Pekka Hallberg (as it is

worldlsquos number one) Emeritus President of the Supreme Administrative Court of Finland

The following 15 presentations are from the Mongolia Mining Summit Perth Australia October 29-

31 2013

bull Mongolialsquos Minerals Future and Development by Otgochuluu Ch Director General Department of

strategic policy and planning at Ministry of Mining Mongolia at the Mongolian Mining Summit 2013

Perth Australia Oct 29-31 2013

bull Mongolian Economy Investment OpportunitiesChallenges Jim Dwyer Executive Director

Business Council of Mongolia at the Mongolian Mining Summit 2013 Perth Australia Oct 29-31

2013

bull Oyu Tolgoi Lessons from the Gobi Houston Spencer Vice President Communications and Media

Relations Oyu Tolgoi at the Mongolian Mining Summit 2013 Perth Australia Oct 29-31 2013

bull Market dynamics for Mongolian coking coal in the Chinese market Graeme Hancock President

and Chief Representative at Anglo American Mongolia at the Mongolian Mining Summit 2013 Perth

Australia Oct 29-31 2013

bull Speech by Mr Ariunbold Byamba Deputy Director Erdenes MGL LLC at the Mongolian Mining

Summit 2013 Perth Australia Oct 29-31 2013

bull Launching Mining Projects in MongoliandashA Major Contractorlsquos Perspective Eric Erdenebat

Tseveendorj Country Manager Orica Limited at the Mongolian Mining Summit 2013 Perth


bull Investing in a dynamic legislative environment Elisabeth Ellis Managing Partner Ulaanbaatar

Minter Ellison at the Mongolian Mining Summit 2013 Perth Australia Oct 29-31 2013

bull Sandvik In Pit Crushing amp Conveying (IPCC) Doug Turnbull Principal Mining Engineer Sandvik

Mining Systems at the Mongolian Mining Summit 2013 Perth Australia Oct 29-31 2013

bull Ovoot Coking Coal Project David Paull Managing Director Aspire Mining at the Mongolian Mining


bull The business of being a third neighbor David Landers General Manager East Asian Growth

Markets at the Mongolian Mining Summit 2013 Perth Australia Oct 29-31 2013

bull Nuurst Thermal Coal Project Daniel Rohr Chief Financial Officer Modun Resources Ltd at the

Mongolian Mining Summit 2013 Perth Australia Oct 29-31 2013

bull Culture matters in building sustainable long-term business relationships Hana Tserenkhand

Byambadash Business Development Consultant AusMon Consulting and Dr Christine Hogan Adjunct

Professor Curtin University Consultant amp Author at the Mongolian Mining Summit 2013 Perth


bull Maximizing Business Benefits from Your IT Investment Brad Skeggs Executive Director COSOL at

the Mongolian Mining Summit 2013 Perth Australia Oct 29-31 2013

bull Presentation by Battsengel Gotov CEO Mongolian Mining Corporation at the Mongolian Mining


bull Mongolian Mining Sector Present and Future Developments NAlgaa Executive Director

Mongolian National Mining Association at the Mongolian Mining Summit 2013 Perth Australia Oct

29-31 2013

The ―Mongolia Reports section includes the following

- ―Ministry of Finance of Mongolia 2013 Government Debt Auctions by Bank of Mongolia

- ―Doing Business in Mongolia 2013 Country Commercial Guide for US Companies by US

Embassy

- ―Real Estate Report 2013 by Mongolian Properties

- ―Selected Macroeconomic Indicators November 20 2013 by International Monetary Fund

- ―2013 Second Annual Mongolian CEO Survey from PricewaterhouseCoopers Audit LLC

- ―Selected Macroeconomic Indicators data through October 16 2013 by International Monetary

Fund

- ―IMF Completes 2013 Article IV Mission to Mongolia by International Monetary Fund

The following are added to Interview Section from the Oxford Business Group Mongolia Reports

2013 book

bull B Byambasaikhan Chairman Business Council of Mongolia ―Talk is cheap

bull President Ts Elbegdorj ―Diversifying for growth

bull Jim Dwyer Executive Director Business Council of Mongolia ―Non-mining sectors budding

bull Peter Morrow Chairman American University of Mongolia ―Filling in the blanks

bull N Zoljargal Governor Bank of Mongolia ―Sustainable vision

bull Gansukh Minister of Roads and Transportation ―Accessing new markets

bull J Od President MCS Group ―Building interest

bull B Chuluunbaatar President and CEO of Monnis Group ―Climbing the ranks

bull Cameron McRae President and CEO Oyu Tolgoi ―Sitting on a copper mine

BCMs English website includes the ―Mongolia Business News section where the Open Letter to

