Z.Enkhbold repeats charge that Mongolia’s 34% ownership is being reduced

Our journalist talked to MP Z.Enkhbold about recent claims
by some MPs that the 34% share of Mongolia in Oyutolgoi LLC is being reduced.

Why do you say so?
There are two contracts relating to Oyutolgoi,
one on investment and the other on shareholding. The 34% share in the investment
agreement has not been affected but things are different with the shareholders’
agreement. Bonds worth USD 500 million have been sold and another MNT2 billion
would be sold. Since Mongolians cannot buy any of these, its percentage of shareholding
would be reduced.

How
does Minister of Mineral Resources and Energy, D.Zorigt, officially deny this?
Mongolia has not bought any pereferential rights shares, so its shareholding is
being reduced. We should take steps about it. There are three or four ways
tjhis can be done.

Will
the working group of the Standing
Committee on Security and Foreign Policy that is headed by Sh.Saikhansambuu
discuss the situation?

It has already concluded that investment
agreement does not follow the 57th order of Parliament which called for a 51%
Mongolian ownership. The investment agreement will also have to be changed to
allow the Government to collect from Oyutolgoi
royalty tax at increased rates.