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http://zgm.mn/post/4566/

History of the Yalta Conference and Mongolia (2)

History of the Yalta Conference and Mongolia (2)
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http://zgm.mn/post/4566/
  • In the summer of 1945, Stalin announced the “Status quo of Outer-Mongolia,” as “Independence of MPR.”
  • In terms of international law, Mongolia’s independence has been declared internationally and validated on February 14, 1950, exactly 5 years after the Yalta Conference

Please find the previous part on March 6th issue of ZGM Daily

What have Mongolians done and achieved in such a historical situation? After the U.S Vice President successfully visited Mongolia in the summer of 1944, traffic in Ulaanbaatar was dramatically accelerated. Mongolia’s leaders, who have gracefully hosted a major guest of the United States, the world’s largest power and an ally in World War II, must have tasted freedom. At the end of 1944, the Prime Minister of the Mongolian People’s Republic, Marshal Choibalsan Khorloo visited the USSR. As the well-regarded diplomat, Jargalsaikhan. B recalled, the Marshal visited the Mongolian embassy in Moscow and talked briefly with Ambassador Sambuu. J during the visit saying, “It is no different than Mongolia has tens of millions of people.” Diplomat Jargalsaikhan wrote that Stalin excitedly encouraged Choibalsan to become a Mongolian ethnic leader to let Mongolia join the Far East war. Not only did Mongolia secured its independence internationally, but also the national hysteria of liberating Inner Mongolia has spread in the country. Unfortunately, the three powers in Yalta reached an agreement on Mongolia and, in general, the sides haven’t informed Mongolia’s embassy in Moscow or the embassy in Ulaanbaatar with any information. Probably Mongolians did not even imagine and study the meaning of the status quo at the time. “However, since the policy of the Russian Empire, which has begun from an early century, aimed to separate Khalkh Mongolia from other Mongol ethnic groups, Stalin also had pursued it. From the beginning of the twentieth century, Russia has been seeking to address Mongolian matter only as Outer or Khalkh Mongolia. It is not only due to Chinese pressure but also ethnic issues in its other territories, such as Buryatia and Oirad,” quoted Jargalsaikhan in his book. It is what was the status quo. It is also true that the Outer-Mongolia (MPR) at that time, was within its borders, and China did not gain control of it, so let’s just admit the actual truth of Outer-Mongolia. In that sense, the great powers considered that the status-quo set out in the Yalta Agreement would be more relevant to the territory of Mongolia but not to the Mongolian population. “The status quo means no change in the country’s territory or boundaries, limiting the Mongolian divide and limiting its long-standing dream of rebuilding a country under one roof,” said Jargalsaikhan. After 1945 spring, the war in Europe has ended. In East Asia, however, World War II continue. Japan relied heavily on the Kwantung army. The Japanese military command said it would play a decisive role in the war, relying on its strong military-industrial base in Manchuria, mainly because the American air force had not arrived there. China was in a critical situation. They would not be able to conquer Japan, but in Europe, the Allied powers did not extend their salvation arm to China. In June 1945, the U.S Ambassador to the Republic of China, P. Harley officially provided Chiang Kai-shek with the information on the secret negotiations of the Crimean Conference. The Chinese leader found himself dying, knowing that the official agreement which had been deeply connected to China’s interests lasted for three months without being told. Communicate directly with Moscow and negotiate almost at its feet, the American ambassador urged the Gomindan. Outer-Mongolia was close to going out of control, the three northeastern Chinese provinces would fall into Communist control, otherwise, Japan would not leave China, the war will continue and China would weaken. In the summer of 1945, Stalin announced the “Status quo of Outer-Mongolia,” as “Independence of MPR.” As the American ambassador to the Republic of China, D. Harley persuaded Chiang Kai-shek, the Chinese leader sent his Foreign Minister, his Soviet son-in-law who had a Russian wife, to Moscow. The main topic of the talks is Outer-Mongolia. He was ready for a compromise on any other issue, except disapproving the independence of Outer-Mongolia. Stalin’s comments were very serious. If we do not free Outer-Mongolia, it will unite Inner Mongolia and will become strong; we will have a strategic interest in Mongolia, and if Japan returns to attack Russia in the future, we will turn Outer-Mongolia into the buffer zone to protect Siberia, he thought. One of the Russian ministers at that time, however, resigned from office in Moscow. The new Minister signed The Treaty of Friendship and Alliance with the Government of the Republic of China on August 14, 1945. The contract was valid for 30 years and came into action 10 days after its signing. The agreement was accompanied by a note stating, “The Republic of China has accepted the Mongolian People’s Republic’s independence.” According to the statement, the Chinese side conducted a poll among the population of Mongolia, asking whether to be independent or not. It passed in the autumn of that year, confirming that the Mongolians had officially departed from China. After the Chinese Communist Revolution, the Treaty of the Friendship, Alliance and Mutual Assistance was signed in Moscow, which expired on February 14, 1950, with China and valid for 30 years. After the contract, the two parties exchanged notes as they did in 1945. There are lines in the footnote that refer to the referendum in 1945 and the establishment of two diplomatic relations between the MPR and the Republic of China, the Chinese side agreed to declare the MPR to be independent. In terms of international law, Mongolia’s independence has been declared internationally and validated on February 14, 1950, exactly 5 years after the Yalta Conference. Let me turn to the international significance of the Yalta Conference at the end of this article. Of course, it has been considered to have great historical importance. A list includes the world’s largest and most important international consultations during the World War, the beginning of cooperation between the member nations of the Hitler Alliance, the origin of a bipolar world and the division of Europe into the east and west. The whole era of international relations, the so-called “Yalta system”, was founded at the time. Because this system was able to maintain a balance of power and as a result, mankind did not face World War III or involved in a nuclear conflict. The demarcation line on post-war Europe maps, which did not move for 45 years, eventually changed as the Soviet Union collapsed, giving way to Central and Eastern Europe to establish a whole new map of Europe. Former communist Eastern and Central Europe and the Baltic States of the Soviet Union chose the Western system of international relations as well as the western NATO, and European Union after the collapse of the Communist Alliance. Russia violated the sovereignty and territorial integrity of the Ukraine and Georgia, as the countries were targeting the Euro-Atlantic. It violated the Treaty of Yalta and was forced to change borders in Europe (now Crimea), and the United States, Western Europe, and their allies imposed sanctions on Russia. The system of Yalta has been traced back to history, but now international relations are undergoing the next transition. However, other mechanisms provided in Yalta are still working such as the UN. For the 75th year, the United Nations has been fulfilling its historic role for humanity. Outer-Mongolia still exists and flourishes as Mongolia. China maintains territorial integrity. The Far East border of the USSR is not violated in the interests of Russia. Russia, Japan, the MPR and Korea are on the same side!

