Investors fear impact of Mongolia's new mining law - BUSINESS NEW EUROPE

Investors fear impact of Mongolia's new mining law - BUSINESS NEW EUROPE: "The new mining law currently under consideration in Mongolia has alarmed foreign investors, who fear it will not only deter investment in the mining sector, but have knock-on effects in other parts of the economy. With parliament due to consider the law in April, just two months before Mongolia's presidential elections, the government has been accused of taking a populist stance to appeal to rising nationalism among the population.

The Mongolian Business Council has written to President Tsakhia Elbegdorj warning of the possible consequences of the draft law for the mining industry – and foreign investment in general – should it be adopted in its current form. Adopting the law is "likely to damage Mongolia's brand as an investment destination," says the letter from the council, which numbers Rio Tinto, General Electric, Mitsubishi and other international firms among its 250 members.
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Mongolia's Renewables Belittle World's Nuclear Supply - Bloomberg

Mongolia's Renewables Belittle World's Nuclear Supply - Bloomberg: "Untapped mineral riches are fueling Mongolia’s ambition to compete with Australia and Brazil in Asia. The nation's resource-based economy grew 21 percent last quarter alone.
This largesse obscures a potential aboveground treasure also awaiting investors.
The world’s most sparsely populated nation has the potential to generate 2.6 million megawatts of wind, solar, geothermal and hydropower, based on data collected by the U.S. National Renewable Energy Laboratory and the Mongolian National Renewable Energy Center.
That's a fantastic figure. It's seven times the capacity of all the world's operable nuclear reactors combined, according to world nuclear association data. In contrast, Mongolia’s current power capacity is less than that of one large coal plant, just 878 megawatts"

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Xanadu Mines delivers maiden coal Resource of 170Mt at Galshar in Mongolia - Proactiveinvestors (AU)

Xanadu Mines delivers maiden coal Resource of 170Mt at Galshar in Mongolia - Proactiveinvestors (AU): "Xanadu Mines’ (ASX: XAM) wholly owned Galshar Coal Project in the Dornogovi Province of Eastern Mongolia has an initial JORC Indicated and Inferred Resource of 170 million tonnes of coal.

Independent geological consultants McElroy Bryan Geological Services has estimated an Indicated JORC Resource of 70 million tonnes and an Inferred JORC Resource of 100 million tonnes, all of which are at depths of less than 120 metres.

The Galshar Coal Project comprises three contiguous exploration licences covering more than 131 square kilometres (13,152 hectares) in the Choir-Nyalga Coal Basin."

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China and Mongolia to strengthen ties in mining infrastructure - Proactiveinvestors (AU)

China and Mongolia to strengthen ties in mining infrastructure - Proactiveinvestors (AU): "Mongolian Mining Minister D. Gankhuyag highlighted the rapid development of Mongolia-China economic and trade cooperation, saying that Mongolia has seen Chinese investment rapidly increasing in the country in the last few years.
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G. Batsukh: Mongolia earns more than the investors in the form of taxes, royalties and other fees despite only owning 34 percent of Oyu Tolgoi | Ubpost News

G. Batsukh: Mongolia earns more than the investors in the form of taxes, royalties and other fees despite only owning 34 percent of Oyu Tolgoi | Ubpost News: "The following interview is with G. Batsukh, Chairman of Oyu Tolgoi LLC Board of Directors.
-There are rumors that the Mongolian members of the Board of Directors left during the meeting and there’s a chance that they will not come back to next meetings because of disagreements with other members. What is the reason for this?"

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Beef 'O' Brady's to open a restaurant in Mongolia - Tampa Bay Times

Beef 'O' Brady's to open a restaurant in Mongolia - Tampa Bay Times: "TAMPA — When investors wanted to bring an American restaurant to Mongolia, a place so cold and dry it can't grow crops, they looked for a menu that reflects the country's appetite for meat.

One immediately stood out: Beef 'O' Brady's."

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Dragon on the steppes: how Mongolia got it wrong on China

Dragon on the steppes: how Mongolia got it wrong on China: "Mongolia relies on foreign investment to support development of its extensive deposits of coal, copper and other resources. Canadian companies, including Turquoise Hill Resources (formerly known as Ivanhoe) and Centerra Gold, have been leading investors in Mongolia.
But while Mongolia is highly reliant on China as an export market (over 90 per cent of Mongolia’s mineral exports, the nation’s primary export, go to China), it has been reluctant to allow Chinese ownership of mineral resources. Its efforts to block Chinese ownership of resources have affected all foreign investors, raised uncertainty and may have led to an overall decline in foreign investment.
In practice, it is difficult, if not impossible, to set restrictions on certain investors without affecting all investment to some degree. Restrictions that target specific countries are generally not allowable under international trade rules. Forcing a foreign investment proposal to go through a review process creates delays and uncertainty for potential investors, reducing returns and limiting the number of investors willing to take risks in sectors requiring a review."

