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Economy

Oyu Tolgoi's revenue runs $1.9 billion ahead of plan in 8 months; the copper dividend is still dated 2027

Oyu Tolgoi LLC earned $5.5 billion in January to August against a plan of $3.6 billion, ikon.mn reported on Thursday from the company's quarterly report, with copper output at 276,000 tonnes against 251,700 planned and gold at 339,000 ounces against 286,000. Taxes, fees and other payments to the state stood at ₮834 billion as of the second quarter, about $232 million at the central bank's rate posted for Thursday.

Oyu Tolgoi's revenue runs $1.9 billion ahead of plan in 8 months; the copper dividend is still dated 2027

S. Munkhsukh, the company's executive director, presented the report, ikon.mn's B. Badamgarav wrote. Revenue is 53% above plan; copper is 9.7% above and gold 18.5%, on CAW's arithmetic from the same page.

The copper dividend is still dated 2027. Announced by the prime minister on 12 September, 17 years after the original, the amendments to the shareholders' agreement cut the fees and interest the mine charges the state by a combined $8.4 billion on the government's ledger and date the first distribution on Mongolia's 34% to 2027, on Rio Tinto's word at the press conference that week. No per-year sum has been printed for it.

Copper is the largest line in the export book.

The coal dividend is committed already. Passed in two readings by the extraordinary session, the budget rewrite earmarked ₮1.5 trillion from Erdenes Tavan Tolgoi for the pension rise from 1 November; its third reading has no date yet. Thursday's plenary, which was to take the appointment of a new justice minister and the amendments to the fiscal rule, failed to make a quorum and moved to Monday.

Copper is the largest line in the export book. Exports were $14.4 billion in January to August, up 57.2%, with copper at 43.7% of the total and coal at 37%, on the customs figures Montsame carried on Monday. The 2027 draft, in the finance ministry's figures Montsame carried on Thursday, prints a deficit of ₮2.306 trillion, 2% of GDP, on revenue of ₮41.3 trillion.