Khan Resources says Mongolian court OKs mining license
* Says court rules in favor of unit CAUC's licence
* Says CAUC eligible for license re-registration
* Shares nearly double (Recasts; Adds details, background, updates share movement)
July 19 (Reuters) - Khan Resources Inc (KRI.TO) said a Mongolian administrative court invalidated a decision of the Nuclear Energy Agency (NEA) to cancel its unit's mining license, boosting the Canadian miner's prospects of developing a high-potential uranium project in the country.
Khan Resources shares, which have lost about 75 percent of their value since April after the mining license of its majority-owned unit Central Asian Uranium Co LLC (CAUC) was cancelled, rose as much as 96 percent on the Toronto Stock Exchange.
The company said the Mongolian Capital City Administrative Court has ruled in its favor and the mining license held by CAUC is no longer considered invalidated, and would be eligible for re-registration by the NEA.
Khan said it will continue to challenge the NEA action and was hopeful that its other unit Khan Resources LLC, whose hearing is scheduled for July 22, will also get a favorable decision from the court.
Khan shares were up 18 Canadian cents at 41 Canadian cents Monday afternoon on the Toronto Stock Exchange.
Ivanhoe closer to securing financing for Oyu Tolgoi
July 19 (Financial Post) Ivanhoe Mines Ltd. says it is a step closer to securing financing for its flagship Oyu Tolgoi copper-gold project in Mongolia after adding three financial institutions to its "core lender group" that could potentially lend money.
The Vancouver-based miner said BNP Parabas, Standard Charter, and Export Development Canada (EDC) have been added to a group that already includes the European Bank for Reconstruction and Development (EBRD) and the International Finance Corp. (IFC).
Between the five groups, Ivanhoe hopes to obtain more than US$2-billion in loans to develop Oyu Tolgoi. However, the institutions have not committed any money yet. Ivanhoe said that the IFC and EBRD are considering up to US$600-million in financing, while EDC is considering up to US$500-million.
Ivanhoe badly needs the money, because pre-production costs at Oyu Tolgoi have been pegged at a whopping US$4.6-billion. The company is spending more than US$700-million this year, but will need much more to develop the project.
Ivanhoe is also receiving financing from its strategic investor Rio Tinto Ltd. The companies have skirmished recently as Rio opposed Ivanhoe’s shareholder rights plan and appears to want to convert its stake in Ivanhoe into a direct stake in the Oyu Tolgoi project.
Mongolia Energy posts year net loss narrow
July 19 (Reuters) - Year ended March 31, 2010
(in million HK$ unless stated)
Shr (H.K. cents) 5.22 loss vs 7.25 loss
Net 317.41 loss vs 438.39 loss
Company name Mongolia Energy Corporation Ltd.
NOTE - Mongolia Energy Corp <0276.HK), which engages in energy and related resources, property investments.
Total dividend for year is nil.
For full statement please click here
Mongolian PM, U.S. envoy discuss bilateral ties, cooperation
July 20 (Xinhua) Prime Minister Batbold Sukhbaatar on Monday discussed bilateral ties and cooperation with visiting U.S. Deputy Secretary of State of James B. Steinberg.
Steinberg said the U.S. values its relationship with Mongolia and will expand cooperation with the country by training Mongolian students and specialists in America.
Construction of Parliament building to begin in autumn
July 19 (news.mn) Construction of a 12-storeyed Parliament Building, with funds pledged by the Kuwait Government several years ago, will at long last begin in autumn. Secretary General of the Parliament Office, Ts.Sharavdorj, answers questions on the landmark project.
The Kuwait Government agreed to spend USD12 million several years ago. Will this be enough now that all prices have risen?
The Kuwait Government has said there’s no need to worry about the funding.
Didn’t we also ask Kuwait for funds to build a central library and a general hospital?
They want us to first build the Parliament House.
Development Bank in 3Q; “Beehive” Program; HDF Allowance to Resume in Aug.
July 20 (summarized from open-government.mn) On today’s cabinet meeting the following were decided of notice:
1. Remainder of the HDF distribution to citizens (the first of which was MNT 70K distributed from February) is to be distributed in increments from this August.
2. National Development Bank (NDB) is to be established Q3 2010. Every MNT 100B invested through NDB is to bring 1% GDP growth.
3. Head of Cabinet Secretariat briefed the cabinet on the progress of Sainshand Industrial Complex Plan. National Development and Renovation Innovation Committee Chairman Ch. Khashchuluun is to carry out selection of the overall project’s advisor and legal advisor.
4. “Beehive Program” is to be set up to create a suitable environment for Mongolians residing abroad to return and work at their motherland. Beehive will provide needed information for, and create a skills and education database of, and database on local employers for Mongolians working overseas.