Parliament and Government is available for download

BCM continuously posts news stories and analysis of relevance to Mongolia at Mongolian Business

News before they are all put together each week for Fridays weekly NewsWire

The ―Photo Gallery contains photos from the 6th Anniversary BCM Renewal dinner on November

11 2013

BCM Football Cup 2013 pictures are posted to the website - httpbcmongoliaorgenphotos350-

enalbumalbumid=200

The BCM NewsWire will continue to be issued each Friday incorporating items already on the home

page for a consolidated account of the weeklsquos events

SOCIAL NETWORK WITH BCM

BCM LAUNCHES NEW LINKED-IN COMPANY PAGE

The Business Council of Mongolia has launched a new company page on the social networking

website LinkedIn to network its members and followers including small-medium enterprises (SMEs)

The new page will allow BCM to alert followers to the latest news and information critical to their

businesses Memberslsquo businesses will be promoted Additionally BCM plans to deliver monthly

infographics on the latest data as well as videos and other media content as they come The bulk of

the content on the new page will be in Mongolian language to better cater to BCMs Mongolian-

speaking audience and members The following link can direct you to the New BCMs Linked-in page

httpwwwlinkedincomcompanybusiness-council-of-mongoliatrk=company_logo

The Business Council of Mongolia (BCM) has expanded its reach to your favorite social networks

Keep up to date on the latest business deals in Mongolia and how the climate for investment is

improving each day with BCM

Add BCM on Facebook at httpswwwfacebookcomTheBusinessCouncilOfMongolia to read the

latest announcements and comment on events carried in the NewsWire with the community

Hear breaking news and announcements as they happen when you follow BCM on Twitter at

httpstwittercombcmongolia

We have now 2482 fans on our Facebook fans page 1527 connections on LinkedIn network and

835 followers on Twitter

Of course for news information interviews event photos and announcements regarding our

organization visit the official BCM website at httpbcmongoliaorgen

ECONOMIC INDICATORS

INFLATION

Year 2006 60 [source National Statistical Office of Mongolia (NSOM)]

Year 2007 151 [source NSOM]





November 30 2013 120 [source NSOM]

Year-over-year (y-o-y) nationwide

Note 111 y-o-y Ulaanbaatar city November 30 2013

CENTRAL BANK POLICY LOAN RATE

December 31 2008 975 [source IMF]

March 11 2009 1400 [source IMF]

May 12 2009 1275 [source IMF]

June 12 2009 1150 [source IMF]

September 30 2009 1000 [source IMF]


April 28 2011 1150 [source IMF]

August 25 2011 1175 [source IMF]

October 25 2011 1225 [source IMF]

March 19 2012 1275 [source Mongol Bank]

April 18 2012 1325 [source Mongol Bank]

January 25 2013 1250 [source Mongol Bank]


June 25 2013 1050 [source Mongol Bank]

CURRENCY RATES ndash DECEMBER 19 2013

Currency Name Currency Rate

US dollar USD 164138

Euro EUR 224680

Japanese yen JPY 1579

British pound GBP 268874

Hong Kong dollar HKD 21170

Chinese Yuan CNY 27031

Russian Ruble RUB 4981

South Korean won KRW 155

Disclaimer Except for reporting on BCMlsquos activities all information in the BCM NewsWire is

selected from various news sources Opinions are those of the respective news sources

Growth seen in export of precious metals

MNT 788 billion will be entered into the Stabilization Fund

Economic Development Ministry plans to put 81 of budget into construction

TT power plant may need conclusion to OT dispute says director

Cabinet to conclude concession on Altanbulag-Zamyn Uud highway

MNT 116 billion will be spent for building emergency alarms in UB

EIU clarifies extent of official estimates of oil shale reserves

Mongolia and the threat of the resource curse

Mongolias nomads warm to solar power

Iron-ore and coal prices go separate ways

Are commodities traders bdquotoo big to fail‟

Smog darkens Shanghais prospects for becoming a global financial center

Politics

Minerals Policy enters final discussions

Parliament unanimously backs ldquoSmart Governmentrdquo initiative

Government calls to end practice of appointing MPs as ministers

Committee leaders to be elected this month

Foreign currency banned for miningexploration licensing fees

Mining Ministry to cooperate with Association of Fluorspar Explorers

DP rejects Amarjargal‟s resignation

MPP head to step down

Fifth round of negotiations for the Japan-Mongolia Economic Partnership Agreement

