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Report Date : |
12.02.2014 |
IDENTIFICATION DETAILS
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Name : |
MONGOLYN ALT (MAK) CORPORATION LLC |
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Registered Office : |
Khan-Uul District, 1st Khoroo, 19th Khoroolol Ulaanbaatar |
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Country : |
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Date of Incorporation : |
December 1993 |
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Com. Reg. No.: |
9011071054 |
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Legal Form : |
Limited Liability Company |
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Line of Business : |
· Subject is engaged in agricultural activities · Subject also provides geology exploration services. · Supply of coal to Power Plant of Darkhan, Erdenet Ore Dressing |
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No. of Employees : |
500 |
RATING & COMMENTS
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MIRA’s Rating : |
B |
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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26-40 |
B |
Capability to overcome financial difficulties seems comparatively
below average. |
Small |
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Status : |
Moderate |
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Payment Behaviour : |
No complaints |
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Litigation : |
Clear |
NOTES :
Any query related to this report can be made
on e-mail : infodept@mirainform.com
while quoting report number, name and date.
ECGC Country Risk Classification List – September 30, 2013
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Country Name |
Previous Rating (30.06.2013) |
Current Rating (30.09.2013) |
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Mongolia |
C1 |
C1 |
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Risk Category |
ECGC
Classification |
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Insignificant |
A1 |
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Low |
A2 |
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Moderate |
B1 |
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High |
B2 |
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Very High |
C1 |
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Restricted |
C2 |
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Off-credit |
D |
MONGOLIA - ECONOMIC
OVERVIEW
Mongolia's extensive mineral deposits and attendant growth in mining-sector activities have transformed Mongolia's economy, which traditionally has been dependent on herding and agriculture. Mongolia's copper, gold, coal, molybdenum, fluorspar, uranium, tin, and tungsten deposits, among others, have attracted foreign direct investment. Soviet assistance, at its height one-third of GDP, disappeared almost overnight in 1990 and 1991 at the time of the dismantlement of the USSR. The following decade saw Mongolia endure both deep recession, because of political inaction and natural disasters, as well as economic growth, because of reform-embracing, free-market economics and extensive privatization of the formerly state-run economy. The country opened a fledgling stock exchange in 1991. Mongolia joined the World Trade Organization in 1997 and seeks to expand its participation in regional economic and trade regimes. Growth averaged nearly 9% per year in 2004-08 largely because of high copper prices globally and new gold production. By late 2008, Mongolia was hit hard by the global financial crisis. Slower global economic growth hurt the country's exports, notably copper, and slashed government revenues. As a result, Mongolia's real economy contracted 1.3% in 2009. In early 2009, the International Monetary Fund reached a $236 million Stand-by Arrangement with Mongolia and the country has largely emerged from the crisis with better regulations and closer supervision. The banking sector strengthened but weaknesses remain. In October 2009, Mongolia passed long-awaited legislation on an investment agreement to develop the Oyu Tolgoi mine, considered to be among the world's largest untapped copper deposits. Recent calls by nationalist politicians to renegotiate the investment agreement, however, have called into question the attractiveness of Mongolia as a destination for foreign direct