Wider U.S. business involvement will mark the next phase of bilateral relations: Ambassador Minton

The mining sector in Mongolia is poised to develop rapidly. How much interest do American investors have in Mongolia?

U.S. investors and U.S. firms, like those in many other countries, are very interested in being partners with Mongolia to develop the mining industry here. We should see this as more than just a good business opportunity, as  involvement of U.S. businesses and investors would also strengthen other areas of Mongolia-US relationship. These private, commercial arrangements for mining should always be made on a commercial basis and in ways that benefit the Mongolian people. It is normal that companies do business to earn profits. But as the U.S. Ambassador here, I am especially eager to see American businesses becoming involved in Mongolia, because I think that would be the next phase of our bilateral relationship.

We have had diplomatic relations for 20 years marked by wonderful government to government relations, that have been very beneficial for both sides. But now we will have to look to the private sector to take the relationship to the next level. Mongolia’s famous and very successful third neighbour policy should now take on a commercial dimension. Of course the greatest opportunity for that is in mining.

Eleven foreign companies have expressed their interests to operate the Tavan Tolgoi coal deposits. An American company, Peabody Energy, is among them. What are the special strengths of Peabody Energy?

When George W. Bush, President of the U.S. at that time, met with then- President Enkhbayar in the White House in 2007, he expressed confidence that an American company, such as Peabody Energy, would be found competitive if there was an open bidding process. We continue to believe this. Peabody Energy has everything Mongolia should look for in a partner. Peabody Energy is used to competition and will hold its own against any other bidder. It is the largest coal miner in the world and it understands better than any other company how to do its work.

When I say this, I mean that Peabody uses the latest and most advanced technology available in mining and is careful to remain environmentally sensitive. It has considerable experience  working in tandem with others, and knows that any partnership is successful only when benefits are shared to the maximum.  Its excellent track record qualifies it to be a strong contender to be a partner for Mongolia.

Peabody Energy is also renowned for its commitment. If they do become involved in Mongolia, I’m sure they will be here for a very long time  be a partner in many projects, and become very involved in Mongolian society in positive ways.

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