CPSI NewsWire brings you market updates on Mongolia, compiled by CPS International, a Mongolian marketing arm of CPS Securities, a Perth, WA based stockbroking and corporate advisory firm, specialising in capital raising for mining and junior stocks.
Wish to subscribe or unsubscribe? Let me know.
See Mongolia related quotes at bottom of newsletter
GUF down 1.5% intraday
Guildford Coal hits milestone with 63.1Mt maiden coking coal resource in Mongolia
November 15 (Proactive Investors) Guildford Coal (ASX: GUF) has confirmed an initial JORC Resource of 63.1 million tonnes of coal with coking potential at its South Gobi project in Mongolia.
The maiden resource comprises 38.2 million tonnes in the Indicated category and 24.9 million tonnes in the Inferred category.
A boost to the South Gobi project, which comprises five exploration licences, is that it is located approximately 60 kilometres from the Chinese border station town of Ceke, where coal from Mongolia is currently transported through to China.
The maiden resource underpins the potential start-up of a 1 to 2 million tonnes per annum open cut mining operation.
Guildford Coal has lodged mining licence applications for EL13780X and EL5262X and both are expected to be granted prior to the end of 2011.
The company is also in the process of completing Scoping Studies for the start-up operation with the goal of beginning mining from the North Pit (EL13780X) by the June quarter of 2012.
Drilling will continue on the other key tenements in the South Gobi Project to define a JORC Resource for the Central, West and East Pits.
ROB up 50% intraday
Robe: UPDATE ON MONGOLIAN COAL EXPLORATION LICENSE OPTION
November 15 -- The Board of Robe Australia Limited (ASX: ROB) (Robe) advises that it has commissioned and received a Geologist Report from Mr M. Bold-Erdene in respect to exploration license area XV-010643 being the area optioned by Robe and previously advised to the ASX.
The Board is currently considering the report and notes that the project is well located in the western coal province of Mongolia which has hosted several seams of Upper Permian Age Coal. Further exploration will be required to confirm the presence and quality characteristics of the coal and to define JORC code compliant resources.
Subject to further due diligence, the Board expects to provide advice in relation to exercising its option or otherwise by 30 November 2011.
Tembusu: Incorporation of New Subsidiary (Nova Mongolia)
November 11, Tembusu Investments Limited (AIM:TIL) -- The Board has recently been looking at the opportunities offered by the high economic growth in Mongolia.
It has been reported that Mongolia has been experiencing high economic growth recently. It appears that Mongolia is expected to continue to have high economic growth powered primarily by its natural resources sector. The Board feels that it is possible to enhance shareholder value by acquiring or building suitable high growth businesses in Mongolia in line with the existing investment strategy of the Company.
The Company has recently incorporated Nova Mongolia Corp Pte Ltd, a Singapore incorporated company ("Nova Mongolia"). Nova Mongolia will have an initial paid up capital of S$1,000 (Singapore Dollars One Thousand); Chan Fook Meng, Chairman and CEO of Tembusu, is presently the sole director of Nova Mongolia. It is intended that Nova Mongolia be the vehicle to look for, and capitalise on, opportunities offered by the high economic growth in Mongolia.
Nova Mongolia expects to appoint more directors as well as management and will make such announcements, as and when, appropriate. There could be more shareholders. If opportunities present themselves, Nova Mongolia may raise funds to take advantage of such opportunities.
The management feels that it is appropriate to change the name of the Company to "Nova Resources Limited" to reflect its change of investment strategy and direction. A general meeting will be convened for the shareholders to consider the change of name and a further announcement will be made at the appropriate time.
HAR up 6.5% intraday
Haranga: Board Appointment
November 14, Haranga Resources Limited (ASX:HAR) --
Haranga Resources Limited announces the appointment of Mr. Bat-Ochir Sukhbaatar to the Company’s Board as a Non-Executive Director.
Bat-Ochir is a highly successful businessman and entrepreneur with more than twenty years of experience in international commerce, public relations, trade policy, and infrastructure building in Mongolia.
Bat-Ochir began his career with the Ulaanbaatar City Authority, ultimately employed as senior engineer-economist. In 1992 he co-founded one of the first private companies in Mongolia focusing on the trade and distribution of imported petroleum and petroleum products in Mongolia through the Global Line Company LLC network of petrol stations and wholesale dealers.
In 2009, he and his partners established Geotrass LLC which is engaged in road, bridge and dam construction, fibre optic communications installation and mining logistics.
Bat-Ochir graduated from the Moscow State Automobile and Road Technical University in Russia and obtained an MBA from the City University of Seattle in the USA. Bat-Ochir is a native of Mongolia and fluent in Russian and English.
Haranga Resources is fortunate to have been able to work with Bat-Ochir on a number of previous occasions and believes that having someone with his extensive in-country expertise, experience and insight will greatly strengthen the Board and enhance the Company’s ability to successfully operate and execute its business strategy in Mongolia.
BDI down 14.3% intraday
Blina: DELAY IN MONGOLIAN EXPLORATION RESULTS
November 14, Blina Minerals NL (ASX:BDI) --
The Board of Blina Minerals NL (Blina Minerals) (ASX: BDI), wishes to advise that the outcome of the review by an independent expert of the assay results for the Mongolian exploration program, which was expected by 14 November 2011, has not yet been finalised.
The Company will advise the market as soon as the results of the review are to hand.
CEO up 2% intraday
C@: Investor Presentation
November 15, C @ Limited (ASX:CEO) --
IVN closed up 3% in NY
UPDATE 2-Ivanhoe Mines turns profit, Oyu Tolgoi on track
* Sees Oyu Tolgoi construction 70 pct complete by end 2011
* Q3 profit $0.01/share vs loss $0.05/share in Q3 2010
* Shares up 4.43 percent at C$21.67 on TSX
Nov 14 (Reuters) - Ivanhoe Mines (TSX:IVN, NYSE:IVN) said on Monday that construction at its Oyu Tolgoi copper-gold project in Mongolia will be 70 percent complete by the end of 2011, with commercial production seen in the first half of 2013.
Ivanhoe also reported a quarterly profit on Monday, as gains from its coal subsidiary and a settlement of notes receivable outweighed exploration costs, sending shares up more than that 4 percent on the Toronto Stock Exchange.
The company said it spent $2.2 billion on Oyu Tolgoi in the first nine months of 2011, slightly over the budget of $2.1 billion, and that development was 54.4 percent complete at the end of September.
Vancouver-based Ivanhoe, which is led by Robert Friedland and is 48.5 percent owned by global mining giant Rio Tinto , is focused on developing the Oyu Tolgoi project, which is located in Mongolia's South Gobi region and is one of the largest known copper deposits in the world.
In October, Ivanhoe, Rio Tinto and the Mongolian government agreed to maintain their 2009 ownership agreement, ending discussions over possible changes.
The deal gives Ivanhoe a 66 percent stake in project. The Mongolian government holds the remaining 34 percent stake and can increase its stake to 50 percent after 30 years.
Ivanhoe has spent about $3.2 billion on construction at Oyu Tolgoi so far. The company said costs in 2012 are expected to be in line with earlier estimates.
Oyu Tolgoi's average annual output during its first 10 years of commercial production is expected to exceed 650,000 ounces of gold, 3 million ounces of silver and 1.2 billion pounds (544,000 tonnes) of copper.
Shares of Ivanhoe rose 4.43 percent to C$21.67 on Monday morning on the Toronto Stock Exchange. The mining company also has stakes in projects in Kazakhstan and Australia.
TURN TO PROFIT
Ivanhoe reported net income of $7.3 million, or 1 cent a share, in the third quarter, ended Sept. 30. That compared with a loss of $24.9 million, or 5 cents a share, a year earlier.
Revenue rose to $60.5 million from $6.6 million.
The company said it made preliminary sales agreements in the third quarter for product mined from Oyu Tolgoi. Ivanhoe expects that most of the copper will be delivered to China.
Ivanhoe's Oyu Tolgoi may need power plant early if electricity can't be imported
VANCOUVER, November 14 (The Canadian Press) - Ivanhoe Mines (TSX:IVN) warned Monday that if a deal to import power from China for its Oyu Tolgoi copper and gold mine in Mongolia falls through, the company may have to construct a coal-fired power plant ahead of schedule.
Building the power plant would delay commercial production and add to the initial costs of building the mine which is currently expected to achieve commercial production in 2013, the company said.
"Although construction of a power plant is expected as part of the Oyu Tolgoi project's future development, there is no provision for a plant in the current capital cost estimates for 2011 and 2012 and the financing that would be required is not contemplated as part of the company's current financing plan," Ivanhoe said in a statement.
Ivanhoe has held talks with the Mongolian and Chinese governments regarding securing the power from China by the third quarter of next year. However, if that is not possible, a study of alternative arrangements has found that advancing the construction of the coal-fired power plant in Mongolia would be the best option.
The Toronto-listed company said Monday overall construction was 54.4 per cent complete by the end of the third quarter and expected to be about 70 per cent finished this year.
The company reported a third-quarter profit of US$7.3 million or one cent per share of net income in the third quarter, compared with a loss of US$24.9 million or five cents per share a year earlier.
The copper and gold mine isn't yet producing revenue. But the company, which reports in U.S. currency, had $60.5 million in coal sales revenue from its stake in SouthGobi Resources (TSX:SGQ) and the Ovoot Tolgoi mine in southern Mongolia. That was up from $6.6 million a year earlier.
Ivanhoe owns 66 per cent of Oyu Tolgoi, one of the biggest copper developments in the world, while the Mongolian government owns 34 per cent.
Anglo-Australian mining firm Rio Tinto PLC (NYSE:RIO) owns 49 per cent of Ivanhoe, with the right to increase that after a standstill agreement expires on Jan. 18.
