Saturday, May 8, 2010

Mogi's Friday, May 7, 2010 Morning News

Nightmare on Wall Street: Stocks swiftly dive then recover

Dow industrials recoup some after near 1,000-point plunge, but end sharply off

May 6, NEW YORK (MarketWatch) -- U.S. stocks ended with steep losses Thursday after an afternoon meltdown lopped nearly 1,000 points off the Dow Jones Industrials Average -- its biggest intraday drop ever -- before a comeback of sorts, as Europe's troubles took hold on Wall Street and talk of errant trades exacerbated the swift selloff.
"The panic in the middle of the day was market makers that just disappeared, and every machine on Wall Street was trying to sell into a market that didn't exist. That was a bizarre electronic quant panic of people selling into a black hole," said Boockvar.

Market Drop Fueled by a Crisis, Anxiety and an Error

May 6 (NYT) Combine one part nervous traders, one part Greek crisis and one part trader error. Stir in one part central bank complacency. Bring to boil. Panic.

That combination produced one of the wildest days ever in financial markets, with the Dow Jones industrial average, at one point, down almost 1,000 points while the euro sank to its lowest level in more than a year. There were substantial declines in emerging markets, whose economies had seemed to be booming, and in developed markets
fearful of renewed recessions.

Even though a substantial part of the worst plunge appeared to be linked to a trader error — one $40 stock fell for a time to one penny — prices had fallen around the world even before such mistakes began to happen.

Mogi: Governor of Khanbogd Soum (where OT is located) of Umnugovi Aimag is detained. Umnugovi governor's detention a misreport

May 6 (Summarized from Mongolian & comments inserted) reports that Khanbogd Soum governor Mr. D. Dendevsamba was detained in UB's Gants Hudagt Detention Center on charges of giving land with gold to Chinese citizens.

May 7's Ardyn Erkh daily newspaper (same company as reports that the Soum governor is charged with same charges as's yesterday article reporting the detention of Umnugovi governor, accepting bribes for granting licenses to take gold out of the country to Chinese citizens.

It may have been indeed Khanbogd Soum governor who was detained, not Governor Badraa of Umnugovi. I apologize for yesterday's misreport.

(the article that first reported Umnugovi governor's detention was taken down: had a more credible report:

The journalist telephoned the Central Intelligence Agency's press representative A. Batbileg. Khanbogd Soum governor Mr. Dendevsamba was brought in UB on May 6. He is being currently investigated by Central Intelligence Agency for taking money for granting gold export licenses of tremendous amount.

Mongol Bank Director of Internal Auditing took 23 mln MNT from Anod Bank

May 6 (summarized from Mongolian) In the course of Anod Bank investigation Mr. Togtokhbaatar was revealed to have received MNT 23 mln in bribes.

He may have concealed Anod Bank's losses and it is being investigated by State Bureau of Investigations Economic Crime Unit, the article says.

Prosecutor General resigns

May 6 ( State Prosecutor General M.Altankhuyag has submitted his letter of resignation on health reasons. This was not unexpected as the reputation of Mongolian law enforcing organizations suffered in the aftermath of the July 1 incidents and ever since he assumed office, President Elbegdorj has been nudging Altankhuyag to go. He
made the suggestion in his speech at the opening of the Spring session of Parliament also. Altankhuyag has one year left of his six-year term. The Prosecutor General is appointed by the President and takes office after Parliament’s approval.

COMPOSITION AND VACANCY OF OFFICE APPROVED (government representative to Umnugovi Aimag)

May 6, Ulaanbaatar, /MONTSAME/ Government approved Wednesday a structure, composition and vacancies of an office for the Authorized Representative of Government to work in Omnogobi province.

According to this decision, maximum vacancy number has been fixed at eight staffers--Head of the Office, Senior Officer, Officer in charge of checkpoints, Law Officer, Assistant to the Representative, Translator, Accountant and driver.

Wide support among MPs for railway policy

May 6 ( An MPs’ working group set up by the Speaker decided on Wednesday by 84.4 percent votes that the State policy on railway transportation should be discussed by Parliament. The draft sees the railway as serving processing and manufacturing plants to be built in Sainshand and providing access to the European market by linking with the Trans-Siberian railway.

The MPs felt it was easy to decide to build a narrow railroad to China if Mongolia wanted to be content with exporting raw materials only. This would, however, benefit only mining companies and China, without encouraging domestic industrialization and expanding the job market. They recalled that for decades, Mongolia was just a raw material
supplier to Russia, and it was time to think big.

Minister of Road, Transportation, Construction and Urban Development Kh.Battulga said the estimated cost for the proposed industrial complex in Sainshand was USD10 billion. Some proposals have already been received and work will begin as soon as Parliament approves the policy on railway. Germany buys two million tons of coking coal from
China every year, and has expressed its interest to buy it from Mongolia. Foreign Minister G.Zandanshatar has discussed coking coal export with South Korean officials. He declared that he would be personally responsible for implementing the total plan.