investment. Negotiations to develop the massive Tavan Tolgoi coal field face similar obstacles. The economy grew by 6.4% in 2010, 17.5% in 2011, and by more than 12.3% in 2012, largely on the strength of commodity exports to nearby countries and high government spending domestically. Mongolia's economy, however, faces near-term economic risks from the government's loose fiscal policies, which are contributing to high inflation, and uncertainties in foreign demand for Mongolian exports. Trade with China represents more than half of Mongolia's total external trade - China receives more than 90% of Mongolia's exports. Mongolia purchases 95% of its petroleum products and a substantial amount of electric power from Russia, leaving it vulnerable to price increases. Due to severe winter weather in 2009-10, Mongolia lost 22% of its total livestock, and meat prices doubled. Inflation remained higher than 10% for much of 2010-12, due in part to higher food and fuel prices. The economic slowdown in China during 2011-2012 resulted in fewer Mongolian exports, a widened trade gap, and decreased government revenues, putting pressure on Mongolian fiscal policy. Remittances from Mongolians working abroad, particularly in South Korea, are significant
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Source
: CIA |
MONGOLYN ALT (MAK) CORPORATION LLC (CORRECT)
MONGOLYN ALT MAK GROUP LLC (REQUESTED)
MONGOLYN
ALT (MAK) CORPORATION LLC
ADDRESS
Area : Khan-Uul District, 1st Khoroo, 19th Khoroolol
Town : Ulaanbaatar
Country : Mongolia
Telephone: (976 75) 759 700 / Mobile (976 99) 114 260 / (976 99) 631 277 / (976 99) 091 067 (Ayuna Nishtamdar) / (976 99) 091 139
Fax : (976 70) 107 481
E-Mail : ganbi@mak.mn / mak@mak.mn / gedavaa@mak.mn
Shortform Name : MAK Corp
Also Known As : Mongolyn Alt Mak LLC / Mongolyn Alt Mak XXK
Name Position
1. Byambaa Nyamtaishir President
2. D. Sodnom Advisor of the President
3. D. Dashzeveg Vice President / Technical Policy
4. Avirmed Ganbileg Vice President / Trade & International Cooperation
5. G. Davaatseren Vice President / R & D
6. D. Sainjargal Chief Accountant
7. Yur Aherlenbayar Manager
8. Ayuna Nishtamdar Procurement Manager
Total Employees : 500
No complaints have been heard regarding payments from local suppliers
or banks.
We consider it is acceptable to deal with subject for MEDIUM amounts,
although it is normal accepted practice for international suppliers
to deal on secured terms with Mongolian importers.
Opinion on maximum credit : TUGRIK 350,000,000
Trade risk assessment : Normal
NAME : TRADE AND DEVELOPMENT BANK OF MONGOLIA
Branch : Juulnchny Gudamj 7
Town : Ulaanbaatar 210646
Telephone: (976 11) 312 362 / 331 133
Fax : (976 11) 325 449
The company also has an account with the following banks :
1. Golomt Bank of Mongolia
Sukhbaatar Square 3
PO Box 11
Ulaanbaatar 11
Telephone: (976 11) 311 530 / 312 307 / 311 971
Fax : (976 11) 311 958
2. Khan Bank
Seoul Street 25
PO Box 44
Ulaanbaatar
Telephone: (976 11) 332 333
Fax : (976 70) 117 023
Private companies in Mongolia are not required to publish or
disclose balance sheets. However, the subject interviewed offered
the following information (latest available):
Sales Turnover : US DLRS 7,000,000 - 2002 - exact
: US DLRS 6,000,000 - 2003 - exact
: US DLRS 6,000,000 - 2004 - exact
: US DLRS 10,000,000 - 2005 - exact
: US DLRS 15,000,000 - 2006 - exact
: US DLRS 20,000,000 - 2007 - exact
: US DLRS 23,000,000 - 2008 - exact
: US DLRS 20,000,000 - 2009 - projected
Net Profit : not given but stated to be profitable
Financial year ends 31 December.
Date Started : December 1993
C.R. No. : 9011071054
Tax No.: 2095025
Capital : not given
Limited Liability Company with the following sole shareholder :
Byambaa Nyamtaishir 100%
Affiliated companies of Mongolyn Alt (MAK) Corporation LLC :
Associates
Bumbat Co Ltd
(joint venture between Mongolyn Alt (MAK) Corporation LLC (49%) and
Mongolia Gold Resources Ltd (51%)
The Company is involved in the following activities :
Subject carries out coal mining in Alagtogoo's high calorie stone
deposit in Dalanjargalan soum of Dornogobi aimag.
Supply of coal to Power Plat of Darkhan, Erdenet Ore Dressing
Plant and Khutul Cement and Lime Factory.
Bituminous Coal production capacity : 5 thousand tonnes - 2007
Subject also provides geology exploration services.
The Company also engages in agricultural activities. It has 3,000
hectares of crop field (wheat) and 40 hectare fruitberry garden in
Mongolia.