Ivanhoe received a letter from a representative of the Mongolian cabinet late in the third quarter asking the company and Rio Tinto to discuss potential changes to the investment agreement.
However, the government later backed away from the request and reaffirmed its continued support for the original investment agreement signed two years ago.
Oyu Tolgoi is expected to produce 1.2 billion pounds of copper and 650,000 ounces of gold per year in the first decade of operation.
In addition to its stake in Oyu Tolgoi, Ivanhoe holds a 57 per cent interest in Mongolian coal miner SouthGobi Resources, 54 per cent stake in Ivanhoe Australia (TSX:IVA) and a 50 per cent interest in Altynalmas Gold Ltd., a private company developing a gold project in Kazakhstan.
Ivanhoe shares were up $1 at $21.75 in trading Monday on the Toronto Stock Exchange.
Ivanhoe Says Ruling on Rio Arbitration Expected in December
(Updates with construction schedule in fifth paragraph.)
Nov. 14 (Bloomberg) -- Ivanhoe Mines Ltd., which owns 66 percent of the Oyu Tolgoi copper and gold project in Mongolia, said a ruling in the arbitration proceedings with Rio Tinto Group over a shareholder-rights plan is expected in December.
Hearings before the arbitrator started Oct. 4 and ended Nov. 4, Vancouver-based Ivanhoe said today in its third-quarter earnings statement.
Ivanhoe and London-based Rio have been in arbitration over Ivanhoe’s adoption last year of the rights plan and Ivanhoe’s claim that Rio broke an agreement not to discuss selling a stake in Ivanhoe or the Oyu Tolgoi mine with potential buyers without Ivanhoe’s permission. Rio, which owns 49 percent of Ivanhoe, is barred from making a hostile bid for Ivanhoe under an agreement that expires Jan. 18.
The project will be one of the world’s five biggest copper mines, according to Rio, which is managing development.
Overall construction of Oyu Tolgoi was 54 percent complete as of the end of the third quarter and should be more than 70 percent complete by the end of this year, Ivanhoe said today. Commercial production is expected to begin within the first half of 2013, the company said.
Ivanhoe rose 4 percent to C$21.58 at 12 p.m. in Toronto. The shares have declined 6.3 percent this year.
UOBKH ups SouthGobi (01878) to "hold" & HK$66
November 11 (ET Net) UOB Kay Hian upgraded SouthGobi Energy (01878) to "hold" from "sell" in view of its operational improvement, and raised its target price to HK$66 from HK$61.
The research house thinks SouthGobi earnings growth in 2012 and 2013 should be driven by volume growth (up from 4.5mt of raw coal production to 7-8mt in 2012 and 2013) and margin
improvement on selling washed coal.
UOBKH maintained its view that SouthGobi should not turnaround in 2011 on a recurrent basis (excluding the non-cash item). It cuts 2012 earnings to factor in volume reduction in 1Q 2012, and raised 2013 earnings forecast by 57% to reflect the margin expansion upon selling washed coal and volume growth. (KL)
Manas: Quarterly Report
November 14, Manas Petroleum Corporation (TSX:MNP, OTC:MNAP) --
…
Mongolia
Our 2011 work program in Mongolia is based on the integration of all available data acquired by Gobi Energy Partners (“Gobi”) from the region. We were concentrating on our two blocks – Block XIII, Tsagaan Els and Block XIV, ZuunBayan – and the area operated today by Dongsheng, which just finalized its field development. Gobi acquired this data by conducting its own surveys in recent years and from former operators as well as the local authorities. The data includes 431 wells and 951 km of 2D seismic in addition to several gravity surveys, field data and the results of last year’s seismic program.
This evaluation resulted in a work program consisting of up to 1700 km 2 D seismic covering 10 prospective areas over both blocks, identified by the integrated approach. The 2D survey is designed in 8 phases without any interruption between the phases; however, some phases show interdependencies. The contract with the seismic contractor is based on 532 km full fold as a firm program and a further 1,106 km full fold as an optional program.
Since the commencement of this program in August we have acquired 786 km full fold data and optioned up for 1063 km full fold data. The seismic quality is good and the chosen phased program approach has proved successful. Phases have changed due to the in time control and the survey has been adapted to the needs, i.e. we are concentrating on the prospective areas as defined by the key lines and leads defined during the survey. In the next report we hope to include a table showing the planned and actual data.
Sinopec Mongolia LLC (“Sinopec”), a wholly-owned subsidiary of China Petrochemical Corporation (Sinopec Group), is Gobi`s contractor for this seismic survey. Sinopec has extensive seismic experience in this area. Sinopec is using Sercel equipment for this survey. The total cost of the whole program, including mobilization and demobilization, is projected to be $4.2 million.
Using information from this seismic survey, we hope to spud the first well in the second quarter of 2012.
…
Sinobo: Qinbayin Molybdenum Mine’s Construction Work is in Full Swing
October 25 (Sinobo) It’s been over a month since the ground-breaking ceremony took place and the construction of Qinbayin Molybdenum Mine is now in full swing. Up to now the construction has progressed rapidly and real progress has been made in important areas including the preparation work for the main and auxiliary shafts, drilling and blasting, water filter material selection, etc. Qinbayin Molybdenum Mine is a subsidiary of Rich Resources and is a key overseas investment made by Sinobo Mining, which wholly owns and manages the Qinbayin Molybdenum mine. The preparation work for the main and auxiliary shafts has come to an end and they are ready to use. The fulfillment of the water filter selection satisfies standards for use.
In the past month the Mongolia State Bureau of Technical Supervision conducted it’s annual inspection of Qinbayin Molybdenum mine and rated it as a “low risk” enterprise. The inspectors also highly praised the management of the mine.
Related:
Rich Resources Development’s Qinbayin Molybdenum Mine Holds Ground-breaking Ceremony in Mongolia
September 5 (Sinobo) Sukhbaatar Province’s grassland flourishes in August and the view is magnificent. On the morning of August 31, Sinobo Mining’s Rich Resources Development subsidiary held the ground-breaking ceremony for its Qinbayin Molybdenum Mine in Mongolia. Hundreds of guests participated in the ceremony including Mongolian senators, the Chairman of the Red Cross, the governor of Sukhbaatar, local officials, Chinese and Mongolian customers, local celebrities and other stakeholders.
We invited the venerable abbot of Darcy QiaoLeng Temple (living Buddha Dang Ba Zha Bu) to pray at the ground-breaking ceremony. The ceremony attracted many nomads from the surrounding area and other provinces and the atmosphere was extremely lively.
During the ceremony Mr. Zhou (Chairman of Sinobo Group) made a welcome speech and thanked the Chinese and Mongolian governments, relevant government departments, customers and collaborating parties for their support. Mr. Zhou asked the staff of Rich Resources Development to utilize Sinobo’s core values to build Qinbayin into a model mining project in Mongolia that will serve as a bridge between China and Mongolia and contribute to both nations’ prosperity.
Sukhbaatar Province’s governor Batusuer and Dong Wu Qi’s deputy banner Na Bu Qi Ma sent their congratulations to the opening ceremony on behalf of their respective local governments. According to them, as an international mining company, Sinobo Mining plays an important role in the development of local economies and in creating a new model for foreign mining companies. They hoped that Rich Resources Development would assure the high standard of the program by leveraging Sinobo Mining’s strength in capital, technology and management to make a greater contribution to the development of the local economy and for the benefit of local stakeholders.
At 11:18 am Mr. Zhou commenced the ground-breaking ceremony. Chinese and Mongolian officials and VIP guests entered the site following Mr. Zhou and laid the ground to the accompanying sound of fireworks.
Qinbayin Molybdenum Mine is one of the most important projects invested in and operated by Sinobo Mining. Its launch on schedule is a milestone for the company and has laid a solid foundation for Sinobo Mining’s quick expansion and the realization of Sinobo Group’s overall strategy.
Qinbayin Molybdenum Mine’s planned land area is approximately 70 acres and construction is scheduled to be completed before the end of 2013. Once put into operation its annual output of ore will be up to 1.35 million tons and molybdenum concentrate of up to 5000 tons. It will create up to 700 jobs for the local community.
STOCK EXCHANGE WEEKLY NEWS
Ulaanbaatar, Mongolia, November 14 /MONTSAME/ Five stock trades were held at Mongolia's Stock Exchange from November 7-11. In overall, one million shares were sold of 80 joint-stock companies totaling MNT 5.9 billion.
Index TOP-20 was 21005.53 points decreasing 125.3 units or 0.6 percent against the week earlier. The total market capitalization was set at MNT two trillion 216.2 billion decreasing MNT 54.2 billion or 2.4%.
Shares of "Sodot" /101.0%/, "Undarga Omnogobi" /101.0/, and "Arbayankhangai" /100.7%/ increased, but shares of "Berkh-Uul" /28.6%/, "Mongol nekhmel” /12.1%/, and "Shivee-Ovoo" /8.6%/ decreased. Were closed higher 59 stocks, 15 shares declined, and six shares remained unchanged.
Shares of "Remikon" /343.6 thousand units/, "Baganuur" /34.6 thousand units/ and "Hermes center" /105.4 thousand units/ were the most actively traded in terms of trading volume, and in terms of trading value--"Baganuur" (MNT 5.3 billion), "Shariin gol" (MNT 246.8 million), and "Tavan tolgoi" (52.5 million).
KHAN BANK ANNOUNCES CHANGES IN MANAGEMENT
November 7 (Khan Bank) Khan Bank announced yesterday that Simon Morris has decided to resign in order to join a larger Asian bank as Chief Executive Officer.
Mr. Hideo Sawada, the Board Chairman, commented: “During his time as CEO, Simon has taken the Bank to a new level of performance, and he leaves the Bank in very good shape. We thank him for his endeavors.”
