Erdenet Mining Corp Board appoints new members

Ulaanbaatar /MONTSAME/ April 3, Monday saw the issue of Erdenet Mining Corporation being addressed by two sides with differing statements. Last February, Parliament issued a resolution regarding full ownership of the copper plant by transferring the 49 percent ownership of Mongolian Copper Corporation to the Government, and during its regular meeting on March 29, the Cabinet resolved to form the Board of the plant with only government officials. During the corporation's stockholders meeting last week, three Board Members representing Mongolian Copper Corp were discharged from the Board. Replacing the three members, Z.Mendsaikhan, Secretary of State at the Ministry of Energy, A.Dagvadorj, Deputy Director of State Property Committee and D.Davaadorj, Deputy Head of Department of Policy Management at the Ministry of Mining and Heavy Industry were newly appointed to the Erdenet Board. On this matter, Ts.Purevtuvshin, CEO of Mongolian Copper Corp and M.Munkhbaatar and D.Ganbold, former Board Members of the Erdenet Mining Corporation expressed their stance saying, “We’ve been informally told that Erdenet Mining Corporation is in full ownership of the Government”. “Erdenet Mining Corporation has been registered as a government entity. But according to relevant laws, an object mustn’t be registered while there is an objection”, said D.Ganbold. The Mongolian Copper Corporation representatives The Mongolian Copper Corp representatives also mentioned about a reported appointment of 8 deputy directors at the Erdenet copper plant which was denied by representatives of the Board of Erdenet Mining Corporation later. The Board of Erdenet Mining Corporation responded quickly by expressing their official stance with a statement, "Erdenet plant is a government-owned company. Erdenet Mining Corporation became 100 percent government-owned with the acquisition of a registration certificate". Some members of the Board of Erdenet Mining Corporation and Chairman of the Board U.Byambasuren were present at the press briefing to make the statement. “The Government is taking all possible measures to maintain the plant’s benefits, and improve its financing”, said Chairman U.Byambasuren who also officially informed that structural change will be made within the corporation. "Appointment of 8 deputy directors is not on agenda", he said. "However, we will make necessary changes within the structure of the company. But those who are just doing their job don't have to worry", he assured. The Board members also stated that the stockholders meeting proceeded legally.