Ulaanbaatar
Draft resolution on “Gatsuurt” deposit to be adopted
PoliticsUlaanbaatar /MONTSAME/ A majority of the parliamentary Standing committee on economy decided to adopt at the first discussion the parliamentary draft resolution on fixing a size of state-owned shares of the “Gatsuurt” deposit on Wednesday.
AmMain deposit of the “Gatsuurt” is located in Selenge aimag’s Mandal soum, an owner of the exploitation license is the “Centerra Gold Mongolia” LLC.
As the government has decided, the state-ownership's 34%--the maximum size reflected in the mineral law--is to be replaced with the special payment for mineral exploitation. This matter is being considered by the sides.
According to the Minister of Mining, in case of an exploitation of the deposit Mongolia will receive 3% royalty tax. By a preliminary calculation, the royalty will be 432.3 billion Togrog, equivalent to 68.2% of the total profit from the deposit. In addition, the deposit could sell five tons of gold to the Bank of Mongolia (BoM), which means Mongolia will earn 189 million US dollars under SWAP. As expected, gold exploitation and processing will take 9-10 years at the deposit, total investments expense will be USD 215.9 million, the operational expenses--USD 1,026.2 million. Products of USD 1,769.2 million will be sold, and USD 433.6 million taxes wil be paid to Mongolia, moreover, some 1,000 new jobs will be created.
The same day, the Standing committee carried out the first discussion of a bill on construction, and decided to continue the bill’s discussion over different principal issues of MPs.
