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NFC ready to jump on the M&A trail
June 8 (China Daily) BEIJING - China Nonferrous Metal Industry's Foreign Engineering and Construction Co (NFC) is planning more overseas mergers and acquisitions to expand its mineral wealth, a top company official said on Monday.
NFC is also boosting its presence in mineral-rich nations like Canada and Australia through stake buys to have bigger bargaining power in the global arena, said Wang Hongqian, general manager of Beijing-based NFC.
Wang said in developing countries like Mongolia and Laos, NFC will continue to focus on exploring minerals, most of which are needed to satisfy domestic demand for natural resources.
The company has successful overseas expansion experience. Tsairt Mineral Co, in which NFC owns 51 percent stake and Mongolian company Metalimpex Co the balance, has become the biggest joint venture mining company in Mongolia. It has contributed $57 million to Mongolia's exchequer since starting operations in August 2005.
The company has produced 537,100 tons of zinc concentrate and sold $372 million products to China till April this year.
NFC's zinc project has also provided nearly 500 employment opportunities in Mongolia, and directly lifted the nation's gross domestic product by 2 to 3 percent.
http://www.chinadaily.com.cn/bizchina/2010-06/08/content_9947267.htmCabinet To Hand VAT Amendments to Great Khural
June 9 (summarized from Cabinet's Office) Cabinet Meeting on Wednesday agreed to changes in VAT law. These include:
VAT Waivers for:
1. Meat products produced in factories and sold domestically
2. Imported engines, rails, signals, and communication equipment for railways
3. 1500 cm/m3 capacity natural gas (not petrol) engine vehicles produced within 5 years.
No VAT Waivers for:
1. Vehicles produced within 5 years for the purpose of transporting fresh food products.
http://open-government.mn/index.php?option=com_content&task=view&id=1270&Itemid=110UNIVERSITY CAMPUSES TO BE BUILT
June 9, Ulaanbaatar, Mongolia, /MONTSAME/ At the Wednesday's cabinet meeting, some Ministers, Mayor of Ulaanbaatar city and governors of aimags were ordered to take staged measures to develop a university campus and to work out a related plan.
In the first turn, a campus of the Mongolian University of Science and Technology will be moved to the "Shivert" valley, the southeast side of the Nalaikh district. ...
Campuses of universities will be constructed in stages within the year 2021.
Cabinet's Press Release: http://open-government.mn/index.php?option=com_content&task=view&id=1270&Itemid=110Undraa Agvaanluvsan named advisor to Mongolia’s foreign minister
June 9 (Frontier India) Undraa Agvaanluvsan, a CISAC visiting professor, has returned home after being appointed advisor to Mongolia’s Minister of Foreign Affairs and Trade Gombojav Zandanshatar. She will work on nuclear-related issues as well as Northeast Asian security and U.S. affairs.
She recently completed her tenure as deputy director of the Institute for Strategic Studies of the National Security Council of Mongolia, and as director of the Mongolian-American Scientific Research Center (MonAme) in Ulaanbaatar, a center she helped establish that focuses on energy, the environment and mineral-processing technologies.
At Stanford, Undraa conducted research in nuclear energy policy and international security issues concurrent with the expansion of civilian nuclear energy. She also taught a course titled, “Contemporary Issues in Nuclear Energy Policy” in the International Policy Studies program.
http://frontierindia.net/hr/undraa-agvaanluvsan-named-advisor-to-mongolias-foreign-minister/821/Bar owners protest against closure
June 9 (news.mn) Owners of 61 bars, nightclubs, restaurants and shops that had their doors sealed by city officials for working and serving alcohol after hours held a press conference yesterday to protest against the action. They are also members of the Council of Nightclubs and the Union to Support City Culture.
The bar and nightclub owners have suggested that they should be allowed to be open even after midnight, but not sell alcohol.
http://english.news.mn/content/15344.shtmlS3 Investment Company Announces Appointment of Managing Director for Redwood Private Equity Fund
DANVILLE, Calif., Jun 8, 2010 (GlobeNewswire via COMTEX) -- S3 Investment Company, Inc. (Pink Sheets:SIVC) and its wholly owned Redwood Capital subsidiary today announced the appointment of Richard Chiang, who has extensive experience in corporate finance, as Managing Director of the Redwood Asia Fund LP. The private equity fund was formed to facilitate faster capital response to the financing needs of Redwood Capital clients and greater participation in clients' future growth.
