Mongolia to be supplied with petroleum at stable price in the long term

Видео
montastudio@montsame.gov.mn
2022-09-09 15:38:09

On the sidelines of his participation in the 7th Eastern Economic Forum in Vladivostok, Prime Minister L.Oyun-Erdene on September 7 paid a courtesy call on President of the Russian Federation V.V.Putin. While expressing gratitude to the Prime Minister for accepting the invitation and participating in the Eastern Economic Forum, the Russian President emphasized that the two countries have successfully co-implemented mega projects such as Ulaanbaatar Railways, Erdenet Mining Corporation, etc., and expressed his interest in jointly implementing mutually beneficial projects in such scale. In particular, he highlighted the construction project on the gas pipeline connecting Russia and China through the territory of Mongolia and noted the possibilities of cooperation in the energy sector. It was also underscored that the sides reached an agreement on the supply of petroleum products at a stable price in the long term. During the economic forum, the Prime Minister presented some major port, energy, and industrial development projects and programs of regional significance that are set out in Mongolia’s ‘New Revival Policy’, while calling on the investors to invest in Mongolia. Russia accounts for Mongolia’s majority of imports of petroleum products. After a series of negotiations held between the Ministry of Mining and Heavy Industry of Mongolia and the Rosneft Company, not only the border price of AI-92 fuel, which had reached USD 1,285, was reduced to USD 830 but also it was agreed to keep the price stable until the end of 2022. As a result of another talks held during this forum, it was agreed to supply AI-92 fuel at a stable price until 2027, and diesel fuel at a 10 percent discount. During the meeting, Prime Minister L.Oyun-Erdene emphasized the ample opportunities for implementing large-scale regional projects in the energy sector based on Mongolia’s advantage of being ranked first in the world in terms of land area per capita, while presenting the progress of the ongoing talks on the construction of Eg River hydropower plant and renovation of other power plants. It was decided to resolve the issues surrounding the Eg River hydropower plant project, which has been stalled for many years, together with the United Nations and set up a research team of experts to conduct an assessment of the impact on the water resources of the Selenge River and Lake Baikal. The Russian side expressed its support for the implementation of the Eg River hydropower plant project and the expansion of the Thermal Power Plant-III. The construction project on the gas pipeline connecting Russia and China through the territory of Mongolia has been considered of high importance for regional development. In this regard, the parties discussed paying special attention to ensuring the active implementation of the project and putting it into operation in 2029.

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