Oyu Tolgoi LLC releases its 2020 Year in ReviewEconomy
Ulaanbaatar /MONTSAME/. Oyu Tolgoi LLC, Mongolia's largest copper and gold mining company - a strategic partnership between the Government of Mongolia, Turquoise Hill Resources and Rio Tinto, published its Year in Review 2020 report today, May 5.
Some key facts of the Year in Review 2020 report include:
- At the end of 2020, the All Injury Frequency Rate was 0.15 per 200,000 people hours worked, which makes Oyu Tolgoi one of the safest performers across Rio Tinto Group.
- Between 2010 and 2020, Oyu Tolgoi paid MNT 5.9 trillion* (US$2.9 billion) in taxes, fees and other payments, including the VAT paid to Mongolian suppliers. In 2020, Oyu Tolgoi paid MNT 826 billion* (US$294 million) in the form of taxes, fees and other payments to the Government of Mongolia.
- Between 2010 and 2020, Oyu Tolgoi spent MNT 24.1 trillion* (US$11.6 billion) in-country in the form of salaries, payments to Mongolian suppliers, taxes and other payments to the Government of Mongolia.
- 84 local suppliers provided goods and services to Oyu Tolgoi in 2020. Between 2010 and 2020, Oyu Tolgoi spent MNT 1.67* trillion (US$672 million) on procurement from Umnugovi province.
- Between 2010 and 2020, Oyu Tolgoi spent MNT 7.57 trillion* (US$3.54 billion) on national procurement.
Ambassador Batsukh Galsan, PhD, Chairman of the Board of Directors of Oyu Tolgoi LLC, said, “Oyu Tolgoi received the internationally-recognized Copper Mark as a responsible and sustainable producer of copper – a testament to the hard work and tenacity of our people and the executive team. I take great pride in the young generation of national engineers and technical experts diligently learning from skilled and experienced expatriate professionals. Our MNT 24.1 trillion* (US$11.6 billion) total in-country spend to date also demonstrates the project’s contribution to the economic and social development of the country.”
Armando Torres, Chief Executive Officer of Oyu Tolgoi LLC, highlighted "Despite many challenges, we have worked together to fulfill our commitments safely and effectively in 2020. We are particularly proud of the remarkable journey we have made in improving safety. Oyu Tolgoi is an industry leading performer in safety, ending the year with an All Injury Frequency Rate of 0.15. As part of our continuous efforts to improve our environmental performance, we were pleased to maintain excellent water-conservation practices in 2020, achieving an average water-recycling rate of 87.7 percent, compared to a target of 80 percent. We understand how valuable water is for the Gobi region and we will continue to drive improvement in our water recycling process and support the local community on water conservation plans.”
Jacques van Tonder, Chief Development Officer of Oyu Tolgoi LLC, noted “For the Underground Project, the new mine design was concluded, providing a clear pathway towards future development and ultimately, sustainable production. We also successfully transitioned the underground mining and functional teams from the Underground Project into existing Operations. This transition is an important validation in the confidence we have as a leadership group that Oyu Tolgoi is ready to become an underground producer.”
“We would like to express our sincerest gratitude to officials at all levels of the Government of Mongolia, including state, provincial and soum emergency commissions for providing us with the support and the opportunity to continue Oyu Tolgoi operations and underground development in these challenging times.”