The Redwood Asia Fund LP is a growth capital, draw down, private equity fund focused primarily on the opportunities in the greater China region, including Mongolia.
http://www.marketwatch.com/story/s3-investment-company-announces-appointment-of-managing-director-for-redwood-private-equity-fund-2010-06-08?reflink=MW_news_stmpMongolia joins summit members to condemn Israel over Gaza raid
June 9 (news.mn) Mongolia joined several l leaders from the Middle East and Asia to condemn Israel"s raid on a Turkish aid ship bound for Gaza at a summit in Istanbul on Tuesday, calling on the Jewish state to end its "inhuman" blockade of the Palestinian territory, according to a report by Reuters. All members of the Conference on Interaction and Confidence Building Measures in Asia (CICA) except Israel itself denounced it for last week"s raid. President Ts. Elbegdorj led the Mongolian delegation to the summit.
http://english.news.mn/content/15342.shtmlKyrgyzstan to export juice and sauce for Mongolian entrepreneurs
June 9 (24, Kyrgyzstan) Mongolian entrepreneurs plan to supply juice and sauce, as well as raw materials for their production from Kyrgyzstan, the Agribusiness Competitiveness Center (ABCC) informs.
Banks, miners lift market
June 10 (Business Day) The Australian stock market has opened higher, with gains in the financial and materials sectors helping lift the market into positive territory despite a weak finish on Wall Street.
The benchmark S&P/ASX200 index was up 25.3 points, or 0.58 per cent, at 4410.6 points, while the broad-market All Ordinaries index had risen 24 points, or 0.55 per cent, to 4426.6 points.
Next (2nd best performer in ASX 20) was Rio, up 1.07 per cent, or 71 cents, at $67.09.
Bright start for resources
BHP Billiton had risen 31 cents to $37.43, while Fortescue Metals was six cents firmer at $3.97.
Mr Kimber said the market focus was on the prospect of a compromise being reached between the government and mining industry on the proposed resources rent tax.
Gold miners were weaker, with Lihir down by four cents at $4.08 and Newcrest 30 cents lower at $33.20.
The spot price of gold in Sydney was at $US1230.50 per fine ounce, down $US5.90 from Wednesday’s close of $US1236.40.
The most traded security by volume was Australian Mines, with 43.11 million traded for $43,110.
The stock was steady at 0.1 of a cent.
http://www.theage.com.au/business/markets/banks-miners-lift-market-20100610-xx99.htmlAustralian Employers Added 26,900 Workers in May
June 10 (Bloomberg) -- Australian employers added workers in May for a third straight month, underscoring the central bank’s assessment that economic growth will accelerate this year as a mining investment boom stokes hiring.
A rebound in demand from China for resources is spurring hiring at companies including Chevron Corp. as it expands energy projects in Western Australia, keeping the nation’s jobless rate at almost half the level of the U.S. and Europe. The surge was a key reason central bank Governor Glenn Stevens boosted borrowing costs six times since early October in the Group of 20’s most aggressive round of monetary policy tightening.
The Reserve Bank of Australia predicts the nation’s economic growth rate will almost double in the next two years to 4 percent, pushing underlying inflation toward the top of its 2 percent to 3 percent target range.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aIJ85G82wAmU&pos=5Fund slams resource tax
June 10 (Business Day) AUSTRALIA'S largest listed fund manager has joined the growing criticism of the planned resource tax, warning that Australia's ranking of sovereign risk is rising among offshore investors on perceptions the Rudd government had been strong-arming business.
The Australian Foundation Investment Company (AFIC) chairman, Bruce Teele, was damning in his assessment of the planned tax, saying yesterday that investors had been spooked by the lack of consultation.
''I've been in the market for over 50 years and I've never seen people from oversees turn off Australia so quickly. It's very sad.''