“My time at Khan Bank has been rewarding and fulfilling,” said Simon Morris. “I would like to thank the Board, our customers, and staff for the support, trust, and confidence that they had in me whilst I was the CEO of this bank”.
Khan Bank announced that Mr. Norihiko Kato is appointed as Acting CEO. Mr. Kato is an experienced banker with over 25 years of experience in top management positions in the Bank of Tokyo-Mitsubishi UFJ in the Middle East, Netherlands, the USA and Japan. In 2009-2010, Mr. Kato led the Wholesale Banking team at Khan Bank and was successful in building up the skills and capacities of the team, leading the restructuring of problem loans, and introducing new services and products for corporate clients of the Bank.
Mr. Kato commented: “I’m very excited about this opportunity to work with the Bank’s customers and staff again.”
Khan Bank also announced that Mr. D. Molomjamts has been appointed as Independent Director of the Bank. The Board is honored that Mr. Molomjamts accepted the offer to join the Board. As a former Governor of Bank of Mongolia and Minister of Finance, his extensive experience will be invaluable to the Bank.
Khan Bank, the leading bank of Mongolia, provides comprehensive financial services and offers innovative financial products based on advanced technology for its 1.6 million customers through the widest branch network of 500 online offices and 260 ATMs located throughout Mongolia. Khan Bank was the first bank to introduce various e-banking services that enable customers to use banking services beyond time and space.
Social and economic situation of Mongolia (As of the first 10 months of 2011)
November 10 (National Statistics Office) --
I. Social indicators
In the first 10 months of 2011, 58667 mothers delivered 58897 children (live births) increased by 3423 mothers or 6.2 percent, and 3444 children or 6.2 percent, compared to the same period of previous year.
In the first 10 months of 2011, at national level infant mortality decreased by 118 or 10.9 percent to 965, and child mortality aged 1-5 decreased by 80 or 27.4 percent to 212 compared to the same period of previous year.
The number of unemployed who had registered at Labour and Welfare Service Divisions in aimags and capital city and were actively looking for job reached 39.4 thousand at the end of October, 2011, reflecting a decrease of 950 persons or 2.4 percent compared to the same period of the previous year.
Compared to the same period of the previous year, the decrease in the number of registered unemployed was mainly due to the decreases in Uvs (951 persons), Bayankhongor (895 persons), Zavkhan (892 persons), Sukhbaatar (319 persons), Tov (304 persons), Khentii (264 persons), and Dundgovi (200 persons) aimags.
In the first 10 months of 2011, 606.5 thous.persons were registered as insurer, of which 395.5 thousand or 65.2 percent were those from the establishments, and 211.0 thousand or 34.8 percent from the government budgetary organization. Compared to the same period of previous year, the number of insurers increased by 74.5 thousand or 14.0 percent, of which the increased by 66.1 thousand or 20.1 percent from establishments, and increased by 8.3 thousand or 4.1 percent from government budgetary organization...
In the first 10 months of 2011, social welfare pensions and benefits allocated to 56.8 thous.persons, showing an increase of 1.1 thous.persons or 2.0 percent, total amount of the allocated fund increased by 6.9 bln.tog or 31.6 percent compared to the same period of the previous year.
In the first 10 months of 2011, 603.9 bln.tog were distributed to 2.7 mln.persons (double counting) from the Human development fund. In the first 10 months of 2011, the number of infectious disease cases was 4067 persons, increase by 516 cases or 14.5 percent compared the same period of the previous year. The increase in the number of infectious disease cases was mainly due to the increases of 608 persons or 44.3 percent in viral hepatitis although there was decreases of 143 persons or 50.5 percent in shigellosis, 38 persons or 7.9 percent in gonococcal infection, 36 persons or 42.9 percent in varicella, 13 persons or 3.4 percent in trichomoniasis.
At national level, 15966 crimes were registered in the first 10 months of 2011, reflecting a decrease of 176 crimes or 1.1 percent compared to the same period of the previous year. The decrease in the number of crimes was mainly due to the decreases in crime against the right of ownership (561), crime against human life and health (or physical well-being) (136), and crime against population health (56), although there were increases in crime against social security (254), crime against the rules of safety of traffic and use of motor vehicles (230), crime against children, family and social morality (51), and crime against administrative rules (39) compared to the same period of previous year.
In the first 10 months 2011, occurred crimes caused 6581 injuries and 888 deaths. The number of injuries up by 855 persons or 14.9 percent and the number of deaths down by 220 persons or 19.9 percent compared to the same period of the previous year.
II. Macroeconomic indicators
The national consumer price index in October, 2011 increased by 0.8 percent compared to the previous month, increased by 6.7 percent from December 2010, and increased by 10.9 percent compared to the same period of the previous year. The increase in national index compared to the previous month was mainly due to the increases of 0.4 percent in food and nonalcoholic beverages, 1.6 percent in clothing, footwear and cloth, and 2.6 percent in housing, water, electricity and fuels. According to the report of the Bank of Mongolia, money supply (broad money or M2) at the end of October 2011, reached to 6088.3 bln.tog, reflecting an increase of 24.4 bln.tog or 0.4 percent compared to the previous month, and by 2215.2 bln.tog or 57.2 percent compared to the same period previous year.
At the end of October 2011, currency issued in circulation reached 694.9 bln.tog, decreased by 10.3 bln.tog or 1.5 percent compared to the previous month, and increased by 232.7 bln.tog or 50.3 percent compared to the same period of previous year.
Loans outstanding at the end of October 2011, amounted to 5221.9 bln.tog, up by 161.5 bln.tog or 3.2 percent compared to the previous month, and by 2131.6 bln.tog or 69.0 percent compared to the same period of the previous year.
Principals in arrears at the end of October 2011 reached 71.0 bln.tog reflecting increases of 10.5 bln.tog or 17.4 percent compared to the previous month, decreases 7.6 bln.tog or 9.7 percent compared to the same period of the previous year. At the end of October 2011, the nonperforming loans over the bank system reached 347.5 bln.tog, showing decreases of 9.8 bln.tog or 2.7 percent compared to the previous month, and of 54.8 bln.tog or 13.6 percent compared to the same period of the previous year.
In October 2011, there were 21 trading days and 51.2 mln.shares valued at 7.9 bln.tog were traded. In October 2011, the TOP-20 average index reached 20662, showing decreases of 894.6 points compared to the previous month.
In the first 10 months of 2011, total revenue and grants of the General Government Budget amounted to 3474.3 bln.tog and total expenditure and net lending amounted to 3284.6 bln.tog, representing surplus of 189.7 bln.tog in the General Government Budget overall balance. In the same period of previous year, the overall balance was in surplus of 47.1 bln.tog. In the first 10 months of 2011, General Government Budget overall balance surplus was mainly due to the revenue growth pace exceeded the expenditure growth by 5.3 percentage points. Current revenue of the General Government Budget amounted of 3394.3 bln.tog and current expenditure reached 2484.8 bln.tog. Thus, the budget current balance was in surplus of 909.5 bln.tog. Compared to the same period of the previous year, tax revenue increased by 964.7 bln.tog or 46.7 percent. The increase was mainly due to the increases of 494.6 bln.tog or 73.6 percent in taxes on goods and services, 303.9 bln.tog or 2.3 times in other taxes, 128.0 bln.tog or 41.0 percent in corporate income tax, 126.4 bln.tog or 84.2 percent in taxes on foreign trade, 120.5 bln.tog or 49.2 percent in social security contribution, although there was decreases of 267.4 bln.tog or 82.7 percent in price increase tax of some products.
Compared to the same period of the previous year, non-tax revenue increased by 120.7 bln.tog or 49.9 percent. The increase was mainly due to the increases of 63.5 bln.tog or 62.4 percent in revenues from budget entities, 28.4 bln.tog or 3.4 times in revenues from dividends, 14.3 bln.tog or 66.6 percent in revenues from interest and fines, and 10.7 bln.tog or 28.5 percent in revenues from oil petroleum.
In the first 10 months of 2011, total expenditure and net lending of the General Government Budget increased by 983.4 bln.tog or 42.7 percent to 3284.6 bln.tog compared to the same period the previous year. This was mainly due to increases of 556.7 bln.tog or 70.3 percent in subsidies and transfers, 233.3 bln.tog or 26.8 percent in expenditure of goods and services, 169.8 bln.tog or 44.4 percent in capital expenditure, 30.6 bln.tog or 14.1 percent in lending minus repayments, although there was decreases of 7.0 bln.tog or 18.2 percent in interest payment.
Spending of 552.2 bln.tog on capital expenditure in the first 10 months of 2011, was higher by 169.8 bln.tog or 44.4 percent compared to the same period of the previous year. The increase in capital expenditure was due to the increases of 138.1 bln.tog or 37.1 percent in capital expenditure of domestic sources and 31.8 bln.tog or 4.0 times in foreign financed capital expenditure.
In the first 10 months of 2011, Mongolia traded with 122 countries from all over the world and total external trade turnover reached 9141.0 mln.US dollars, of which exports made up 3788.6 mln.US dollars and imports made up 5352.4 mln.US dollars.
External trade balance showed a deficit of 1563.7 mln.US dollars in the first 10 months of 2011, increased by 1305.7 mln.US dollars or 6.1 times compared to the same period of the previous year. External trade balance showed a deficit of 219.2 mln.US dollars in October, 2011, increased by 201.3 mln.US dollars or 12.3 times from 17.9 mln.US dollars deficit in October, 2010.
Total external trade turnover increased by 4331.2 mln.US dollars or 90.0 percent compared to the same period of the previous year, of which imports up by 2818.4 mln.US dollars or 2.1 times, and exports up by 1512.7 mln.US dollars or 66.5 percent.
