TT NEGOTIATIONS CONTINUE ON RAILWAY MATTERS

Ulaanbaatar /MONTSAME/ The negotiations which began January 5 between the government's working group and the strategic investor of Tavan Tolgoi--consortium of Shenhua Energy-Sumitomo-Energy Resources--are continuing with two meetings held on the matters of Deposit-Investment-Cooperation and the railroad connecting Tavan Tolgoi with Gashuunsukhait. At the first meeting, the sides exchanged detailed information, a sub-group presented related documents, agreements and contracts to the investor. The strategic investors has been obligated to construct and commission on their expenses a basic structure of the railroad which connects the deposit to Gashuunsukhait border port, and to deliver a 51-percent shares of the operating railroad to the State, free of charge, 30 years after the commissioning, as reflected in the parliamentary resolution No.34 and in the Government's resolution No.268. The railroad basic structure has upper and lower compositions of rail tracks, engineering facilities such as bridges and viaducts, power and water feeds, signal communications, information facilities, level crossings and barricaded gates to ensure regular operations of stations, junctions and traffic. Present at the meeting were B.Otgochuluu, the head of Department for Strategy and Policy Planning of the Ministry of Mining, S.Javkhlanbaatar, the head of the Investment Department of the Ministry, Ya.Batsuuri, a director of “Erdenes Tavan Tolgoi” JSC, also the representatives of Shenhua Energy Company, Sumitomo Corporation and Energy Resource LLC.