Many MPs were found to have changed their original stand on the new railway but Batj.Batjargal remained firm in his support for a narrow railroad to China.

Every country should do its part to promote non-proliferation: Mongolia

UNITED NATIONS, May 5 (Xinhua) -- Mongolia on Wednesday voiced its strong belief that "every country could and should make its contribution to promoting the goals of nuclear non-proliferation."

The statement came as Ochir ENKHTSETSEG, the Mongolian ambassador to the United Nations, was taking the floor at the conference to review the Nuclear Non-Proliferation Treaty (NPT), which entered its third day at the UN Headquarters in New York.

Government recommends revoking Enjunmen’s license

May 6 ( The Government meeting yesterday recommended the revocation of the license of Enjunmen, a company that mines fluorspar in Airag soum of Dornogobi aimag. Two weeks ago a Mongolian citizen was run over by a car at the mine site after scuffles between mine workers and artisanal miners who worked nearby. Ya.Sodbaatar, head of the State Inspection Agency (SIA), reported that Enjunmen had last year been found to have violated rules and regulations in several areas. It was ordered to halt operations on July 1, 2009 but continued mining, without rectifying the infringements.

(World Bank) Mongolia Monthly Economic Update - March, 2010

(World Bank) In the first quarter of 2010, the trend improvement in the fiscal deficit stalled as the positive impact of improving revenues was offset by expanding expenditures. If expenditures were to continue to rise in step with mining-related revenues, Mongolia risks returning to the boom-and-bust cycle of the pre-crisis years. However, fiscal consolidation is necessary, given the difficult financing conditions projected for the next few years. In particular, 2011 will be a difficult year for the budget as the Windfall Profits Tax will have been abolished.

March 2010 Economic Update:

Economic Update in Brief:,,contentMDK:22566921~pagePK:1497618~piPK:217854~theSitePK:327708,00.html

East Asia Minerals Appoints Edward C. Rochette as Director

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 6, 2010) - East Asia Minerals Corporation (TSX VENTURE:EAS) is pleased to announce the appointment of Mr. Edward C. Rochette to the Company's Board of
Previously he was Senior Vice President of Ivanhoe Mines Ltd., a publicly traded copper and gold mining company with its head office in Vancouver, B.C., Canada, on an international posting from 1991 into 2006 as the "gluemeister" reporting directly to Robert Friedland for 16 years. This responsibility included the negotiation to acquire the world class Oyu Tolgoi copper-gold project, and thereafter living in Mongolia from 2001 to 2005.

Denison Mines Corp. Reports First Quarter 2010 Results

TORONTO, ONTARIO--(Marketwire - May 6, 2010) -
- Development spending will total $8.7 million in 2010 of which $5.0 million will be incurred on the Zambian and Mongolian projects.
Exploration expenditures of $278,000 for the three months ended March 31, 2010 ($217,000 for the three months ended March 31, 2009) were incurred in Mongolia on the Company's joint venture properties. The Company has a 70% interest in the Gurvan Saihan Joint Venture ("GSJV") in Mongolia. The other parties to the joint venture are the Mongolian government as to 15% and Geologorazvedka, a Russian government entity, as to 15%. Under the new Nuclear Energy Law, the Government of Mongolia could acquire a 34% to 51% interest at no cost to the Government. Denison is currently engaged with industry groups and trade representatives in Mongolia to determine how the new law could be applied in practice. Discussions are also underway between industry groups and the Mongolian Government in an effort to have the Government amend some of these provisions. At this time, it is not clear how the Mongolian Government will attempt to apply the new law to the GSJV, in light of the GSJV's Mineral Agreement.


May 6, Ulaanbaatar, /MONTSAME/ Total amount of livestock loss reached seven million 521 thou and 175 heads nationwide as of May 6, the Ministry of Food, Agriculture and Light Industry said.

Grammy award winning band to give concert in Mongolia

ULAN BATOR, May 6 (Xinhua) -- A Grammy winning American band will visit Mongolia next month to give a concert and share the U.S.'s culture with the Asian country, the U.S. Embassy to Mongolia said Thursday.

The Grammy Awards winning band Ozomatli will visit Mongolia as cultural ambassadors of the United States, the embassy said.

Babies: The Awwww Heard 'Round the World

May 6 (Time) In the charming documentary Babies, French filmmaker Thomas Balmes presents us with a quartet of babies, infants freshly birthed in urban settings in Japan and America, as well as sun-baked Namibia and desolate Mongolia.
Read more:,8599,1987707,00.html#ixzz0nD9yVrUQ

No comments:

Post a Comment