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CGA: Coal export fell by 59.8 percent in Q1

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  • Mongolia exported 306,600 tons of copper concentrate as of March
  • Mongolia exported 2.05 million tons of iron ore in the first quarter, down 0.7 percent from a year earlier

In the first quarter, Mongolia exported 3.1 million tons of coal, a decrease of 59.8 percent compared to the same period of 2019. It lowered by 39 percent to USD 250.6 million in sales revenue. Currently, coal exports are recovering and coal is being exported through Gashuunsukhait, Shiveekhuren, Zamiin-Uud, and Khangii ports. However, the volume of coal export is less than usual. As of March, the country exported 306,600 tons of copper concentrate, decreased by 15.2 percent year on year. In terms of sales revenue, it dropped by 68 percent to USD 351.2 million. Although copper exports have not been disrupted due to the new restrictions followed by the coronavirus, declining copper prices at the global market have had a direct impact on Mongolia’s exports. During the reporting period, oil exports totaled 322,300 barrels, reaching USD 17.7 million, which is 80 percent less than the previous year. Oil exports are scheduled to begin on April 4, according to the Mineral Resources and Petroleum Authority of Mongolia (MRPAM). However, it plans to export about 20 cars of oil a day. In terms of its share in total exports, coal has decreased to 22 percent this year. Copper concentrate rose from 28 percent of total exports to 30.8 percent this year. As for other mineral products, exports of zinc concentrate fell by 16 percent to 36,900 tons in the first quarter. In total sales revenue, it decreased by 23 percent to USD 48.3 million. Tsairt Mineral LLC, one of the main exporters, was not affected by the new coronavirus infection, but the company said zinc prices were worse than expected this year. Mongolia exported 2.05 million tons of iron ore in the first quarter, down 0.7 percent from a year earlier. In terms of total sales revenue, it increased by 32 percent to USD 140.7 million. Iron ore prices are relatively favorable compared to the same period last year. 