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ASIA CREDIT CLOSE: Investors pause ahead of NFP; Mongolia rebounds | Reuters

ASIA CREDIT CLOSE: Investors pause ahead of NFP; Mongolia rebounds | Reuters: "In spite of the lack of activity and the downbeat mood, Mongolia's bonds rebounded with the 2018s quoted at 97.50/98.50 and the 2018s around 98.15/99.15. This was a steep recovery from levels as low as 93.50 and 94.50 for the two bonds respectively.

The recently priced bonds had come under pressure yesterday -- which also happened to be their settlement date -- amid reports that the Mongolian People's Revolutionary Party was quitting the governing coalition, a move that could cause the government to fall."

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Mongolia to Use Bond to Lure Investors - WSJ.com

Mongolia to Use Bond to Lure Investors - WSJ.com: "ULAN BATOR, Mongolia—Mongolia is awash with fresh cash, and is figuring out how to spend it.

The landlocked, resource-rich country raised $1.5 billion from a sovereign bond last week and wants to use the money to attract double or triple that amount in new foreign investment, a government economic official told The Wall Street Journal on Tuesday."

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Mongolia attracts twice its GDP for debut bond

Mongolia attracts twice its GDP for debut bond: "The landlocked country has a gross domestic product of just $8.5 billion, so orders were roughly twice the size of the economy. Getting a piece of a frontier credit like this, and one with exposure to China, was certainly part of the attraction. Mongolia is fast-growing — its growth rate in 2011 was about 17.5% — and resource rich.
Previously, the closest thing investors had to Mongolian sovereign paper was through state-owned Development Bank of Mongolia, which had priced a $580 million government-guaranteed bond earlier this year. With a dearth of sovereign paper in Asia, Mongolia’s bond offered a chance to diversify. “There is little sovereign paper in Asia — aside from the Philippines and Indonesia, and some issuance from Sri Lanka, Pakistan and Vietnam,” said Arthur Lau, head of fixed income for Asia ex-Japan at Pinebridge Investments."

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Mongolian Government Releases USD 1.5 billion in Bonds | Ubpost News

Mongolian Government Releases USD 1.5 billion in Bonds | Ubpost News: "The Wall Street Journal – Mongolia, a country that has been rescued five times in 22 years by the International Monetary Fund, sold $1.5 billion in debt Wednesday in its first government bond offering.
The sale, equal to nearly one-fifth of the size of Mongolia’s economy, is akin to the U.S. government borrowing $2.5 trillion in one bite.
“This is a big-bang entry into global capital markets,” said Jan Dehn, co-head of research for Ashmore Investment in London, which manages $68 billion and had planned to buy the bond.
Mongolian officials, who have been visiting investors this week to drum up demand, sold more than 80% of the two-part deal. A $500 million, five-year bond sold at its launch price of 4.125% yield. A $1 billion, 10-year bond sold at 5.125%, according to people familiar with the deal."

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Mongolia still open to foreign investors

Mongolia still open to foreign investors: "After that announcement, Ulan Bator threatened to withdraw SouthGobi's operating licences. The government told SouthGobi its licences were in good standing only a few days after Chalco withdrew its bid in September, but the few months of uncertainty caused a loss in sales for SouthGobi.
Enkhbayar played down concerns that some politicians want to reopen an investment agreement with Rio Tinto, which has 66 per cent control over the Oyu Tolgoi copper and gold mining project, among the world's five largest.
"The government will not change or terminate the basic contract … but there are some issues that are unclear," he said."

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Headline Story | equities.com

Headline Story | equities.com: "Ulaanbaatar, MONGOLIA, Nov 26, 2012 (Filing Services Canada via COMTEX) -- Mongolia Growth Group Ltd. (YAK - CNSX) ("MGG" or "The Company") announces that it will be attending, presenting and meeting with investors at the LD Micro Conference in Los Angeles, California on December 5th and 6th 2012. If you wish to attend, please contact 408-457-1042 or send an e-mail to Chris@ldmicro.com.
For more information, please visit http://www.ldmicro.com
Chairman and CEO Harris Kupperman will be attending.
For further information please email Genevieve Walkden - Gwalkden@Mongoliagrowthgroup.com
Forward-looking Information Cautionary Statement
Except for statements of historic fact, this news release contains certain forward-looking information "

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A Positive Outlook On Mongolia - Seeking Alpha

A Positive Outlook On Mongolia - Seeking Alpha: "This summer, Nick Cousyn became the first native English language speaking employee at Mongolia's largest domestic brokerage, BDSec. Mr. Cousyn came to the company with an American resume of working with institutional investors and high net worth individuals as BDSec's new Chief Operating Officer.

Although BDSec primarily trades on the Mongolia Stock Exchange, this interview will focus on the macro market outlook for the Mongolian economy, and companies doing business in Mongolia that are publicly traded in the United States.

In the interview Mr. Cousyn makes recommendations for investors to consider buying opportunities in Mongolia Growth Group (MNGGF.PK), Mongolia Blue Wolf Holdings (MNGLU), and Turquoise Hill Resources (TRQ). As my last three articles on Mongolia have been quite negative, it seemed time to give investors a different view from an expert on the ground in Mongolia who, by nature of his job, has some of the best local research available to him."

