The Mongolian Mining Journal

Nippon Steel, Sumitomo Metal to expand Australia port Nippon Steel Corporation (“Nippon Steel”) and Sumitomo Metal Industries, Ltd. (“Sumitomo Metals”) have announced that they have decided to invest to expand capacity at Cape Lambert by 70 million tons per year, along with the replacement of existing port facilities (“Port Expansion”), which are jointly operated with Rio Tinto group (“Rio Tinto”) in the Pilbara region of Western Australia.

Anglo American to Cut Coking Coal Output - Executive Anglo American PLC plans to reduce coking coal output in the coming months as it reviews existing operations and projects in the face of weak prices and high costs, the miner’s coking coal chief said Wednesday as he warned industry-wide cuts will continue to deepen.

China Iron Ore Price Index For 3rd Week, September According to China Iron & Steel Association (CISA), China Iron Ore Price Index (CIOPI, April 1994=100, 62% Fe content) for the third week (16 - 22) of September 2012 turned out to be 358.37 with a slight increase by 0.04 points from the previous week. Hike in domestic iron ore price positively affected the index while imported iron ore price continued to decrease.

Mongolia-New Frontier Market for Mining Technologies Mongolia-New Frontier Market for Mining Technologies

Mario Alfio Sorbello: Future of SLS operations in Mongolia as we see them are fruitful SLS Bearings was established in 1963 and headquartered in Singapore. The company which stared with three staff, and now after almost 50 years of operation, has a staff strength of more than 1300 people throughout Singapore, East Malaysia, West Malaysia, Indonesia, China and Mongolia.

Sandvik Mongolia LLC: Long term partner in Mongolia for Equipment, Tools and Service Solutions Jamie Ruddy, Managing Director of Sandvik Mongolia LLC, speaking on the company’s current and future commitment in the Mongolian mining industry.

GARY PAULSON: As long as there is a demand for mineral products mining will have a future in Mongolia Founded of Falcon Drilling Ltd Gary and Grand Paulson. 30 years experience in Drilling, Mining, Construction, Aviation and Exploration at management level.

Qi Song: Metso will suit Mongolia very well Metso is a well-known global supplier of technology and services to customers in the process industries, including mining, construction, pulp and paper, power, and oil and gas. Our 30,000 professionals based in over 50 countries deliver sustainability and profitability to customers worldwide. Metso, with its headquarter located in Helsinki, Finland, is an Old Friend for Mongolian companies.

ETT IPO in MarchApril next year: B.Enebish B.Enebish, Chief Executive Officer of Erdenes Tavan Tolgoi LLC, tells S.Bold-Erdene why the company’s much-anticipated IPO has been delayed and how it may all turn out to be more beneficial.

Strategy on strategic mineral missing The term “strategically important” in reference to certain mineral deposits has long been used in the laws of both Russia and Mongolia but there is considerable ambiguity in people’s mind about its intention and application.

Minerals, Metals, Metallurgy & Materials 09. 27-30 India, Delhi Minerals, Metals, Metallurgy & Materials 09. 27-30 India, Delhi

The amended Law on Environmental Impact Assessment The Parliament of Mongolia passed on May 17 an amended Law on Environmental Impact Assessment (EIA) that had been submitted to it on December 30, 2011. As every mining activity has some impact on the environment, the new amendments, as well as the untouched provisions of the law, are to be carefully considered by the mining industry.

“Building a mega plant is always a challenge”: Thyssen Krupp ThyssenKrupp Uhde, a subsidiary of ThyssenKrupp, is one of the world’s leading engineering companies. Uhde is a global leader in CTL technology and is to build a coal-to-liquid plant in cooperation with Industrial Corporation Mongolia LLC. As he answers some questions from MMJ, Claudio Marsico, Director of Sales, ThyssenKrupp, says his company can offer Mongolia much more than the plant whose construction should begin in a month or two.

“Our main advantage is our experience in Mongolia” The Liebherr Group, comprising more than 120 companies and with 60 years of experience, has been working in Mongolia since 2002, with Monnis as its official distributor. During Future Mongolia, MMJ asked Axel Dolcken, General Manager, Earth Moving & Mining Division,Liebherr Exports, about his company and the partnership in Mongolia.

Mongolia’s Strategic Investment Law – ‘The golden average’ … or not? Parliamentarians and others who support the new Law on Regulation of Foreign Investment in Business Entities Operating in Sectors of Strategic Importance (Strategic Investment Law) have been quick to say that Mongolia’s new regime to regulate foreign investment is very similar to Australia’s Foreign Investment Review Board (FIRB) regime.

What are shale oil, shale gas and oil shale? Oil shale is one of the most prolific hydrocarbon resources on earth. Massive deposits are found in a number of countries around the globe, including Australia, Brazil, China, Estonia, Israel, Jordan, and the United States. Preliminary geologic surveys and evidence from oil shale outcrops indicate that Mongolia may also have oil shale resources of a size and quality that are commercially viable.

INVITATION TO SUBMIT NOMINATIONS FOR MINING JOURNAL AWARDS 2012 For the third year in a row, The Mongolian Mining Journal will be honouring the best performers in the mining sector with Mining Journal Awards in the beginning of December. At a time when, as elsewhere in the world, the mining sector in Mongolia faces challenges and obstacles, the Mongolian Mining Journal finds it all the more important to encourage individuals and organisations that are sustaining the industry and to publicly recognise their achievement.

Aspire’s Ovoot likely to grow into Tier 1 resource Aspire Mining Ltd. has already defined the second largest coking coal reserve in Mongolia, after TavanTolgoi, and additional coal intersected during drilling outside the existing resource at its Ovoot coking coal project could increase the size. There is still plenty of room for Ovoot to grow into a Tier 1 resource, with only around 20% of the Ovoot Basin explored by Aspire.

Dark cloud from China covers Mongolia Minister of Finance Ch.Ulaan announced in August that State revenue until then was MNT1.2 trillion less than what had been estimated in the budget. Mark the figure it is not MNT100 billion, MNT200 billion or even MNT500 billion, but a whopping MNT1.2 trillion. The shortfall has put the Human Development Fund in a critical situation and it is not clear how State-funded construction works will continue. Just before his statement, several coal companies had put exports on hold.

The “Reform” Government’s proposed Action Plan We give below selected parts of the 2012-2016 Action Plan formulated by the Government and awaiting approval by Parliament. Every Mongolian to have a job and an income • Keep inflation in single digit and the purchasing power of the MNT stable. • Restrict budget deficit to no more than 2% of GDP. • 80% of imports by sectors other than mining will be exempt from tax.