III. Economic sector indicators
On the 1st of November 2011, 445.3 thous.t of cereals, 199.3 thous.t of potatoes, 98.3 thous.t of vegetables were harvested and 1145.3 thous.t of hay harvest, 43.0 thous.t of handmade fodder and 2.3 thous.t of silage crops were produced. Compared to same period of the previous year, cereals rose by 99.2 thous.t or 28.7 percent, potatoes rose by 43.7 thous.t or 28.1 percent, vegetables rose by 21.3 thous.t or 27.7 percent, hay harvest rose by 41.9 thous.t or 3.8 percent, and handmade fodder rose by 13.4 thous.t or 45.3 percent, but silage crops down by 32.8 t or 1.4 percent.
In the first 10 months of 2011, the total industrial output increased by 152.5 bln.tog or 10.1 percent to 1669.9 bln.tog (at 2005 constant prices) compared to the same period of the previous year. The increase in the industrial output was mainly due to 6.7 percent to 2.3 times increases in mining and quarrying products such as crude oil, coal and iron ore, and 0.3 percent to 9.0 times increases in industrial main products of manufacturing sector such as macaroni noodles, bakery products, bread, knitted goods, combed down, soft drinks, juice, alcohol, beer, cigarettes, briquette, sausages, cement, carpet and electrical conductor wire.
In the first 10 months of 2011, 15201.2 thous.t. freight and 3201.0 thous.passengers (double counting) were carried by railway transport. Compared to the same period of the previous year, the number of carried freight rose by 1482.1 thous.t or 10.8 percent and the number of carried passengers rose by 278.2 thous.persons or 9.5 percent.
Revenue from railway transport increased by 73.0 bln.tog or 29.1 percent to 323.8 bln.tog in the first 10 months of 2011, compared to the same period of the previous year. In the first 10 months of 2011, 2.2 thous.t freight and 476.8 thous.passengers(double counting) were carried by air transport. Compared to the same period of the previous year, the number of carried freight increased by 868.3 t or 63.1 percent, the number of carried passengers rose by 145.4 thous.persons or 43.9 percent.
Revenue from air transport increased by 36.7 bln.tog or 37.4 percent to 134.8 bln.tog in the first 10 months of 2011, compared to the same period of the previous year. According to the report of the Institute of Meteorology and Hydrology, maximum precipitation was registered in Kherlen soum (32.0 mm) of Khentii aimag in October, 2011.
In the October of 2011, Tugrug soum of Uvurkhangai aimag had the highest air temperature (+28°C), while Otgon soum of Zavkhan aimag had the lowest air temperature (-21°C). Wind speed reached 26 m/sec in Mandalgovi soum of Dundgovi aimag. Daily average concentration of nitrogen dioxide exceeded 31 times around the 13th micro district of Ulaanbaatar city, 28 times around the West crossroad, 23 times around the Misheel-Expo center, 18 times around Kharkhorin market and the 32nd Toirog, 14 times around the 1st district, and 4 times around the Offitseruudiin ordon, daily average concentration of sulphur dioxide exceeded 21 times around the 13th micro district and the 32nd Toirog, 15 times around the West crossroad, 6 times around the Misheel-Expo center, 3 times around the 1st district, and 2 times around the Offitseruudiin ordon, particulate matter less than 10 micrograms exceeded 28 times around the 32nd Toirog, 24 times around the West crossroad, 17 times around the 13th micro district, and 8 times around the Misheel-Expo center, particulate matter less than 2.5 micrograms exceeded 17 times around the 13th micro district and West crossroad from the maximum allowable concentration of air quality standard in October, 2011.
In the first 10 months of 2011, 2956 disasters and accidents occurred. As a result, 189 people died, 165.5 thous.livestock and domestic animals had lost. In the first 10 months of 2011, 2509 object fires, 20 accidents related to artisanal mining and rock falls, 39 cases of domestic animal madness disease, 84 river and lake accidents occurred. Estimated damage caused by the disasters and accidents amounted to 3.8 bln.tog.
MPP says budget expenditures should be reduced
November 14 (news.mn) The head of the MPP caucus at Parliament, U.Enkhtuvshin, informed journalists about its meeting on Monday. The MPP caucus discussed the proposed 2012 general budget and decided that 2012 expenditures should not exceed 2011 expenditures.
The caucus decided to reduce construction expenditures, so schools, kindergartens, and hospitals would be built, but not new offices for aimag governors. MPs also are looking to cancel expenses of MNT 47 billion to generate new positions in state organizations.
The caucus also decided to study investment increases for the capital and six aimags that have had not been allocated much investment in 2012.
Minister updates Parliament on road projects
November 14 (news.mn) Road, Transportation and Urban Development Minister Kh.Battulga updated Parliament on current and future road construction projects on Friday.
He said the 2011 state budget has allocated MNT 27.1 billion to road construction and MNT 12.4 billion to repair work with the condition of repayment. He said 19.9 km of roads have been built and 41 km repaired in Ulaanbaatar so far this year. With the aim of reducing traffic jams in the city, six new bridges have been planned using a loan from China, and 350 km of roads will be widened under the “New Creation” program.
Kh.Battulga added that a 176-km road construction project between Choir and Sainshand has been delayed due to a materials transportation problem. Road materials are transported from China through the Zamiin-Uud border point. But the Zamiin-Uud railroad is overloaded, and the transportation of road construction materials has been delayed. Also, a South Korean company has canceled its road construction agreement due to the rising prices of raw materials.
N.Enkhbayar case to be transferred to ACA
November 12 (news.mn) The Economic Crime Investigation Department of the State Investigation Board is continuing to investigate the case of former president N.Enkhbayar, and the matter will be soon transferred to the Anti Corruption Authority.
N.Enkhbayar has been suspected of misusing his authority in the privatization of the newspaper Ulaanbaatar Times and of a printing house, and of embezzlement involving the supply of steel bowls to the Erdenet Factory with the assistance of his close relative D.Myagmarjargal, who is nicknamed “Millionaire.”
But N.Enkhbayar has stated that he will not submit to a police investigation while Ts.Nyamdorj is with the Ministry of Justice and Internal Affairs, and he refused to make a statement for legislative organizations.
N.Enkhbayar has said Ts.Nyamdorj should resign his official post and then they could both be investigated.
Government plans to increase petroleum production
November 11 (news.mn) Parliament discussed the Government policy on petroleum on Thursday.
Mineral Resources and Energy Minister D.Zorigt said the Government is focusing on establishing regional oil refineries. When Mongolia can produce fuel from coal, he said, Mongolia will no longer be dependent on imported foreign oil.
MPs asked about the recent increase in the price of AI-92 benzene. D.Zorigt replied that AI-92 benzene is imported not from Rosnefti LLC but from other companies. The companies are located farther away, so the price has increased.
He added that Russia has still has domestic fuel shortages, according to a statement made by the Russian prime minister. Therefore, Russia has increased its tax on fuel exports. However, the Government of Mongolia has repealed its excise tax on diesel fuel, with the aim of not increasing the price of that fuel.
Mongolia: Construction potential
November 14 (Oxford Business Group) As Mongolia marks 85 years since its building sector was formally established, intensive demand for private and public construction is creating jobs and furthering the need in the residential segment, while domestic involvement in foreign-led mining projects is adding to the overall demand in the sector.
The government has announced ambitious spending plans for the next few years, with confidence fuelled by rising foreign investment in the country’s resource wealth. Big-ticket projects such as the plan to build 100,000 homes and give citizens MNT1m ($772) towards the purchase of their own home are under way and are expected to boost Sukhbaatar Batbold administration’s chances in the parliamentary elections due in 2012. Meanwhile local and foreign firms are stepping up the construction of vast copper and coal mines set to come on-stream in the next five years.
Capitalising on the momentum, Mongolian investment, trade and industry group Barilga held its fourth international construction expo in the capital, Ulaanbaatar on September 2-5, welcoming 120 organisations as well as representatives from the US, China, Japan and Russia. Supported by the Ministry of Roads, Transportation, Construction and Urban Development as well as the Mongolian Builder’s Association, Barilga – formed in 1992 as a successor to the state-owned Mongolian Construction Company – the event was aimed at establishing trade links and introducing new building technologies.
The conference came as rapid growth is being registered in a building industry made buoyant by expected wealth from the vast Oyu Tolgoi copper-gold project and Tavan Tolgoi coal mine. These are estimated to double GDP in the next five years and raise per-capita income from the current $3200 to some $10,000.
The government’s statistics body revealed in January that 2010 saw spending of MNT350bn ($270.3m) nationwide on construction, a 25.6% year-on-year rise, while the World Bank said in March that the building sector registered 38% year-on-year growth. The World Bank also found that 26% of the total listed companies on the Mongolian Stock Exchange were involved in construction, just 2% lower than the country’s mainstay industry of mining.
Among the government’s key modernisation plans is a strategy to build 100,000 new housing units in the capital to improve urban living conditions as well as water supply and sanitation nationwide. The administration has pledged to pay MNT1m ($772.20) to each eligible citizen towards the purchase of a new housing unit, with an apartment block with 15,000 units already under construction on Ulaanbaatar’s Yarmag Hill. Officials have said the project will cost MNT800bn ($617.8m), MNT467bn ($360.6m) of which would be allocated to the construction sector.
In September, the head of the cabinet secretariat of government, Ch. Khurelbaatar, gave a report to cabinet members on the implementation of a middle-term programme that involves the cabinet selecting enterprises to execute 41 works reflected in the programme with capitals of MNT13.3bn ($10.3m). The project will be undertaken with loans from the Development Bank of China and cooperation with the Investment Department of Kuwait.
Work on a new international airport for Ulaanbaatar is scheduled to begin in early 2012 and take three years to complete. Built with a $270m loan from Japan, the new facility will be able to service all larger modern aircraft and provide better protection from high winds. The transport link comes amid plans to develop an eastern link from the Trans-Mongolian rail line heading east from Ulaanbaatar to the eastern Trans-Siberia route, which will link Mongolia directly to a sea port for the first time, ending the current reliance on China for export of raw materials, goods and products.