NACE Code : 0510
Imports equipment from Europe.
Until 2007 subject was engaged in gold mining. Subject completed
exploration of the deposits in Zaamar soum of Central aimag, Ikh
Galt, Ikh alt, Khailaast, Baruun Shand.
Naryn Sukhait is reported to hold about 380 million mt of resources
of high-rank, low-ash, low-sulphur metallurgical and steam coal, of
which 220 million mt of resources belong to the licenses of Mongolyn
Alt Corporation LLC.
In accordance with the Special Permit for the construction of railway
from the Naryn Sukhait mine to the Mongolian-Chinese border granted
to Mongolyn Alt Corporation LLC, 47.8-km railway construction is
scheduled to start up in early 2010.
The Company has the following facilities :
Office premises located at the heading address.
Subject's mining equipment fleet consists of 26 units including
Caterpillar's D8N, D8R, D9R bulldozers, 320, 322, 350L excavators,
627F scrapers, 988F, IT-28 loaders, 769C trucks and Chinese-Czech
made "Tatra" trucks, Russian made DET-250 as well as other small,
medium capacity machines and equipment.
Subject also has a representative office in China.
Subject has 3,000 hectare crop field and 40 hectare fruitberry garden
in Khalkh Gol soum of Eastern aimag.
Until 2012 subject was located at :
Building 14
13th Micro-district, Bayanzurkh District
P.O. Box : 237
Ulaanbaatar 210349
Telephone: (976 11) 455 882 / 455 338 / 450 199 / 455 785
Fax : (976 11) 458 075
Building 14
13th Micro-district, Bayanzurkh District
P.O. Box : 237
Ulaanbaatar 210349
Telephone: (976 11) 455 882 / 455 338 / 450 199 / 455 785
Fax : (976 11) 458 075
You enquired on: MONGOLYN ALT MAK GROUP LLC. Please note that the subject’s correct registered name is as per heading.
The address which you provided: Building 14, Microdistrict 13, Bayanzurkh district 18, PO Box 237, Ulaanbaatar 210349 applies to subject's former and branch addresses. Please note that subject's current administrative office address is as per heading.
Interviewed: Ayuna Nishtamdar (Procurement Manager).
FOREIGN EXCHANGE RATES
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Currency |
Unit
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Indian Rupees |
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US Dollar |
1 |
Rs.62.44 |
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1 |
Rs.102.48 |
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Euro |
1 |
Rs.84.28 |
INFORMATION DETAILS
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Report Prepared
by : |
NIS |
RATING EXPLANATIONS
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RATING |
STATUS |
PROPOSED CREDIT LINE |
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>86 |
Aaa |
Possesses an extremely sound financial base with the strongest
capability for timely payment of interest and principal sums |
Unlimited |
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71-85 |
Aa |
Possesses adequate working capital. No caution needed for credit transaction.
It has above average (strong) capability for payment of interest and
principal sums |
Large |
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56-70 |
A |
Financial & operational base are regarded healthy. General unfavourable
factors will not cause fatal effect. Satisfactory capability for payment of
interest and principal sums |
Fairly Large |
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41-55 |
Ba |
Overall operation is considered normal. Capable to meet normal
commitments. |
Satisfactory |
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26-40 |
B |
Capability to
overcome financial difficulties seems comparatively below average. |
Small |
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11-25 |
Ca |
Adverse factors are apparent. Repayment of interest and principal sums
in default or expected to be in default upon maturity |
Limited with full
security |
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<10 |
C |
Absolute credit risk exists. Caution needed to be exercised |
Credit not
recommended |
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NB |
New Business |
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This score serves as a reference to assess SC’s credit risk and
to set the amount of credit to be extended. It is calculated from a composite
of weighted scores obtained from each of the major sections of this report. The
assessed factors and their relative weights (as indicated through %) are as
follows:
Financial
condition (40%) Ownership
background (20%) Payment
record (10%)
Credit history
(10%) Market trend
(10%) Operational
size (10%)
This report is issued at your request without any
risk and responsibility on the part of MIRA INFORM PRIVATE LIMITED (MIPL)
or its officials.