Mongolian court says the government broke the law by seizing the Erdenet copper mine

SMM, 25 Sep: a local court in Mongolia has said it is against the law for the Mongolian government to seize full control of the Eldenet copper mine, the latest ruling on a long-running ownership dispute in one of Asia's regions.

Ahead of this week's ruling, MCC said it was considering referring the case to international arbitration to protect its stake in the mine. "the Mongolian government has been talking about how to make Mongolian investment more attractive, and it is time for the government to learn to respect the rights of the private sector," the company said.

Erdenet, established in 1978 as a joint venture between Mongolia and the Soviet Union, is one of the largest copper mines in the region, producing about 530000 tons of concentrate per year.

MCC won a Russian stake in the mine in 2016, which was approved by then Mongolian Prime Minister Chimed Saikhanbileg, although the Mongolian parliament said it had never approved the sale.

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