First Mongolia-China joint border commission meeting in Beijing

Belarus to open embassy in Mongolia in 2014

Howell New Jersey USA becomes sister city of Sukhbaatar district

Mongolian calligraphy added to UNESCO Cultural Heritage List

Though Improving Mongolia still reeling under corruption

MPP demands dismissal of ministers

Former Tavan Tolgoi JSC director arrested

Mongolia Turkmenistan join international racing federation

Mongol TV head media can help fix the big problems

ECONOMIC INDICATORS

MSE Top 20 Index by market Capitalization

Foreign-listed Companies with Mongolian Assets

Inflation

Central bank policy rate

Currency rates

Click on titles above to link to articles

SPONSORS

Khan Bank

International SOS




Breakthrough PR








discussed now















































needs of buyers


Bayarmagnai






buyers




corruption



















dispute resolution







BUSINESS




11 to 12 December






















2014

Source Reuters

















said





Source Reuters











Source Montsame






Batsuuri









Batsuuri














Source Unuudur

























Source MENAFN







Source Zuunii Medee









development








Source Montsame






































Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680









SPONSORS

Khan Bank

International SOS




Breakthrough PR








discussed now















































needs of buyers


Bayarmagnai






buyers




corruption



















dispute resolution







BUSINESS




11 to 12 December






















2014

Source Reuters

















said





Source Reuters











Source Montsame






Batsuuri









Batsuuri














Source Unuudur

























Source MENAFN







Source Zuunii Medee









development








Source Montsame






































Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680









































needs of buyers


Bayarmagnai






buyers




corruption



















dispute resolution







BUSINESS




11 to 12 December






















2014

Source Reuters

















said





Source Reuters











Source Montsame






Batsuuri









Batsuuri














Source Unuudur

























Source MENAFN







Source Zuunii Medee









development








Source Montsame






































Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680

























dispute resolution







BUSINESS




11 to 12 December






















2014

Source Reuters

















said





Source Reuters











Source Montsame






Batsuuri









Batsuuri














Source Unuudur

























Source MENAFN







Source Zuunii Medee









development








Source Montsame






































Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680










2014

Source Reuters

















said





Source Reuters











Source Montsame






Batsuuri









Batsuuri














Source Unuudur

























Source MENAFN







Source Zuunii Medee









development








Source Montsame






































Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680









Batsuuri














Source Unuudur

























Source MENAFN







Source Zuunii Medee









development








Source Montsame






































Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680















development








Source Montsame






































Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680










Source Bloomberg
































































previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680

























previously reported





































source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680












source













Source BNE


























source









Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680











Source Unuudur





































backup generation














sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680












sector











external LED sign



















business



they should be



























Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680






















Source Reuters

ECONOMY











dollarization















be relied upon


























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680

























is 70 points





















delisting



half years


Source Reuters

















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680


















Source Zuunii Medee







Source Zuunii Medee



into construction















Source Zuunii Medee















Source Zuunii Medee















Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680























Source Montsame





devices

Source Udriin Sonin





















untested process











boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680












boom























Source Bloomberg




border with China





















or town












needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680




















needed maintenance






throughout the year

Source Al Jazeera




the raw material






week



















































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680





































about moving abroad














POLITICS



through 2025





































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680










































on 13 December













December 13 2013

Source Montsame









Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680














Source Montsame



government








Source Zuunii Medee








Source Newsmn











Source Montsame











Source Newsmn






Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680














Source Udriin Sonin


AGREEMENT






meetings


Source 4-Traderscom











checkpoints



Source Montsame











on Tuesday

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680

















piece of art

Source NJcom















































capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680














capability












Source Montsame









Council




Source Unuudur













Source Horse Talk


















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680





















formats










ANNOUNCEMENTS






BCM WEBSITES









___________________________________________




November 18-20



































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680








































31 2013






2013































29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680



























29-31 2013




Embassy





Fund



2013 book















11 2013


enalbumalbumid=200
























ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680
































ECONOMIC INDICATORS

INFLATION




























Euro EUR 224680









INFLATION




























Euro EUR 224680









20.12.2013, NEWSWIRE, Issues 304-305

News & Politics

Transcript of 20.12.2013, NEWSWIRE, Issues 304-305