Rio Tinto reported the Mongolian Parliament unanimously approved a resolution that instructs the government to look for ways to improve the implementation of the Investment Agreement of 2009, the Amended & Restated Shareholder Agreement of 2011 and the Underground Mine Development & Financing Plan of 2015. The passing of this resolution reconfirms the validity of all the investment agreements between the government of Mongolia, Rio Tinto and Turquoise Hill Resources.
This brings to a close an 18-month review by the Parliamentary Working Group of Oyu Tolgoi and the investment agreements governing the business, according to Rio Tinto.
Chief Executive Copper and Diamonds Arnaud Soirat said, “Adherence to these agreements by all parties has underpinned a total in-country spend of around $10 billion since 2010, which has delivered significant benefits to the people of Mongolia and will continue to do so for decades to come.
“There is a lot of work to do to ensure Oyu Tolgoi reaches its full potential and we remain committed to exploring ways to deliver even greater benefits from Oyu Tolgoi to all shareholders.”
The resolution includes exploring options to look at the Mongolian government’s equity share in Oyu Tolgoi; a redefinition of the reserve report and updated feasibility report; a renewal of the environmental and water assessments; and further capability development within the team, which represents the Mongolian party.