Unofficial translation of the draft of the coal mining agreement related to the Tavan Tolgoi deposit

This coal mining agreement (hereinafter “the Agreement”) is made between the State Owned Company, Erdenes MGL LLC (hereinafter “SOC”), on the one side and, on the other, ……..LLC (registration number…..) established  in the country of…….., which made a request for an agreement and its subsidiary, ………….LLC (registration number…….) established in Mongolia (hereinafter “the Contractor”) (altogether to be referred to “as the parties”) on the … day of in the month of……  in the year…..

Article One: Preamble

1.1    The purpose of this agreement is to regulate the relations pertaining to issuing the coal mining rights to the Contractor and defining the coal mining operation, washing, transporting, selling, financing, product sharing and price setting methods of the Contractor and rights, responsibilities of the parties and grounds for agreement expiry and termination.
1.2    Terminologies used in this agreement should be interpreted as stipulated in the appendix of this agreement.

 

Article Two: Appointing the Contractor

2.1    Government of Mongolia has issued the rights to the investor to run the main operation on territory covered by the agreement and as the agreement is enforced, the investors shall become the Contractor of the SOC.
2.2    As the right is issued as stipulated in provision 2.1 of this agreement, the Contractor shall discharge all rights, responsibilities and risks associated with the Agreement.

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