With the Oyu Tolgoi mine expected to employ some 14,000 workers – 60% of which will be Mongolian – and the demand for other mining-related construction workers potentially exceeding the capacity of country’s widely spread population of 3m, an important issue arising in construction is labour.
The chief of the Building and Apartment Policy Board of the Ministry of Road, Transportation and Urban Development, B. Baasan said in August that the ministry’s policy would be to train Mongolian workers to build the 100,000 apartments. And that 70% of the building material would come from domestic factories by 2016.
Mongolia: Why And How To Invest In China's Canada
Part 1 of 5: What you need to know to consider whether investing in the fastest growing economy in the world for the next 5 to 10 years is a good investment choice for you
November 9 (Jon Springer on SeekingAlpha.com) In Mongolia’s capital city of Ulan Bator, real estate investors believe developed property prices are rising 3 to 5% per month, and undeveloped land prices are rising 5 to 10% per month. Marc Faber has called Mongolia, “the Saudi Arabia of Asia,” for its vast wealth of natural resources in coal, copper, gold, and more. In a recent Bloomberg interview, real estate investor Sam Zell stated that Mongolia is the best economy to invest in for the next 5 to 10 years.
Mongolia’s potential is similar to the recent natural resource booms in Qatar and Kazakhstan, where there are stories of 30-fold increases in assets. The Mongolian government hopes to replicate the national resource boom successes in Chile and Norway. The goal is to avoid the resource boom problems taking place in Nigeria or Zimbabwe. The most optimistic think Mongolia is to China as Canada is to the U.S., a large geographic neighbor to the north of an industrial powerhouse, a country with large natural resource deposits and a small population north of a trade partner with limitless need.
Whether you want to invest $5,000 or $5 million, there are many ways for you to invest in Mongolia. The first thing to understand though is why Mongolia is at an investable moment now. After discussing Mongolia’s history, tax consequences, currency risk, and an assessment of investment risk will be addressed (scroll down to the header "Tax Consequences" if you are not interested in the history). In the following articles, equity investment, real estate investment, and investing in the Mongolia Stock Exchange through local brokers will be discussed. This series will conclude with a fifth article on the role of aid agencies in Mongolia's boom, and the potential outcomes of Mongolia’s economic boom for its people and its investors.
How did Mongolia get here?
To understand Mongolia today, one has to understand Mongolia’s at times hostile and at times symbiotic relationship with China. Understanding this relationship explains the need for Mongolia’s other geographic neighbor Russia to serve as ballast against the influence of China over Mongolia. More than 80% of Mongolia’s exports go to China while about 90% of Mongolia’s petroleum comes from Russia. Landlocked, almost any good imported or exported passes through one of these two neighbors. Mongolia, sandwiched between these two powerful neighbors uses these two countries as geopolitical counterweights. Today, Russia balances a Chinese focus. While there is historical enmity with China, Mongolia’s natural resource boom depends clearly on China’s demand for natural resources.
Early History
Chinggis Khaan (1162 – 1227) established the great Mongol empire, the largest contiguous empire in the history of mankind. His iconic images that were banned during communism now rule state statues, tourist shops and history books of the country. Chinggis’ grandson Kublai Khaan (1215 – 1294) began the Chinese Yuan dynasty that lasted from 1271 to 1368.
The Chinese-led Ming Dynasty (1368 to 1644) displaced the Mongol-led Yuan Dynasty. For Mongols, this was difficult as it was the first time in two centuries that they only had access to resources within Mongolia.
Mongols and Manchurians united in the 1500s and managed to take over China to form the Qing Dynasty in 1644 that lasted until 1911 when the separate republics of China and Mongolia formed.
During over 250 years of rule, the Qing Dynasty transitioned from holding the Mongols in favor to holding greater favor toward its Chinese base population. This left Mongols to be a provincial sub-class of people.
The Qing Dyansty collapse was not orderly. The Republic of China still claimed reign over Mongolia although a 1915 treaty gave the Mongols some autonomy.
This early history and rivalry is still alive in Mongolia. A part of China today is “Inner Mongolia” where there is a significant Mongolian minority living under Chinese rule. Mongolia, the country, is a separate sovereign entity north of China’s “Inner Mongolia.” There are unproven urban legends of “white men” roaming the Gobi desert buying coal from Mongolian miners that refuse to do business with the Chinese and selling the coal onto the Chinese at a 10% profit. Like any urban legend, these rumors of Mongolians that refuse to do business with the Chinese has a basis in the country's subconscious. There is Mongol pride in Chinggis Khan and his empire, and a long history of resentment – and battle – with their southern neighbor that is today’s global economic empire, the country upon which their own economic boom depends.
Communism, poor utilization of assets and poor development of infrastructure
During World War I and the Russian Revolution of 1917,a series of armies (including Mongolia’s, the Chinese and the White Russians) attempted to strategically control Mongolia. When in July 1921,the Mongolian General Damdin Sukhbaatar with Bolshevik troops took control over today’s capital city Ulan Bator, Mongolia became the second communist country in the world. It remained under the communist influence until 1990.
In the mid-1930s, the Soviets, unhappy with the organization of Ulan Bator, tore most of the city down. The only pre-1930s structures in Ulan Bator today are a handful of temples. Thus, in the city of Ulan Bator, one can see from an aerial view a typical communist layout with a big square (Sukhbaatar Square); a horseshoe network of roads and buildings around the square; and in the west of the city, there are apartments that were constructed to spell out “USSR” in Cyrillic.
Communist Mongolia only developed that which it needed to. Most roads in Mongolia today are still dirt roads. Where there is hot water, such as in Ulan Bator, it is heated centrally at a plant, the communist way. As with many things centrally planned during the communist era, the hot water functions a bit more than half the time.
There are a number of mines in operation in Mongolia today that have operated since the communist era. However, the Soviets had their own wealth of natural resources so Mongolia’s resources, including a lot of coal that can be accessed by open pit mining, was left undeveloped. In communist times, there was no need to tap resources further.
Post-communism, a transition without funding
As communism fell in the Soviet Union, democracy took hold in Mongolia. The communist ruling Mongolia People’s Party (MPP), until recently known as Mongolia People’s Revolutionary Party (MPRP), continued to exist after communism as an evolving political party that is now only a distant cousin of its communist origins. The MPP and the Democrat Party have traded election victories since 1996 and recent elections between the two have been so close as to result in grand coalition power-sharing between the two.
The Soviets largely subsidized the Mongolian nation during the communist era. When the Soviets pulled out of the country, they took with them machinery and equipment, engineers and skilled laborers. The end of Soviet subsidies and investment was an economic train wreck.
During the 1990s, while former communist nations in Central and Eastern Europe received a lot of investment and attention, Mongolia suffered. There was no money to maintain existing infrastructure let alone develop new infrastructure.
Rules that discouraged mining investing
In 1997, new laws came on line that could encourage development of the mining industry in Mongolia. However, the 2006 Windfall Profit Tax of 68% on the mining industry caused most mining companies to pull up stakes on any further capital expenditures in the country.
The 2008 hiccup
The replacement for Soviet subsidies was not a self-sufficient government. Rather, Mongolia receives aid and development funds from many agencies. Aid agencies from the U.S., Korea, Japan, China, Switzerland, the European Bank for Reconstruction and Development, the World Bank, the International Monetary Fund, the United Nations, and more all have a presence and stakes in Mongolia.
Following the financial crisis’s knock-on effect in 2008, the year 2009 was harsh for Mongolia. The departure of mining companies after the Windfall Profit Tax of 2006 plus a global economic pull back was felt harshly in Mongolia. These events gave the two larger parties in the country an impetus to change policies toward mining companies again.
Mongolia today, laissez-faire to encourage mining investing
On January 1, 2010, the windfall mining tax was repealed and a new era in mining in Mongolia opened up. Around the same time, the government signed a deal with Ivanhoe Mines and Rio Tinto for them to jointly develop the world’s largest undeveloped copper-gold mine, Oyu Tolgoi.
While Mongolia has significant deposits of many resources including copper and gold, its largest natural resource is coal. Mongolia recently overtook Australia as the leading exporter of coking coal to China. Mongolia's Tavan Tolgoi coal deposit is the second largest coal deposit in the world, yet the effect of Tavan Tolgoi and the rest of Mongolia's mineral wealth on the economy are currently overshadowed by Oyu Tolgoi.
The IMF noted in June 2010 (on page 5 of the linked report), “The outlook for real GDP growth is dominated by the Oyu Tolgoi mine. The scaling up of mining will increase mineral GDP and will have significant second-round effects on other sectors… Once production from the Oyu Tolgoi mine starts in 2013, it will boost growth to over 25 percent. Real GDP growth is expected to average 10 percent over the medium term (2014–20)”
Estimates for the required capital expenditures to get Oyu Tolgoi into production now exceed $6 billion and the mine is expected to begin production in the second half of 2012. Using prices of $850/oz of gold, $14/oz of silver, and $2 per pound of copper, Oyu Tolgoi will produce an estimated $3 billion per year at full production during its first 10 years. Publicized analysis of the production typically uses these lower commodity prices. Current commodity prices will yield over $6 billion in production. The government maintains a 34% stake in Oyu Tolgoi in partnership with Ivanhoe and Rio Tinto.
