A

Жижиг

A

Дунд

A

Том
http://zgm.mn/post/3931/

Total imports of Mongolia exceed USD 6.1 billion

Total imports of Mongolia exceed USD 6.1 billion
 0 сэтгэгдэл

A

Жижиг

A

Дунд

A

Том
http://zgm.mn/post/3931/
  • Mineral products account for 22.4 percent of the total imported goods in 2019
  • Oil accounted for about 85 percent of the total mineral products

Mongolia imported products worth USD 6.1 billion in 2019, according to the Customs General Administration. This is a 
4.3 percent increase from the performance a year earlier.
Of these, mechanical equipment accounts for 20.2 percent and mineral products 22.4 percent. Oil accounted for about 85 percent of the total mineral products. Thus, imports of cars and air vehicles exceeded USD one billion for the first time, increased by 30 percent from the previous year. This equals 19 percent of total imports. Mongolia is recycling automotive parts, producing and exporting ship anchors and other products. Exports of these types of products stood at USD 24 million in 2018; it tripled to USD 78.6 million last year, composing one percent of the total exports. During the period, imports from Russia and China increased by 2.3 percent year-on-year. It accounted for 61.4 percent of total imports, but dropped 1.1 percent from the previous year, reflecting increased trade with third neighbors.

A

Жижиг

A

Дунд

A

Том

TRQ to spendUSD 1.3 billionon underground development

 0 сэтгэгдэл
  • Coper production in Q4,19 of 32,905 tons was lower compared to Q4,18

Turquoise Hill Resources (TRQ) announced fourth-quarter 2019 production for Oyu Tolgoi (OT) as well as operational and financial guidance for 2020. Copper production in Q4’19 of 32,905 tons was lower compared to Q4’18 due to decreased head grade driven by the transition from Phase 4a and Phase 6a, to Phase 4b, Phase 6b and lower grade stockpiles, the company said in a report.Equally, gold production in Q4’19 of 24,343 ounces was also lower compared to Q4’18 due to the transition from Phase 4a to low-grade sources of Phase 4b and stockpiles. 


2020 OUTLOOK

OT is expected to produce 140,000 to 170,000 tons of copper and 120,000 to 150,000 ounces of gold in concentrates in 2020 from both the open pit and the beginning of the underground development material being processed.Although the mid-point copper production range guidance is higher in 2020 versus the 2019 guidance, a lower gold production year is expected for 2020. This is due to the need to mine through lower grade material on the periphery of the South West pit as Phase 4b sinks towards the highest gold and copper grades in the bottom of the pit. It is anticipated that the higher grade ore will be accessed in 2021, resulting in a significant increase in gold production in 2021. Mill throughput for 2020 is expected to be approximately 40 million tons. Operating cash costs for 2020 are expected to be USD 800 million to USD 850 million. Capital expenditure for 2020 on a cash-basis is expected to be approximately USD 80 million to USD 120 million for open-pit operations and USD 1.2 billion to USD 1.3 billion for the underground development exclusive of any expenditure on power.Open-pit capital is mainly comprised of deferred stripping, equipment purchases, tailings storage facility construction, and maintenance componentization. Underground development capital includes both expansion capital and VAT. C1 cash costs are expected to be in the range of USD 1.80 to USD 2.20 per pound of copper produced, up from 2019 guidance largely reflecting the reduced gold production estimate. Unit cost guidance assumes the midpoint of expected 2020 copper and gold production ranges and commodity assumptions of USD 2.71 per pound copper and USD 1,362 per ounce gold. 


UNDERGROUND DEVELOPMENT UPDATE

Construction of shaft 2 was completed in October 2019 allowing for the movement of 300 people per cage cycle versus a maximum of 60 people per cage cycle through shaft 1. Underground development material is also being lifted to surface via the Shaft 2 production hoist. Productivity improvements resulted in increased underground lateral development rates during the fourth quarter, with an average rate of 1,607 equivalent meters (eqm) compared to 1,214 eqm in the third quarter, with December seeing a record 1,809 eqm.Construction is progressing on shafts 3 and 4 with both collars now installed. Final preparations are now underway to enable commencement of main sinking operations for both shafts during the second quarter of 2020 Detailed analysis work on the mine design is still anticipated to be completed during the first half of 2020, and the Definitive Estimate, which will include the estimate of cost and schedule for the underground project based on the updated design of Panel 0, is still expected to be delivered in the second half of 2020.









