Ulaanbaatar
Erdenes Tavan Tolgoi Shareholders’ Meeting expected in late March
Economy
Ulaanbaatar /MONTSAME/ Erdenes Tavan Tolgoi JSC Board of Directors met on March 1, and the outcome of the company was reported to the media. Erdenes Tavan Tolgoi JSC is a Government-owned company operating at the Tavan Tolgoi coal deposit since 2010.
Addressing the wait among the public regarding the company’s payment of dividends, CEO D.Ariunbold pointed out that the company must comply with basic stock market rules such as being debt-free.
The company authorities informed about a recent transaction of USD 150 million debt to the Development Bank of Mongolia. “The rest of the debt will be repaid in the coming two months,” the CEO said. Erdenes Tavan Tolgoi repaid USD 100 million debt to Aluminum Corporation of China Limited and USD 60 million to TTJVCo LLC in 2017.
“First, we will register all shareholders. The Financial Regulatory Commission will decide if the company will be an open or closed shareholding company. The shareholding citizens will be able to sell their shares once the stock trade is open,” he said. 2.5 million citizens own a share of the Erdenes Tavan Tolgoi JSC.
The company’s 65 percent share is owned by the Government of Mongolia, which will thus make the final decision on payment of dividends, the authorities said. The Shareholders’ Meeting of the company will be held in late March.
Although Erdenes Tavan Tolgoi JSC extracted lower volume of coal than its original plan in 2017, it saw a benefit of MNT 438 billion. The company exported 8.4 million tons of coal last year, accumulating a total revenue of MNT 1.1 trillion. MNT 243 billion of the total revenue was transferred to the State Budget.
The company has exported 2 million tons of coal by far in 2018.
Kh.Aminaa