Consider what this one mine changes. Mongolia’s population today is estimated to be between 2.7 and 3.1 million people. Many people still live nomadically while approximately 40% of the population lives in Ulan Bator. The World Bank has Mongolia’s 2008 GDP at $5.3 billion. The U.S. State Department estimated Mongolia 2010 GDP at $6.8 billion. The August 2011 World Bank Quarterly Report on Mongolia has 2010 GDP growing at 6.4% while the 2nd quarter of 2011 experienced GDP growth of 17.3% year over year. Reviewing the numbers from Oyu Tolgoi, its easy to see how one giant copper-gold mine – one of many mines coming online in the next few years – is by itself changing the economy.
Chinese demand and Mongolian production in perspective
This year, Mongolia passed Australia as the leading exporter of coal to China. Estimates are that Mongolia will export about 20 million metric tons of coal to China this year, and that by 2015, that number could rise to 30 to 50 million metric tons of coal. Estimates are that China is producing more than 3.5 billion metric tons of coal and still importing more than 100 million metric tons. China’s need for coal is growing. Mongolia cannot fully meet those needs. China can use all the coal that Mongolia will produce.
China has announced it has 1.9 million metric tons of copper inventories, which is about three months of their usage at this time. These are state owned strategic reserves similar to the United States government’s oil reserves. China used 6.8 million metric tons of copper in 2010. Oyu Tolgoi has been estimated to have up to 37 million metric tons of copper which will take a minimum of 40 years to get out of the ground once production commences. Again, Mongolia cannot meet Chinese demand based on these numbers, but if Chinese demand continues on the trajectory it has been, Chinese demand may be sufficient to purchase all the copper Mongolia can produce.
Tax consequences
Taxes are the same for foreigners and locals
The system as it stands taxes foreigners and locals at the same tax rates. Income taxes are 10% below 3 billion Togrog ($2.35 million) and 25% above that break point (this includes rental income). There is a capital gains tax of 10%. The tax on dividends is also 10%.
Double taxation with your home country
Some countries have a relationship with Mongolia that avoids double taxation, such as Canada. For citizens of other countries, including the United States, be advised that investments in Mongolia are currently subject to double taxation.
The exit tax – will it apply to your equity investments?
There is currently a 20% tax on profits when your funds leave the country. For investments in private equity vehicles, figuring out if this tax will impact you is a question to ask.
Real Estate taxes
If you purchase property in Mongolia individually, there will be a few additional taxes. There is a transfer stamp duty tax of 2% and property taxes currently run at 6/10 of 1%. Real estate taxes are no different for foreigners than locals.
Tax filing
If you invest in property in Mongolia, or open a bank account or brokerage account in Mongolia, you will need to file taxes in Mongolia. I am not an accountant, all tax information should be checked with licensed tax professionals in your home country and Mongolia.
Togrog
Mongolia’s currency is the Togrog. In the last 5 years, its trading range against the U.S. dollar has been 1,142 Togrog for $1 (October 27, 2008) to 1,642.60 Togrog for $1 (March 16, 2009). Since November 2010, it has stayed in a trading range between 1,200 and 1,315 Togrog for $1. For stability of the economy, the Central Bank of Mongolia is trying to keep the Togrog’s valuation steady. However, a surge in the mining industry will likely make appreciation in the value of the Togrog inevitable.
The August 2011 World Bank Quarterly Report has year over year inflation at 11.4%. The central bank of Mongolia raised rates to 12.25% in October. Inflationary pressures are real with the government planning to raise salaries for all state employees 53% next year according to an October 3, 2011, report.
Risks to Mongolia’s Growth
China’s changing needs
The World Bank quarterly update on Mongolia for August 2011 states, “China is the sole destination for Mongolia’s coal exports.” I believe this is a slight exaggeration as Prophecy Coal is known to be doing trial shipments to Russia. However, upwards of 80% of Mongolia’s exports go to resource needy China and any blips in China’s economy will be felt in Mongolia. While Mongolia’s massive coal deposits, as well as the fact that in three years Mongolia should account for 10% of global copper production, are mentioned persistently at meetings detailing Mongolia’s coming economic boom, Mongolia is geographically reliant on both China and Russia as import and export partners. Even if Mongolia can export to markets beyond China and Russia, their natural resource products will have to transport through China or Russia to arrive at any other countries (whereas other products from meat to cashmere can be transported by plane around the world; however these are not the products that will be the cause of an economic boom in the country). Thus, to a large extent, Mongolia is a leveraged play on China’s continuing growth.
Global recession and aid agency reliance
Until Mongolia’s mining industry ramps up significantly from current levels and infrastructure builds up greatly from current levels, Mongolia is still reliant on international aid agencies (the U.N. Development Program, World Bank, U.S. AID, Asia Development Bank, European Bank of Reconstruction and Development, et cetera). Mongolia is close to turning a corner on its economic development, but it requires stable and reliable funding to arrive at its destination. Global recession reducing aid agency funding could cause the Mongolian economy to stall.
Infrastructure
Infrastructure in Mongolia needs massive development and better planning. In Ulan Bator, residential areas continue to expand on the edges of town, but regardless of whether they are the poorer ger districts or luxury housing, people still have to go the center of town for shopping, schools, and hospitals, as the basic needs of life are not planned for when housing development land is sold. Luxury homebuilders and people working for NGOs in the ger districts concur on the flaws of Ulan Bator’s infrastructure development.
There is a new power facility being built in Ulan Bator that hopefully will relieve the pressure on the two existing power facilities. Currently, power outages for a couple of hours on any given day are an accepted part of life. Moreover, better urban planning for roads, hospitals, shopping areas, schools, plumbing, hot water, green spaces, and so on is needed. Buildings are being built with no street access. National parks have become built up residential communities. Communities are constructed with no plan for where people living in the community will shop or send their children to school.
For economic purposes, it is the infrastructure of roads and rails that needs to be massively built up. Paved roads can only get you to a handful of places in the country as the majority of the world’s 19thlargest country is connected by dirt roads (#18 is Iran and #20 is Peru). The different levels of efficiency between transporting coal, copper, and other natural resources by rail compared to trucking out product on dirt roads is huge.
The government has proposed a 3-phase plan to develop the rail system, and have discussed making an IPO of Mongolian Railways as early as next year to help fund the rail network’s development. A major problem in developing the Mongolian Railways is a holdover from the communist era: Russia owns 50% of Mongolian Railways. Thus, Russia can block any development of the Mongolian rail system of which it does not approve. The government would be wiser to allow for private companies – including the mining companies – to develop the rail network privately and separately to scale up the rail system to meet their export needs. There has been concern in the government that allowing private rail systems to be built will lead to a myriad of umbilical cords to China. The government could set up a credit bank – similar to a carbon tax system or the Everglades Bank model in Florida – that would cause private companies building their own rail networks to China to have to put a certain amount of funds in a sovereign Mongolian credit bank that built an equal amount of rail network toward Russia, Kazakhstan, India, and Korea. However, concerns about being over-reliant on China have trumped coming up with innovative ideas to develop the rail system more rapidly.
Change in government policy toward business and investors
Everyone I spoke with in Mongolia believes the government is stable and will continue to support the country’s economic development regardless of whether Mongolia’s Democrat Party or Mongolia People’s Party wins the elections next year. This was true even of people working for government and non-government organizations that did not particularly like everything happening under the country’s current trajectory.
Yet, in September 7, 2011, a group of 20 Mongolian lawmakers sought to change the Oyu Tolgoi agreement from the government having a 34% stake in the mine to a 50% stake in the mine. This seemed to be election-year posturing in a democracy, with elections slated for next June. The damage of changing this agreement would be similar to the economic damage of the Windfall Profits Tax of 2006, and the analysis of Mongolian-based investment professionals is that it is impossible that something so foolish would be done again. Multiple media outlets misrepresented the action of 20 members of a 76 member parliament as an action of the "Mongolian government" which caused Ivanhoe's stock price to tank precipitously. In the end, the government came out and made a joint statement with Ivanhoe and Rio Tinto that the agreement would not change, and Ivanhoe's share price has subsequently recovered. Oyu Tolgoi, along with Tavan Tolgoi, are the centerpieces of a mining boom expected to keep GDP growth well above 10% for two decades or more.
In any country, including your home country, there is always the risk of changes in laws impacting your investments whether they be tax laws, property laws, mining laws, trading regulations, or other changes. Two people I met who are both against government policies and work for governmental agencies both believe the government, and government policies, will be stable, regardless of election results. The two large parties, the MPP and the Democrats, are viewed to be of like minds on economic policies. This belief is in large part based on the fact that most of the people in the government are related to people profiting from business in Mongolia, or are directly profiting from Mongolia’s business development themselves.