A

Жижиг

A

Дунд

A

Том

Xanadu to spend $2.5 million on exploration of Kharmagtai

 0 сэтгэгдэл
  • The placement was conducted at USD 0.033 per share and it will result in 78,326,311 new ordinary shares (New Shares) being issued. Shareholder approval is not required for the Placement which was undertaken under Xanadu’s Listing Rule

Xanadu Mines Ltd. advised that the company has overnight, conducted a non-brokered placement raising USD 2,584,768.26 placement, the company said in a report released on Thursday. The placement was conducted at USD 0.033 per share and it will result in 78,326,311 new ordinary shares (New Shares) being issued. Shareholder approval is not required for the Placement which was undertaken under Xanadu’s Listing Rule 7.1, 15 percent placement capacity and the New Shares issued under the Placement will rank equally in all respects with existing ordinary shares of the company. The New shares will be issued to Precious capital Gold Mining & Metals Fund (PcG), managed by SSI Asset Management AG, a Zurich based fund (SSI). Following the completion of the raising, PCG will hold approximately 9.9 percent of Xanadu. The settlement of the Placement is due in the coming days. Xanadu’s Chief Executive Officer, Dr. Andrew Stewart said, “On behalf of the board of Xanadu Mines, I would like to welcome PCG to the register. The funds raised from the Placement will be used towards the exploration of the company’s flagship Kharmagtai copper-gold project.”

A

Жижиг

A

Дунд

A

Том

Elixir to hold formal annual meeting at the end of January

 0 сэтгэгдэл
  • The company’s second well in its two core-hole drilling program, Nomgon-1 is spudding now
  • The company’s subsequent plans for 2020 have recently been proposed to Mongolia’s petroleum regulator, as required under the terms of its PSC. These include a mixture of further low cost seismic and drilling

Elixir Energy Ltd yesterday provided an update on its drilling operations in its 100 percent owned Nomgon IX CBM PSC. The company’s second well in its two core-hole drilling program, Nomgon-1 is spudding now, according to the company’s recent report. A mandatory formal annual meeting with the regulator is scheduled to be held towards the end of January. The 2019 results and 2020 plans will be discussed at that meeting, the report said. Nomgon-1 lies approximately 37 kilometers to the South-West of the Ugtaal-1 well and is situated in a different Permian sub-basin to the latter, one of many such sub-basins in the very large Nomgon IX Psc. A permeability report has now been received with respect to the testing undertaken before Christmas on the Ugtaal-1 well. The test was successfully undertaken but the results were at the lower end of expectations due to factors such as poorer than prognosed coal quality. Gas content testing is ongoing and firm results are not yet available. However, the preliminary findings also reflect this lower than expected coal quality. This ongoing desorption work and supplementary laboratory testing will provide valuable learnings for the Company’s ongoing exploration efforts over the multiple targeted Permian sub-basins within the overall PSC area. The company’s subsequent plans for 2020 have recently been proposed to Mongolia’s petroleum regulator, as required under the terms of its PSC. These include a mixture of further low cost seismic and drilling – and by their nature will be dynamic over the course of the year as the two processes feed off each other and the final results of the current program. Elixir’s Managing Director, Mr. Neil Young said, “We are looking forward to the last of the core-hole wells planned for our first year’s drilling campaign. The Nomgon-1 well is one which we are highly confident will intersect coal seams at depth - and will provide a good first test of a different sub-basin in the PSC.

A

Жижиг

A

Дунд

A

Том

Currency intervention in January exceeds USD 200 million

 0 сэтгэгдэл
  • The central bank auctioned USD 38.9 million in the foreign exchange market on Thursday
  • Foreign exchange reserves of Mongolia reached USD 4.2 billion, up 20 percent from the same period over the last year

Since the beginning of 2020, the Bank of Mongolia (BoM) provided a total of currency worth USD 213.9 million to stabilize the domestic market. The central bank auctioned USD 38.9 million in the foreign exchange market on Thursday. As the Bank of Mongolia (BoM) reported previously, Mongolia had received several fundings worth less than USD 100 billion since the beginning of 2020. Particularly, the World Bank granted additional funding of USD 100 billion to the country as well as the Asian Development Bank (ADB). In the private sector, XacBank is scheduled to receive USD 100 million in co-financing from the Dutch Entrepreneurial Development Bank (FMO). The five-year tenor of the loan is expected to strengthen XacBank’s long-term funding base and allow the bank to further grow and expand in its focus areas in retail, micro and small and medium enterprises (MSMEs), the bank reported earlier. In terms of funding source, FMO will provide USD 65 million, the OPEC International Development Fund USD 25 million, and the International Economic Cooperation Bank USD 10 million respectively. ADB also provided USD 100 million last year. According to the central bank, the foreign exchange reserves of Mongolia reached USD 4.2 billion, up 20 percent from the same period over the last year.