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Mongolia Meets Investors; Thanksgiving Slows Issuance

Mongolia Meets Investors; Thanksgiving Slows Issuance: "Asia debt risk is poised to close at the lowest level in more than two weeks, according to prices from Westpac Banking Corp. (WBC) and data provider CMA. Mongolia, an exporter of coking coal, is seeking to raise as much as $5 billion from bonds and loans for rail and power projects, Vice Economy Minister Chuluunbat Ochirbat said last month. The extra yield Asian companies pay over Treasuries to sell dollar debt fell for the first time in more than two weeks yesterday, according to HSBC Holdings Plc indexes. Mongolia is “in a pretty sweet spot, if you’re looking at it from a resource standpoint,” said Brayan Lai, a desk analyst in emerging market credit trading at Jefferies Group Inc. in Singapore. Mongolia will likely be flexible on timing given less constraints around required funding, he said.
Bond Risk
Kookmin Bank will also consider a capital markets transaction after meetings in Singapore, Hong Kong and London next week, a person with knowledge of those details said."

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Mongolia Meets Investors; Thanksgiving Slows Issuance in Asia - Businessweek

Mongolia Meets Investors; Thanksgiving Slows Issuance in Asia - Businessweek: "Mongolia is meeting investors from today to discuss a possible dollar-denominated bond sale, as closed markets in the U.S. for Thanksgiving prompted Asian issuers to pause. Bond risk fell.

The North Asian country, which was the world’s fastest- growing economy last year, hired five banks to arrange the meetings, a person familiar with the matter said yesterday. Asia-Pacific dollar note sales this week total $1.8 billion, compared with $3.9 billion last week, according to data compiled by Bloomberg. Asia debt risk is poised to close at the lowest level in more than two weeks, according to prices from Westpac Banking Corp. (WBC) and data provider CMA.

Mongolia, an exporter of coking coal, is seeking to raise as much as $5 billion from bonds and loans for rail and "

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Modun Resources upgrades JORC resource in Mongolia

Modun Resources upgrades JORC resource in Mongolia: "Proactive Investors reported that Modun Resources has upgraded the JORC resource at its Nuurst Project in central Mongolia with 326 million tonnes now in the high confidence Measured category.

This comes hot on the heels of a recent offtake deal executed with Asia-focused commodity trading house, Tennant Metals.

The total resource compiled by consultancy CSA Global now stands at 478 million tonnes of sub bituminous coal.

Further upside is the substantial increase in the calorific value to 4,768 kilocalories per kilogram on an air dried basis, up from 4,113 kilocalories per kilogram previously.

CSA’s work highlights thick coal seams close to the sub crop that indicate very low strip ratio coal below 1:1 in a significant portion of the resource area."

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Modun Resources upgrades coal resource in Mongolia - MENAFN

Modun Resources upgrades coal resource in Mongolia - MENAFN: "(MENAFN - ProactiveInvestors - Australia) Modun Resources (ASX: MOU) has upgraded the JORC resource at its Nuurst Project in central Mongolia, with 326 million tonnes now in the high confidence Measured category.

This comes hot on the heels of a recent offtake deal executed with Asia-focused commodity trading house, Tennant Metals.

The total resource, compiled by consultancy CSA Global, now stands at 478 million tonnes of sub-bituminous coal."

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Rio Tinto signs power supply deal in major milestone for Mongolia - Proactiveinvestors (UK)

Rio Tinto signs power supply deal in major milestone for Mongolia - Proactiveinvestors (UK): "It is the first cross-border power supply agreement between China and Mongolia.
“Rio Tinto and its partners have invested almost US$6 billion in this vast project, completing it in only 28 months,” said chief executive Andrew Harding.
“We have trained and employed thousands of Mongolians and Oyu Tolgoi will be a vital contributor to Mongolia's economic development.”
The deal represents a major milestone for the vast Asian country as the mine, which will be one of the world’s biggest copper mines once it is up and running, already accounts for a third of Mongolia’s gross domestic product (GDP).
Oyu Tolgoi is 66%-owned by Turquoise Hill, which is in turn owned by Rio through its majority stake.
The news will be a boost for other miners in the region, including Toronto-listed Kincora Copper (CVE:KCC), which is hoping its Bronze Fox mine can be the next Oyu Tolgoi."

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Newera Resources finds more shallow coal in Mongolia - MENAFN

Newera Resources finds more shallow coal in Mongolia - MENAFN: "(MENAFN - ProactiveInvestors - Australia) Newera Resources (ASX: NRU) has concluded maiden drilling at its Shanagan East Coal Project in Mongolia with the most recent holes drilled intersecting shallow coal.

Drilling intercepted between 2 metres and 4.3 metres of cummulative net coal in five of the last holes to be drilled in the 24-hole, 1,500 metre program.

Initial interpretation of the Shanagan Project has identified coal along 6.5 kilometres of strike, with lateral continuity of multiple black coal seams outcropping along the coal measure margin.

Importantly, the potential exists for the identification of new seams with further exploration."

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