5. Establishment of a Concession List was supported in general, but cabinet emphasized transparency and the issue is to be discussed further tomorrow July 21st cabinet meeting
Parliament to Decide TT in Fall
July 20 (summarized from open-parliament.mn) Deputy Speaker N. Enkhbold made a press statement in connection with the closing of parliament’s spring session. He emphasized the following achievements of interest:
1. Ratifying the Law on Fiscal Stability, which creates a Fiscal Stabilization Fund.
2. Parliament Decree to establish a copper smelter
3. State Railroad Policy (which states Mongolia will use wide gauge but cabinet will introduce individual cases where narrow is preffered)
4. Parliament Decree on “Certain Issues Concerning Mining TT”, which will create “Erdenes-Tavan Tolgoi” LLC (EET) as Erdenes MGL’s daughter and transfer TT license to the newly established company. 10% of EET will distributed equally among citizens for free, 10% is to be sold to local firms, up to 30% through be IPO-ed.
KHAN BANK SELECTED BEST BY EUROMONEY MAGAZINE
Ulaanbaatar, Mongolia, /MONTSAME/ The Khan Bank has received the "Best Bank" of Mongolia award which is organized every year by The Euromoney, the world prestigious magazine, the Khan Bank's website reported Tuesday.
Speaker D.Demberel in Geneva
Parliament Speaker D. Demberel has left Ulaanbaatar for Geneva to attend the 3rd World Conference of Parliament Speakers on July 19-21, 2010.
Stocks snap losing streak as hopes rise
July 20 (AAP) Australian shares rise for the first day in four as investors bet recent pessimism about the economy was overdone. Miners led gains.
Local investor interest also focused on the central bank's view of the global economy and its view that if inflation figures warranted such a move.
''Also the Chinese market rallied for quite a bit this afternoon,'' Mr Muller said. ''So we got some leverage there on speculation that the Chinese government is not going to have to tighten monetary policy, moving forward, which is certainly beneficial for the resources companies.
''As a result, you've got (global miners) BHP Billiton and Rio Tinto leading the leverage in the market today.''
Shares in BHP Billiton rose 55 cents to $38.30, and Rio Tinto lifted $1.47 to $66.50.
The price of gold at 1634 AEST was $US1183.50 per fine ounce, down $US8.03 on Monday’s close of $US1191.53.
Preliminary market turnover was 1.69 billion shares worth $4.81 billion, with 606 stocks up, 395 down and 318 unchanged.
Asian Stocks Rise for First Time in Four Days on China Housing
July 20 (Bloomberg) -- Asian stocks rose, driving up the MSCI Asia Pacific Index for the first time in four days, on speculation China’s government will soon end policies to cool the housing market.
China Resources Land Ltd., a state-controlled developer, gained 3.4 percent in Hong Kong as International Strategy & Investment Group said China will relax tightening policies. China Overseas Land & Investment Ltd., the No. 1 Hong Kong- traded Chinese developer by market value, climbed 2.4 percent. Toyota Motor Corp., a Japanese carmaker that counts North America as its biggest overseas market, sank 2.6 percent after U.S. home-builder confidence dropped more than forecast.
The MSCI Asia Pacific Index rose 0.1 percent to 115.49 at 7:24 p.m. in Tokyo, with about five stocks advancing for every four that declined. The gauge has slumped 11 percent from this year’s high on April 15 as Europe’s debt crisis and China’s steps to curb property prices fueled concern that global economic growth will slow.
China’s Shanghai Composite Index climbed 2.2 percent, and Hong Kong’s Hang Seng Index gained 0.9 percent. Australia’s S&P/ASX 200 Index rose 1 percent.
Japan’s Nikkei 225 Stock Average dropped 1.2 percent, the only major benchmark index in the Asia-Pacific region to fall.
Futures on the Standard & Poor’s 500 Index dropped 0.9 percent. In New York yesterday, the index rose 0.6 percent as optimism about earnings from technology and energy companies overshadowed a drop in financial shares.
BHP Billiton Ltd., the world’s largest mining company, advanced 1.5 percent to A$38.30 in Sydney, the biggest single contributor to the MSCI index. Rio Tinto Group, the No. 3 mining company worldwide, climbed 2.3 percent to A$66.50. Jiangxi Copper Co., China’s largest producer of the metal, gained 2.9 percent to HK$15.50 in Hong Kong. Aluminum Corp. of China Ltd., China’s biggest aluminum producer, rose 3.7 percent, the steepest increase on the Hang Seng Index.
D.Zolzaya Became the First Mongolian Women to Scale Everest
July 20 (UB Post) --
"Mogi" Munkhdul Badral
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