MINISTERS: OT SHAREHOLDERS’ MEETING TO RECONVENE AFTER TSAGAAN SAR
February 7 (InfoMongolia) Today on February 07, at 02:45pm Minister for Mining D.Gankhuyag opened an official statement regarding the Oyu Tolgoi LLC shareholders’ meeting started yesterday, where Minister for Economic Development N.Batbayar, Minister for Finance Ch.Ulaan, and Minister for Nature, Environment and Green Development S.Oyun were present and gave brief summary respectively.
On February 06, 2013, Minister for Economic Development N.Batbayar announced the Oyu Tolgoi LLC shareholders’ meeting would be organized in the Ministry of Mining at 02:00pm, but due to the today’s (February 07, 2013) an official statement the shareholders’ meeting was held between the Government of Mongolia and representatives of Rio Tinto Group in the State Special Service "Ikh Tenger" Complex in Ulaanbaatar at 04:00pm yesterday, where representing the Government of Mongolia were Minister for Mining D.Gankhuyag, Minister for Economic Development N.Batbayar, Minister for Finance Ch.Ulaan, Minister for Nature, Environment and Green Development S.Oyun, Executive Director for "Erdenes Oyu Tolgoi" LLC Ts.Sedvanchig and the Rio Tinto Group was represented by Cameron McRae, President and CEO of Oyu Tolgoi LLC and other officials.
Minister for Mining D.Gankhuyag noted, “The Government of Mongolia and a working group submitted by the State Great Khural (Parliament) have worked on the disputed matter over 3 months. At the initiation of the Government of Mongolia the shareholders’ meeting has started yesterday, where parties have exchanged mutual views regarding the Oyu Tolgoi Investment Agreement.
On behalf of Mongolia, we have proposed 6 main issues and 13 questions to the Oyu Tolgoi Board of Members to discuss within the meeting.
Oyu Tolgoi LLC proposed only 2 issues - when to get back the invested 250 million USD prepayment, and when to finance the next investments.
Nevertheless, we have requested to give an explanation why the initial investments had been increased by 2 billion USD, after we would discuss the next financial issues. Besides, parties have agreed to resolve the issues based on scientific research and narrow estimations. The only point we demand is to follow Mongolia’s regulations and its laws, in order to accomplish this project successfully, we need to proceed openly.
Though, Mongolia and Rio Tinto Group should collaborate by the means of mutual understandings, and the started shareholders’ meeting will be continuing following the Tsagaan Sar Holiday”.
Following Minister for Economic Development N.Batbayar continued the summary of the meeting noting, “Shareholders of the Oyu Tolgoi LLC were worried much by the statement issued during an open discussion held at the Parliament on Friday, February 01, 2013. Where it was commented that the Government of Mongolia and its public are misunderstanding the “nice” development, moreover the Government should apologize at the beginning of the expected meeting, then we (shareholders) can continue. But we replied that Mongolia is a state of nation with Parliamentary republic status. People of Mongolia do love and respect their land. If you do understand this point, you will be allowed to operate on the territory of Mongolia. The Oyu Tolgoi project must be agreed by the interests of Mongolians, hence some of the Oyu Tolgoi Investment Agreement’s articles must be changed”.
Next, Minister for Finance Ch.Ulaan stressed, “As of Minister, I would say Mongolia will follow its Law and the Ministry of Finance proposed several times to match the calculation with the Company, but yet not accomplished. Oyu Tolgoi LLC has requested from the Government of Mongolia the advanced paid 250 million USD of investment, due to the Agreement the money had to be attached into the 2013 State Budget, but not set, hence we are able to repay the 250 million USD from 2014, besides Oyu Tolgoi LLC did not pay a tax in 2012. We are demanding the Company to oblige the regulations of Mongolia”.
Then, Minister for Nature, Environment and Green Development S.Oyun commented that a monitoring pit in the territory of Oyu Tolgoi site will be installed; besides that Oyu Tolgoi is implementing the Health, Safety and Environmental Policy.
On February 06, 2013, Minister for Economic Development N.Batbayar announced the Oyu Tolgoi LLC shareholders’ meeting would be organized in the Ministry of Mining at 02:00pm, but due to the today’s (February 07, 2013) an official statement the shareholders’ meeting was held between the Government of Mongolia and representatives of Rio Tinto Group in the State Special Service "Ikh Tenger" Complex in Ulaanbaatar at 04:00pm yesterday, where representing the Government of Mongolia were Minister for Mining D.Gankhuyag, Minister for Economic Development N.Batbayar, Minister for Finance Ch.Ulaan, Minister for Nature, Environment and Green Development S.Oyun, Executive Director for "Erdenes Oyu Tolgoi" LLC Ts.Sedvanchig and the Rio Tinto Group was represented by Cameron McRae, President and CEO of Oyu Tolgoi LLC and other officials.
Minister for Mining D.Gankhuyag noted, “The Government of Mongolia and a working group submitted by the State Great Khural (Parliament) have worked on the disputed matter over 3 months. At the initiation of the Government of Mongolia the shareholders’ meeting has started yesterday, where parties have exchanged mutual views regarding the Oyu Tolgoi Investment Agreement.
On behalf of Mongolia, we have proposed 6 main issues and 13 questions to the Oyu Tolgoi Board of Members to discuss within the meeting.
Oyu Tolgoi LLC proposed only 2 issues - when to get back the invested 250 million USD prepayment, and when to finance the next investments.
Nevertheless, we have requested to give an explanation why the initial investments had been increased by 2 billion USD, after we would discuss the next financial issues. Besides, parties have agreed to resolve the issues based on scientific research and narrow estimations. The only point we demand is to follow Mongolia’s regulations and its laws, in order to accomplish this project successfully, we need to proceed openly.
Though, Mongolia and Rio Tinto Group should collaborate by the means of mutual understandings, and the started shareholders’ meeting will be continuing following the Tsagaan Sar Holiday”.
Following Minister for Economic Development N.Batbayar continued the summary of the meeting noting, “Shareholders of the Oyu Tolgoi LLC were worried much by the statement issued during an open discussion held at the Parliament on Friday, February 01, 2013. Where it was commented that the Government of Mongolia and its public are misunderstanding the “nice” development, moreover the Government should apologize at the beginning of the expected meeting, then we (shareholders) can continue. But we replied that Mongolia is a state of nation with Parliamentary republic status. People of Mongolia do love and respect their land. If you do understand this point, you will be allowed to operate on the territory of Mongolia. The Oyu Tolgoi project must be agreed by the interests of Mongolians, hence some of the Oyu Tolgoi Investment Agreement’s articles must be changed”.
Next, Minister for Finance Ch.Ulaan stressed, “As of Minister, I would say Mongolia will follow its Law and the Ministry of Finance proposed several times to match the calculation with the Company, but yet not accomplished. Oyu Tolgoi LLC has requested from the Government of Mongolia the advanced paid 250 million USD of investment, due to the Agreement the money had to be attached into the 2013 State Budget, but not set, hence we are able to repay the 250 million USD from 2014, besides Oyu Tolgoi LLC did not pay a tax in 2012. We are demanding the Company to oblige the regulations of Mongolia”.
Then, Minister for Nature, Environment and Green Development S.Oyun commented that a monitoring pit in the territory of Oyu Tolgoi site will be installed; besides that Oyu Tolgoi is implementing the Health, Safety and Environmental Policy.
Comments
Post a Comment