Part 2 of 5 - Mongolia: Why And How To Invest In Stocks
Part 3 of 5 - Mongolia: Why And How To Invest In Real Estate
Part 4 of 5 - Mongolia: Why And How To Invest With Brokerages In Mongolia
Part 5 of 5 - Mongolia: Why And How To Invest, Further Considerations
Table: Mongolia Related Stocks (Source: Bloomberg)
Name | Symbol | $ | Price | Change | +-% | Open | High | Low | Volume | Time | % YTD | % 12 m | |
Indices | ASX 200 | 4,304.60 | 8.1001 | 0.19% | 4,310.50 | 4,363.10 | 4,296.50 | - | 14-Nov | ||||
Nikkei 225 | 8,603.70 | 89.2305 | 1.05% | 8,631.28 | 8,655.31 | 8,595.43 | - | 14-Nov | |||||
Hang Seng | 19,508.18 | 371.01 | 1.94% | 19,600.37 | 19,640.68 | 19,496.16 | - | 14-Nov | |||||
FTSE 100 | 5519.04 | -26.3398 | -0.47499 | 5545.38 | 5575.19 | 5489.25 | - | 14-Nov | |||||
TSX Composite | 12224.19 | -52.6592 | -0.42893 | 12276.85 | 12342.03 | 12157.68 | - | 14-Nov | |||||
S&P 500 | 1251.78 | -12.0699 | -0.95501 | 1263.85 | 1263.85 | 1246.68 | - | 14-Nov | |||||
ASX | Aspire Mining | A$ | 0.375 | -0.015 | -3.85% | 0.4 | 0.4 | 0.375 | 910,412 | 14-Nov | -21.88% | 15.38% | |
Blina Minerals | A$ | 0.014 | -0.001 | -6.67% | 0.014 | 0.014 | 0.013 | 1,880,000 | 14-Nov | -6.67% | -6.67% | ||
C@ | A$ | 0.049 | -0.003 | -5.77% | 0.052 | 0.052 | 0.048 | 1,459,903 | 14-Nov | 75.00% | 122.73% | ||
General Mining | A$ | 0.056 | -0.014 | -20.00% | 0.062 | 0.062 | 0.056 | 265,000 | 14-Nov | -53.33% | -56.92% | ||
Guildford Coal | A$ | 0.96 | -0.005 | -0.52% | 0.97 | 0.99 | 0.95 | 192,291 | 14-Nov | 31.51% | 81.13% | ||
Haranga Resources | A$ | 0.23 | -0.01 | -4.17% | 0.23 | 0.23 | 0.22 | 100,000 | 14-Nov | -64.06% | |||
Hunnu Coal | A$ | 1.8 | 0.03 | 1.69% | 1.8 | 1.8 | 1.8 | 6,000 | 14-Nov | 34.83% | 51.26% | ||
Mongolian Res Corp | A$ | 0.13 | 0.01 | 8.33% | 0.115 | 0.14 | 0.11 | 1,162,936 | 14-Nov | -70.45% | |||
Robe Australia | A$ | 0.012 | 0 | 0.00% | 0.012 | 0.012 | 0.012 | 100,000 | 14-Nov | 28.34% | 41.18% | ||
TVN Corp. | A$ | 0.054 | -0.001 | -1.82% | 0.056 | 0.056 | 0.054 | 1,515,286 | 14-Nov | 440.00% | 440.00% | ||
Voyager Resources | A$ | 0.082 | -0.003 | -3.53% | 0.085 | 0.088 | 0.082 | 7,443,042 | 14-Nov | 52.91% | |||
Xanadu Mines | A$ | 0.44 | 0 | 0.00% | 0.45 | 0.465 | 0.44 | 119,727 | 14-Nov | -22.12% | |||
MSE A Board | Aduunchuluun | MNT | 7,800 | 0 | 0.00% | 7,800 | 7,898 | 7,799 | 0 | 11-Nov | -2.50% | 90.24% | |
APU | MNT | 3,250 | 52 | 1.63% | 3,199 | 3,250 | 3,199 | 5,459 | 14-Nov | 63.32% | 92.88% | ||
Atar Urguu | MNT | 38,500 | 0 | 0.00% | 38,500 | 38,500 | 38,500 | 0 | 4-Nov | 113.89% | |||
Baganuur | MNT | 14,999 | -1 | -0.01% | 14,999 | 14,999 | 14,999 | 15 | 14-Nov | 42.85% | 64.82% | ||
Mogoin Gol | MNT | 29,000 | -500 | -1.69% | 29,100 | 29,100 | 28,500 | 160 | 14-Nov | 145.76% | 220.27% | ||
BDSec | MNT | 3,750 | 0 | 0.00% | 3,950 | 3,950 | 3,750 | 0 | 10-Nov | 50.00% | 44.23% | ||
Bayangol Hotel | MNT | 38,999 | -900 | -2.26% | 38,999 | 38,999 | 38,999 | 1 | 14-Nov | 63.18% | 69.55% | ||
Bayanteeg | MNT | 31,100 | 0 | 0.00% | 31,100 | 31,100 | 31,100 | 0 | 10-Nov | ||||
UB BUK | MNT | 29,000 | 0 | 0.00% | 29,000 | 29,000 | 29,000 | 0 | 9-Nov | 538.06% | |||
Eermel | MNT | 2,560 | -170 | -6.23% | 2,750 | 2,750 | 2,560 | 128 | 14-Nov | -10.96% | 59.50% | ||
Gobi | MNT | 5,100 | 44 | 0.87% | 5,051 | 5,100 | 5,051 | 224 | 14-Nov | -8.93% | -7.26% | ||
Gutal | MNT | 2,461 | 0 | 0.00% | 2,461 | 2,461 | 2,461 | 10 | 14-Nov | ||||
Hi B Oil | MNT | 200 | 0 | 0.00% | 200 | 200 | 200 | 0 | 10-Nov | 11.11% | 17.65% | ||
Khukh Gan | MNT | 180 | -16 | -8.16% | 196 | 196 | 180 | 6,200 | 14-Nov | -3.74% | 12.50% | ||
Hermes Centre | MNT | 53 | 0 | 0.00% | 54 | 54 | 53 | 0 | 11-Nov | -1.85% | 0.00% | ||
Jenko Tour Bureau | MNT | 97 | 0 | 0.00% | 97 | 97 | 97 | 800 | 14-Nov | 3.19% | -1.02% | ||
Telecom Mongolia | MNT | 2,750 | 0 | 0.00% | 2,700 | 2,750 | 2,700 | 0 | 10-Nov | -21.43% | -19.09% | ||
Mongolia Dev Res | MNT | 1,250 | 0 | 0.00% | 1,250 | 1,250 | 1,250 | 135 | 14-Nov | -3.85% | -10.71% | ||
Moninjbar | MNT | 139 | 0 | 0.00% | 139 | 139 | 139 | 0 | 11-Nov | 20.87% | 11.20% | ||
Mongol Nekhmel | MNT | 2,505 | 0 | 0.00% | 3,100 | 3,100 | 2,505 | 0 | 9-Nov | 92.69% | 163.68% | ||
Hotel Mongolia | MNT | 798 | -1 | -0.13% | 799 | 799 | 798 | 133 | 14-Nov | ||||
Darkhan Nekhii | MNT | 6,500 | 0 | 0.00% | 6,150 | 6,500 | 6,150 | 0 | 11-Nov | 32.65% | 103.13% | ||
Nak Tulsh | MNT | 220 | 0 | 0.00% | 220 | 225 | 220 | 0 | 10-Nov | -32.31% | -27.15% | ||
Olloo | MNT | 132 | 0 | 0.00% | 132 | 132 | 132 | 150 | 14-Nov | -12.00% | -22.35% | ||
Remikon | MNT | 149 | -1 | -0.67% | 149 | 149 | 149 | 26,666 | 14-Nov | 106.94% | 98.67% | ||
Sharyn Gol | MNT | 13,000 | 0 | 0.00% | 13,000 | 13,000 | 13,000 | 1,410 | 14-Nov | 23.81% | 11.44% | ||
Shivee Ovoo | MNT | 21,002 | -799 | -3.66% | 21,002 | 21,002 | 21,002 | 20 | 14-Nov | 61.55% | 52.19% | ||
Sor | MNT | 1,050 | -100 | -8.70% | 1,050 | 1,050 | 1,050 | 86 | 14-Nov | 40.00% | 20.00% | ||
Suu | MNT | 70,000 | 0 | 0.00% | 70,000 | 70,000 | 70,000 | 28 | 14-Nov | 233.54% | |||
Tav | MNT | 26,450 | 0 | 0.00% | 26,450 | 26,450 | 26,450 | 0 | 11-Nov | ||||
Talkh Chikher | MNT | 10,100 | 0 | 0.00% | 10,120 | 10,120 | 10,100 | 0 | 11-Nov | 172.97% | 197.06% | ||
Tavantolgoi | MNT | 11,090 | 0 | 0.00% | 11,090 | 11,100 | 11,090 | 349 | 14-Nov | 92.53% | 121.80% | ||
State Dept Store | MNT | 450 | -42 | -8.54% | 493 | 493 | 450 | 2,118 | 14-Nov | 4.65% | 6.64% | ||
Ulaanbaatar Hotel | MNT | 62,000 | 0 | 0.00% | 60,000 | 62,000 | 60,000 | 0 | 9-Nov | 125.45% | 123.01% | ||
Mongol Savkhi | MNT | 3,390 | 400 | 13.38% | 2,990 | 3,438 | 2,990 | 174 | 14-Nov | 516.36% | 516.36% | ||
Zoos Goyol | MNT | 850 | 0 | 0.00% | 800 | 850 | 800 | 0 | 10-Nov | 7.59% | 6.25% | ||
HKEx | Solartech Int’l | HKD | 0.2 | 0.005 | 2.56% | 0.2 | 0.21 | 0.197 | 5,771,510 | 14-Nov | -79.17% | -80.00% | |
Winsway | HKD | 2.75 | 0.14 | 5.36% | 2.7 | 2.76 | 2.65 | 4,359,000 | 14-Nov | -38.81% | -31.47% | ||
SouthGobi Resources | HKD | 60 | 0.2 | 0.33% | 60 | 60.7 | 59.8 | 21,850 | 14-Nov | -39.70% | -28.06% | ||
China Gold | HKD | 25.45 | 0.3 | 1.19% | 25.3 | 25.6 | 25.3 | 22,500 | 14-Nov | -39.40% | |||
CNNC Int’l | HKD | 2.07 | 0.04 | 1.97% | 2.18 | 2.18 | 2.04 | 2,053,000 | 14-Nov | -76.21% | -74.82% | ||
Real Gold Mining | HKD | 8.81 | 0 | 0.00% | 8.81 | 8.81 | 8.81 | 0 | 14-Nov | -34.28% | -40.11% | ||
