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Ivanhoe Says $4.6 Billion Project May Get New Partner
May 19 (Bloomberg) -- Ivanhoe Mines Ltd., building a $4.6 billion copper and gold mine in Mongolia with Rio Tinto Group, said it may bring in another partner after receiving interest in the Oyu Tolgoi project.
“This is likely to have another participant before it’s all over,” Deputy Chairman Peter Meredith said today at a conference in London. “We’ve had a lot interest from other majors but our partner is Rio Tinto so we have to be respectful of what their dreams and desires are.” ... http://www.bloomberg.com/apps/news?pid=newsarchive&sid=a3c3Re0DLqZA
Wide interest in Ivanhoe project stake-exec
LONDON, May 19 (Reuters) - Major mining firms have shown strong interest in buying a stake in the Oyu Tolgoi copper-gold project in Mongolia, majority owner Ivanhoe Mines (IVN.TO) said on Wednesday.
Mining Profit Tax ‘Contagion’ Set to Spread From Australia
May 20 (Bloomberg) -- Australia’s planned 40 percent tax on mining profits has set a benchmark for other countries weighing higher levies, reducing earnings forecasts for BHP Billiton Ltd. and Rio Tinto Group and the attraction of mining stocks. ... BHP, the world’s largest mining company, Xstrata Plc and Rio said they are reviewing projects in Australia, the No. 1 exporter of coal and iron ore, after the government unveiled the tax this month, saying a country’s resources belong to the people. Citigroup Inc. Sydney-based analyst Craig Sainsbury said Canada, Peru and Chile may be next.
... Fortescue Metals Group Ltd., Australia’s third-largest iron ore exporter, has dropped 16 percent and BHP’s Melbourne-traded stock has fallen 9.3 percent, while the Australian currency has slid 7.6 percent since the government announced the tax on May 2. Fortescue this week placed $15 billion of projects on hold, citing the tax. ... Rio, the world’s third-largest mining company, this month said it will spend $401 million to boost iron ore output in Canada, citing the “attractiveness of investing” in the North American nation. BHP has said the tax would stymie investment. ... http://www.bloomberg.com/apps/news?pid=20601087&sid=aEVmLz1wyaGw&pos=5
PM wants outsiders on boards of State companies
May 20 (news.mn) Prime Minister S.Batbold instructed State Property Committee chief D.Sugar on Tuesday to include representatives of civil organizations, professional associations, academics and researchers on the board of directors of state owned organizations and companies. The Prime Minister referred to the widespread criticism that state organizations are not sufficiently open and to rumors that many officials have commercial links with these organizations. Inducting neutral outsiders would improve the current governance practice.
Sugar told the Prime Minister that, as part of the program to develop the capital market, the committee is pushing state organizations to have their own web sites and also to have more independent members in their boards.
May 20 (news.mn) Sensitive financial issues were discussed at a “secret” meeting on Monday attended by members of the Standing Committee on the Economy, and representatives of the International Monetary Fund, the MongolBank, and the National Statistics Office. They talked mainly about the budget deficit and the threat of inflation. ... The IMF, which has lent money to keep the budget deficit within manageable limits, is strongly recommending austerity measures. There seems to be rethinking in the Finance Ministry and Parliament seems to have suspended further discussion on the revised budget. These are likely to resume on Monday, after MPs will have considered what was discussed at the meeting.
Senior CPC official vows to enhance exchange with Mongolia's Democratic Party
BEIJING, May 19 (Xinhua) -- Wang Gang, a member of the Political Bureau of the Communist Party of China (CPC) Central Committee, on Wednesday pledged to enhance exchange and cooperation with the Mongolian Democratic Party (MDP).
A work-for-cash program, financed with a $1.5 million grant from the United Nations, pays herders to gather the carcasses and bury them in pits.
May (NYT Op-Ed) SOUTH HANGAY PROVINCE, Mongolia — They call it the zud, a prolonged period of heavy snows and paralyzing cold that adds to the challenges of living on a treeless expanse nearly the size of Alaska. But this year’s zud followed a punishing summer drought that stunted the grass and left Munkhbat Lkhagvasuren’s herds emaciated and his family in debt after borrowing money for fodder.
Asian Stocks Fall on Europe Concern; Commodity Shares Advance
May 20 (Bloomberg) -- Asian stocks fell for the fifth straight day amid concern the Europe’s debt crisis will hurt the global economic recovery. Commodity companies advanced.
... BHP Billiton Ltd., the world’s largest mining company, gained 0.7 percent in Sydney after commodity prices gained. ... The MSCI Asia Pacific Index fell 0.5 percent to 114.17 as of 9:52 a.m. in Tokyo. The gauge has declined 12 percent from a 52-week high on April 15 on concern debt problems in countries from Greece to Spain will spill over into other European nations. Germany this week introduced a temporary ban on naked short selling to calm the region’s financial markets.
“Germany’s short-sale restriction is spurring suspicion that the situation is actually worse than investors think,” said Mitsushige Akino, who oversees the equivalent of $450 million in Tokyo at Ichiyoshi Investment Management Co. “The global economy is improving and corporate earnings are good, so there are investors who see the recent slump as the best opportunity to buy.” ... http://www.bloomberg.com/apps/news?pid=20601087&sid=ahGyD1sRQQF0&pos=2
Canada Stocks Fall as Euro Rebounds, Weakening Gold Futures
May 19 (Bloomberg) -- Canadian stocks fell for a fifth day, led by gold producers, as the euro gained against all other major currencies a day after Germany put a temporary ban on certain types of bearish trades. ... “It may be perceived that it’s going to cool out speculation in gold,” said Brendan Caldwell, chief executive officer of Caldwell Investment Management Ltd. in Toronto, which manages about C$1 billion ($955 million). “It might be the only thing they can do to prevent a continued run on everything European.” ... S&P/TSX gold stocks retreated as the metal declined 1.8 percent to $1,193.10 an ounce. Barrick Gold Corp., the world’s largest producer, slumped 3.6 percent to C$44.46 to contribute the most to the S&P/TSX’s decline. Goldcorp lost 4.3 percent to C$44.11. Gammon Gold Inc., which mines in Mexico, tumbled 9.4 percent, the most in five months, to C$7.29. ... An index of base-metal and coal producers fell for a fifth day as zinc futures dropped from a seven-month low and copper declined. ... Ivanhoe Mines Ltd., which is building a $4.6 billion copper and gold mine in Mongolia with Rio Tinto Group, retreated 4.8 percent to C$14.38.
IMF’s Lipsky Says Euro Exchange Rate Near Equilibrium
May 19 (Bloomberg) -- The euro’s current level is close to an “equilibrium” value and its decline to the weakest in four years against the dollar may help Europe’s exports, the International Monetary Fund’s No. 2 official said.
2010 on track to be hottest ever - US climate data
LONDON, May 19 (Reuters) - This year is on track to be the hottest ever after data published by America's climate agency this week showed record global temperatures in April and the first four months of 2010.
... "Cooler-than-normal places included Mongolia, Argentina, far eastern Russia, the western contiguous United States and most of China," NOAA said, adding global snow cover was the fourth-lowest on record.
Interview: Esther Jacobson-Tepfer on the Hidden Archaeology of Mongolia's Altai Mountains
May 17 (Heritage Key) Archaeology and Landscape in the Altai Mountains of Mongolia is an ambitious project designed to provide the first ever in-depth survey of the cultural landscape of one of the most remote regions of the world.