Much ruckus was caused in Mongolia, as "Ivanhoe Mines" company announced on April 01, 2012, to sell its "SouthGobi Sands" shares
of 57.6% to the Chinese state-owned "Chalco" company for 540 million USD.
However, the issue of this trade made by “SouthGobi Sands” is being underrated with the arrest of the Head of Mongolian People’s Revolutionary Party N.Enkhbayar, thus is worrying the Member of the State Great Khural (Parliament) G.Zandanshatar at great deal. He said, “If we urgently discuss and ratify the draft legislation on limiting foreign investment, we are fully capable of terminating the mine land trade carried out between “SouthGobi Sands” and “Chalco”.
He then continued, “Whether this draft legislation will undergo discussion will be resolved by the Parliament. However this issue is being postponed due to other matters. This legislation is intended not only for the mining sector, but in other sectors such as the sector of defense, geology, water supply and even the media and press sector, thus it will cover the issue of holding an appropriate level of foreign investment in each sector separately.”
In addition, the temporary Director General of the Mineral Resources Authority of Mongolia M.Ariunbayar announced a statement during the press conference regarding "Mining Mongolia-90
" International Open Coference. In the statement Director General M.Ariunbayar said, "All special licenses issued to the SouthGobi Sands were suspended temporarily, if the Mineral Resources Authority of Mongolia grants a license the Authority has a privilege to suspend it" today on April 16, 2012.