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April 26 (news.mn) Following instructions from the President Elbegdorj to the National Security Council, all activities related to mining licenses were temporarily suspended at 5 pm on April 20. The activities cover issue of mining and exploration licenses, re-issue of forfeited licenses and trading in licenses. The President called the heads of Standing Committees and the Director of the Mineral Department to a meeting earlier on the day to explain his decision. The meeting was attended by Presidential advisers P.Tsagaan, A.Ganbaatar and M.Batchimeg.
The President said he had taken the extreme step after careful consideration. Despite numerous complaints about the way licenses were issued, the situation has not improved. Mineral resources are connected to national security but half of license holders violate laws by not giving the necessary annual information. Corruption and other violations of the law are common.
There are 4,706 active mining licenses, 3,610 of them for exploration and 1,096 for usage. The President has asked the Government to report to the National Security Council on the situation in May. In June, citizens will be given information about this through the Civil Chamber.
The President also urged a change in the Mining license law.
April 26 (news.mn) Minister for Finance S.Bayartsogt presented three draft laws and one draft protocol to the Parliament Speaker on Friday. One relates to the grant of USD79.7 million from Millennium Challenge Foundation, and another to a soft loan for USD43.1 million from the Asian Development Bank to build the Choir-Sainshand-Zamiin Uud road.
Mongolia has a loan agreement with the Kuwait Fund for Economic Development to build Unit-Murun and Unit-Tarialan road. There is another agreement for a Hungarioan soft loan for USD25 million to update the state owned Biocombinat factory.
Garrison Appoints Consep International Ltd. to Provide a Turnkey Gold Plant
TORONTO, ONTARIO--(Marketwire - April 13, 2010) - Garrison International Ltd. (TSX VENTURE: GAU.V) ("Garrison") is pleased to announce that it has appointed Consep International Ltd. ("Consep") to establish a turnkey gold plant at Garrison's Tovshiir gold project in South Eastern Mongolia.
... Test work conducted to date using the Consep gravity - leach system on test ore from the Tovshiir project has produced overall gold recovery of 86%. Garrison's management is optimistic that similar recovery rates will be achieved when full-scale production commences at Tovshiir. Recoveries using the Consep system often reach as high as 95% at other similar operations, and Consep facilities are fully automated. ... Management of Garrison anticipates that the Consep plant should arrive for installation at the Tovshiir site during the 3rd quarter of Garrison's 2010 financial year.
(Garrison International's Market Cap, as of yesterday, is C$6.8mln)
China's Sany Heavy, Yitai Coal plan $1 billion HK IPOs
(Reuters) - China's Sany Heavy Industry Co Ltd and Inner Mongolia Yitai Coal Co announced Hong Kong initial public offerings that could raise more than $1 billion each as mainland firms increasingly tap Hong Kong for funds. ... http://www.reuters.com/article/idUSTRE63P07D20100426
MONGOLIAN STOCK EXCHANGE NEWS
Ulaanbaatar, /MONTSAME/ At the Stock Exchange trade on Monday, a total of 98.1 thousand shares of 15 JSCs were traded costing MNT 65.6 million.
The Index of top-20 was 10365.10 units decreasing 2.37 units against the previous day. Rate of share of the "Mongolian telecommunication" JSC was increased by 6.49%, but share of the "Darkhan nekhii" JSC was decreased by 3.33%.
3 ETFs to Watch This Week: Gold Miners, Solar Energy, Austria
April 26 (Seeking Alpha) ... Why GDX Could Be On The Move: Before the market opens on Wednesday, the largest component of GDX, Barrick Gold, will give its quarterly earnings report. Barrick Gold, with a market capitalization of almost $40 billion, is one of the largest gold miners in the world and is often seen as a bellwether for the industry. Barrick makes up close to 16% of GDX’s holdings. The company is expected to earn sixty cents for the first quarter of 2010 (see What Every Investor Needs To Know About Commodity ETF Investing for a look at how investors use ETFs like GDX to bet on commodity prices). ... http://seekingalpha.com/article/200737-3-etfs-to-watch-this-week-gold-miners-solar-energy-austria?source=yahoo
Italian cashmere company opens subsidiary in Mongolia
April 26 (news.mn) The Italian company Loro Piana, known for some of the world’s finest luxury cashmere, has opened a subsidiary in Ulaanbaatar, both to establish long-term relationships with nomadic herdsmen and to monitor quality control. This has been accompanied by the publication by the company of ‘Baby Cashmere: The Long Journey of Excellence’, a book charting cashmere production in Mongolia, according to a report in The Financial Times.