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Xanadu Mines: Exploration at the Kharmagtai deposit was suspended in February

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On Tuesday, Xanadu Mines Ltd., copper and gold exploration company with several advanced exploration projects in Mongolia’s highly mineralised and vastly underexplored south Gobi region, made a statement related to the COVID-19 impact on its operation. The company’s main project, diamond drilling at the Kharmagtai deposit in Umnugovi province, temporarily halted in February. “We have not seen a significant impact on our business to date. However, although there are currently no restrictions on transportation locally, any further deterioration of the situation may result in quarantines and affect Xanadu’s ability to undertake exploration activities in the South Gobi,” the company said in a report. “It is not possible to estimate the impact of the outbreak’s near-term and longer effects or Governments’ varying efforts to combat the out-break and support businesses. This being the case, we do not consider it practicable to provide a quantitative or qualitative estimate of the potential impact of this outbreak on the Group at this time.” Subsequent to end of the financial year, the COVID-19 outbreak was declared a pandemic by the World Health Organization in March 2020. In March 2020, Mongolia reported its first transported case of COVID-19. As a response, the country closed its borders and halted all international flights. As of today, Mongolia had reported 14 cases of COVID-19. Xanadu also revised its 2020 action plan and canceled or postponed activities it considered unimportant. In 2020, the company aims to cut management spending by AUD 1.3 million, or 35 percent, from 2019. On March 24, 2020, the company announced that it entered into an earn-in agreement with Japan Oil, Gas and Metals National Corporation (JOGMEC) to sole fund up to USD 7.2 million in exploration expenditure at the Company’s Red Mountain copper-gold Project in Mongolia.

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Two more imported cases of COVID-19 registered

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The Ministry of Health and the National Center for Communicable Diseases on Wednesday reported that two more imported cases of COVID-19 have been detected in Mongolia. On March 28, the Republic of Korea sent a charter flight to repatriate its citizens in Mongolia and three family members of the staff of the Turkish Embassy in Mongolia arrived by the flight to Ulaanbaatar. “On March 28, three family members of the staff of the Turkish Embassy arrived by a flight of South Korea, but the two of them have been confirmed with COVID-19. Just after landing, they were immediately isolated and tested three days later. 10 people who had close contact with them as well as the others who served them have been also isolated for medical supervision and tests,” said General Director of the National Center for Communicable Diseases. 

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Gold purchase rises fourfold in Q1

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  • 3.6 tons of precious metals is gold and 1.7 tons is silver
  • As of february, foreign exchange reserves amounted to USD 4.3 billion. This is an increase of 0.22 percent from the previous month and 21 percent from the same period of the previous year 

In the first three months of this year, the central bank purchased 5.3 tons of precious metals, increasing fourfold from 1.2 tons in the same period last year. 3.6 tons of precious metals are gold and 1.7 tons is white silver. The dramatic decline in gold purchases in the first quarter of 2019 was mainly due to the uncertainty of the legal environment in royalties. It may have resulted in this year’s rise as well, according to the officials. In the first months of 2020, increase gold prices dominated. For example, in March, the average purchase price of gold was MNT 141,500 per ounce, which is about 30 percent higher than the same period of the previous year. In addition, the closure of passenger traffic may have restricted the smuggling of gold. Purchasing gold is one of the key instruments for the Mongolian central bank to increase its official foreign exchange reserves. As of February, foreign exchange reserves amounted to USD 4.3 billion. This is an increase of 0.22 percent from the previous month and 21 percent from the same period of the previous year. The central bank aims to increase the reserves to at least USD 6.5 billion in the medium term.