AFIC, which has $4.8 billion under management, has a major interest in the direction of the tax debate as it is one of the biggest investors in the companies mostly affected by the proposals.
It holds nearly $530 million worth of shares in BHP Billiton, and its exposure to Rio Tinto is running at $237 million. Former BHP Billiton chairman Don Argus also sits on the AFIC board.
Now China mulls tax on resources
June 10 (Business Day) China is taking steps towards imposing a resources tax for the first time, countering assertions by the mining magnate Andrew Forrest at a rally in Perth yesterday.
On June 1 China's unveiled its first resources tax, at a rate of 5 per cent on fossil fuels in Xinjiang, as a way of retaining some of the region's mineral wealth in local hands.
Since then a vice-premier, Li Keqiang, has advocated a national resources tax in a speech published in Seeking Truth, the Communist Party's leading theory magazine.
http://www.businessday.com.au/business/now-china-mulls-tax-on-resources-20100609-xwwn.htmlJ.P. Morgan Forms China Securities JV With First Capital Securities
HONG KONG, June 9 (Dow Jones)--J.P. Morgan Chase & Co. (JPM) has formed a joint venture with China's First Capital Securities Co., which if approved by regulators would make the Wall Street bank the latest foreign institution to be allowed to underwrite and sponsor deals in China's busy securities market.
Most Asian Stocks Advance as Oil Companies Gain; Mitsui Tumbles
June 10 (Bloomberg) -- Most Asian stocks rose as an increase in oil and metals prices yesterday boosted commodity companies, while Mitsui & Co. tumbled on the potential fallout from the Gulf of Mexico oil disaster.
http://www.bloomberg.com/apps/news?pid=20601087&sid=aHdlKx1Y2rgE&pos=1Stocks Fall in U.S., Treasuries Erase Losses, Euro Pares Gains
June 9 (Bloomberg) -- U.S. stocks fell, wiping out an early rally, and the cost to protect BP Plc from default surged to a record on concern the company will struggle to pay for the cleanup of the Gulf of Mexico oil spill. Treasuries erased losses and the euro pared gains.
The Standard & Poor’s 500 Index dropped 0.6 percent to 1,055.69 at 4 p.m. in New York after rising 1.5 percent earlier. BP’s U.S. shares sank 16 percent, the most since at least 1980,...
http://www.bloomberg.com/apps/news?pid=20601010&sid=aDTsfDbN0ew8Japan Economy Grows 5%, Faster Than Initial Estimate
June 10 (Bloomberg) -- Japan’s economy expanded more than initially estimated in the first quarter, driven by exports and an upward revision to consumer spending.
http://www.bloomberg.com/apps/news?pid=20601087&sid=a6BaHGQnZ4.E&pos=2IMF Says Risks to Economy Have Risen ‘Significantly’
June 9 (Bloomberg) -- Risks to the global economic outlook have “risen significantly” and policy makers have limited room to provide support to growth, International Monetary Fund Deputy Managing Director Naoyuki Shinohara said.
Stocks have tumbled in the past two months on concern that the global recovery will be derailed by the European debt crisis. Policy makers are diverging on prescriptions for sustaining the global recovery, with U.S. Treasury Secretary Timothy F. Geithner calling on Japan and European countries with trade surpluses to boost domestic demand, while Europe’s representatives have said reining in budget deficits was the top priority.
Contortion and gymnastic artists leave for South Africa
June 9 (news.mn) A group of Mongolian contortion and gymnastic artists, led by Haliun, has left for South Africa to perform in various shows in connection with FIFA World Cup 2010. They have been contracted by a South African company.
http://english.news.mn/content/15345.shtmlCharity trip to Mongolia in doubt after van stolen
June 10. THREE men’s quest to drive to Mongolia in an ambulance for charity is in jeopardy after a van containing items vital to the trip was stolen.
Marcus Nimmo parked his son’s white Ford Transit work van outside the Genuine Army Surplus shop on North Road, Darlington, at about 12.30pm on Tuesday.
"Mogi" Munkhdul Badral
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