Mongolia Energy | HKD | 0.9 | 0.05 | 5.88% | 0.85 | 0.94 | 0.83 | 182,067,000 | 14-Nov | -61.21% | -69.07% | ||
Zijin Mining | HKD | 3.62 | 0.12 | 3.43% | 3.69 | 3.7 | 3.57 | 36,692,942 | 14-Nov | -23.26% | -29.06% | ||
Mongolia Inv Group | HKD | 0.047 | 0 | 0.00% | 0.05 | 0.05 | 0.047 | 4,224,000 | 14-Nov | -68.24% | -75.65% | ||
North Asia Resources | HKD | 0.34 | 0.015 | 4.62% | 0.335 | 0.34 | 0.335 | 1,095,000 | 14-Nov | -62.64% | -75.54% | ||
China Daye Non-Fer. | HKD | 0.435 | 0.01 | 2.35% | 0.43 | 0.44 | 0.43 | 5,304,000 | 14-Nov | -22.32% | -3.33% | ||
Bestway Int’l | HKD | 0.062 | 0.007 | 12.73% | 0.059 | 0.062 | 0.054 | 2,610,000 | 14-Nov | -56.03% | -65.36% | ||
Asia Coal | HKD | 0.143 | 0 | 0.00% | 0.143 | 0.143 | 0.143 | 0 | 14-Nov | -42.80% | -45.00% | ||
Mongolian Mining | HKD | 6.88 | 0.17 | 2.53% | 6.71 | 6.95 | 6.71 | 816,500 | 14-Nov | -24.15% | -20.74% | ||
SGX | LionGold | SGD | 0.865 | 0 | 0.00% | 0.865 | 0.87 | 0.86 | 7,047,000 | 14-Nov | 18.49% | 86.02% | |
LSE | Central Asia Metals | GBp | 67 | 0 | 0.00% | 67 | 67 | 67 | 0 | 14-Nov | -25.76% | -26.78% | |
Petro Matad | GBp | 16.25 | -0.25 | -1.52% | 16.5 | 16.5 | 15.125 | 259,947 | 14-Nov | -86.68% | -85.49% | ||
Metal-Tech | GBp | 5 | 0 | 0.00% | 5 | 5 | 5 | 0 | 14-Nov | -67.74% | -69.70% | ||
Origo Partners | GBp | 34.125 | 0.125 | 0.37% | 34.125 | 34.125 | 33.625 | 1,319,590 | 14-Nov | -16.77% | -12.50% | ||
Tembusu | GBp | 2.375 | 0 | 0.00% | 2.375 | 2.375 | 2.375 | 0 | 14-Nov | 0.00% | -13.64% | ||
North America | Aberdeen Int’l | CAD | 0.67 | 0 | 0.00% | 0.66 | 0.67 | 0.66 | 52,500 | 14-Nov | -17.14% | 12.74% | |
Blue Zen Mem. Parks | CAD | 0.155 | 0 | 0.00% | 0.155 | 0.155 | 0.155 | 500 | 14-Nov | ||||
Centerra Gold | CAD | 20.02 | -0.3 | -1.48% | 20.3 | 20.37 | 19.83 | 347,107 | 14-Nov | 3.07% | 15.99% | ||
China Gold | CAD | 3.35 | -0.01 | -0.30% | 3.29 | 3.44 | 3.22 | 80,164 | 14-Nov | -38.31% | -39.64% | ||
Denison Mines | CAD | 1.48 | -0.01 | -0.67% | 1.52 | 1.52 | 1.439 | 1,302,823 | 14-Nov | -56.60% | -44.78% | ||
Denison Mines | USD | 1.44 | -0.03 | -2.04% | 1.47 | 1.5 | 1.4 | 812,844 | 14-Nov | -57.89% | -45.86% | ||
East Asia Minerals | CAD | 0.93 | -0.08 | -7.92% | 1.03 | 1.04 | 0.89 | 522,799 | 14-Nov | -88.43% | -86.46% | ||
Entree Gold | USD | 1.7 | 0 | 0.00% | 1.7 | 1.73 | 1.65 | 55,706 | 14-Nov | -50.87% | -38.85% | ||
Erdene Resource | CAD | 0.41 | 0.015 | 3.80% | 0.42 | 0.42 | 0.405 | 39,080 | 14-Nov | -66.94% | -24.07% | ||
Entree Gold | CAD | 1.67 | -0.05 | -2.91% | 1.63 | 1.72 | 1.63 | 33,500 | 14-Nov | -51.87% | -39.93% | ||
Fortress Minerals | CAD | 4.09 | 0 | 0.00% | 4.3 | 4.3 | 4.09 | 13,304 | 14-Nov | -5.98% | 36.33% | ||
Garrison Int’l | CAD | 0.03 | -0.005 | -14.29% | 0.03 | 0.03 | 0.03 | 35,000 | 14-Nov | -66.67% | -40.00% | ||
Gulfside Minerals | CAD | 0.085 | 0 | 0.00% | 0.08 | 0.085 | 0.08 | 0 | 10-Nov | -10.53% | -34.62% | ||
Green Tech Solutions | USD | 0.102 | 0.002 | 2.00% | 0.1 | 0.102 | 0.1 | 24,980 | 14-Nov | ||||
Ivanhoe Energy | CAD | 1.13 | -0.05 | -4.24% | 1.17 | 1.19 | 1.12 | 371,200 | 14-Nov | -58.46% | -50.87% | ||
Ivanhoe Energy | USD | 1.11 | -0.05 | -4.31% | 1.14 | 1.16 | 1.11 | 364,971 | 14-Nov | -59.19% | -51.53% | ||
Ivanhoe Mines | CAD | 21.49 | 0.74 | 3.57% | 21 | 21.81 | 20.8 | 1,374,625 | 14-Nov | -6.57% | -10.36% | ||
Ivanhoe Mines | USD | 21.17 | 0.61 | 2.97% | 20.64 | 21.46 | 20.43 | 12,573,908 | 14-Nov | -7.64% | -10.96% | ||
Kincora Copper | CAD | 0.31 | 0.01 | 3.33% | 0.38 | 0.38 | 0.31 | 194,508 | 14-Nov | 14.81% | 106.67% | ||
Khan Resources | CAD | 0.26 | 0.005 | 1.96% | 0.26 | 0.26 | 0.26 | 3,250 | 14-Nov | -45.83% | -49.02% | ||
Long Harbour | CAD | 0.1 | 0 | 0.00% | 0.12 | 0.12 | 0.06 | 0 | 9-Nov | ||||
Lucky Strike | CAD | 0.6 | 0 | 0.00% | 0.61 | 0.61 | 0.6 | 0 | 11-Nov | -58.62% | 46.34% | ||
Lucky Strike | USD | 0.6078 | 0 | 0.00% | 0.5944 | 0.6078 | 0.5944 | 0 | 11-Nov | -57.16% | |||
Meritus Minerals | CAD | 0.04 | 0 | 0.00% | 0.04 | 0.04 | 0.04 | 4,500 | 14-Nov | -80.00% | -85.71% | ||
Manas Petroleum | USD | 0.169 | -0.021 | -11.05% | 0.167 | 0.18 | 0.156 | 160,622 | 14-Nov | -71.83% | -71.83% | ||
Mongolia Growth Grp | USD | 4.389 | 0 | 0.00% | 4.4435 | 4.46 | 4.389 | 0 | 11-Nov | ||||
Blue Wolf Mongolia | USD | 9.49 | 0 | 0.00% | 9.47 | 9.49 | 9.47 | 0 | 10-Nov | ||||
Blue Wolf Mongolia | USD | 10.15 | 0 | 0.00% | 10.15 | 10.15 | 10.15 | 0 | 11-Nov | ||||
Manas Petroleum | CAD | 0.16 | 0 | 0.00% | 0.16 | 0.16 | 0.16 | 0 | 10-Nov | ||||
Prophecy Coal | CAD | 0.56 | 0 | 0.00% | 0.55 | 0.57 | 0.54 | 156,150 | 14-Nov | -35.23% | -22.90% | ||
Prophecy Coal | USD | 0.574 | 0.024 | 4.36% | 0.535 | 0.574 | 0.535 | 2,720 | 14-Nov | -34.92% | -29.90% | ||
Puget Ventures | CAD | 0.49 | 0 | 0.00% | 0 | 17-Sep | |||||||
SouthGobi Resources | CAD | 7.95 | 0.06 | 0.76% | 7.91 | 7.97 | 7.85 | 45,545 | 14-Nov | -34.73% | -26.59% | ||
Solomon Resources | CAD | 0.075 | 0 | 0.00% | 0.08 | 0.08 | 0.075 | 0 | 9-Nov | -65.12% | -73.21% | ||
Wedge Energy | CAD | 0.015 | 0 | 0.00% | 0 | 3-Aug | |||||||
Mongolia Growth Grp | CAD | 4.66 | 0.16 | 3.56% | 4.6 | 4.75 | 4.6 | 13,028 | 14-Nov |
---
"Mogi" Munkhdul Badral
Senior Client Manager / Executive Director
CPS International LLC
Telephone/Fax: +976-11-321326
Mobile: +976-99996779
Email: mogi@cpsinternational.mn
P Please consider the environment before printing a copy of this email.
Central Tower · 12th Floor · Left Wing · 2 Sukhbaatar Square
Sukhbaatar District 8 · Ulaanbaatar 14200 · Mongolia
CPS International is a marketing arm of CPS Securities in Mongolia. CPS Securities is a Perth, Western Australia based AFSL License Holder. To trade ASX and international stocks, feel free to contact me at mogi@cpsinternational.mn or +976-99996779.
Disclosure/Disclaimer
CPS Securities, its directors and employees advise that they may hold securities, may have an interest in and/or earn brokerage and other benefits or advantages, either directly or indirectly from client transactions mentioned in correspondence from CPS International.
CPS International advise this email contains general information only and does not include advice. In preparing this communication, CPS International did not take into account the investment objectives, financial situation and particular needs of any person. As with any speculative mining company there are significant risks.
No comments:
Post a Comment