Mongolia Mining Sector Technical Assistance Project

Abstract*

The objective of the Mining Sector Institutional Strengthening Technical Assistance Project for Mongolia for this first phase of support is to assist the Government to develop further the policy, fiscal, legal, regulatory and institutional framework for the mining and extractive sector that meets the needs of government, industry, and civil society. This includes the operation of Erdenes MGL LLC according to good international practice associated... Show More

Development Objective

The Project’s objective is to establish key pieces of the policy, fiscal, legal, regulatory and institutional framework for the mining and extractive sector that meets the needs of the public sector, industry, and civil society.

Key Details

Project Details

Project ID
P108768
Status
Closed
Team Leader
Bryan Land
Borrower 2
Ministry of Finance

Country
Mongolia
Disclosure Date
March 14, 2008
Approval Date
(as of board presentation)
June 26, 2008
Effective Date
May 4, 2009

Total Project Cost 1
US$ 10.30 million
Implementing Agency
Ministry of Finance
Region
East Asia and Pacific
Fiscal Year 3
2008

Commitment Amount
US$ 9.30 million
Environmental Category
B
Environmental and Social Risk
Not Applicable
Closing Date
December 31, 2015

Last Stage Reached
BANK APPROVED
Last Update Date
October 16, 2023

Notes
1. Total project cost includes funding from World Bank and non-bank sources in US$ millions. Active and Closed projects show current commitments. Proposed (pipeline) and dropped projects show the forecast amount. The commitment amount for projects in the pipeline is indicative and may be modified during the project preparation.
2. Borrower refers to the Borrower of a Loan or Recipient of a Grant.
3. ”Fiscal Year” is the fiscal year in which the project was approved (or dropped if the status is dropped). The World Bank's fiscal year is from July 1 - June 30. For example, a fiscal year of 1996 corresponds to July 1, 1995 - June 30, 1996.

Sectors

Themes

FY17 - Economic Policy

FY17 - Fiscal Policy9%
- FY17 - Tax policy9%

FY17 - Private Sector Development

FY17 - Business Enabling Environment33%
- FY17 - Regulation and Competition Policy33%

FY17 - Public Sector Management

FY17 - Public Administration42%
- FY17 - Transparency, Accountability and Good Governance42%
FY17 - Public Finance Management18%
- FY17 - Domestic Revenue Administration9%
- FY17 - Public Expenditure Management9%

Project Map

Interactive Map

Finances

Financing Plan (US$ Millions)

Financier	Commitments
IDA Credit	9.30
Borrower/Recipient	1.00

Total Project Financing (US$ Millions)

Product Line	IBRD/IDA
IBRD Commitment	N/A
IDA Commitment	9.30
IBRD + IDA Commitment	9.30

Lending Instrument
Grant Amount	N/A
Total Project Cost**	10.30

Summary Status of World Bank Financing (US$ Millions) as of July 31, 2025

No data available.

Detailed Financial Activity as of July 31, 2025

Download:

Period	Financier	Transaction Type	Amount (US$)
Mar 15, 2018	IDA-44890	Int Charges	398.52
Mar 15, 2018	IDA-44890	Int Charges	16,775.33
Mar 15, 2018	IDA-44890	Int Charges	16,775.33
Sep 15, 2017	IDA-44890	Int Charges	16,264.01
Sep 15, 2017	IDA-44890	Int Charges	16,264.01
Sep 15, 2018	IDA-44890	Int Charges	235.29
Sep 15, 2018	IDA-44890	Int Charges	235.29
Sep 15, 2018	IDA-44890	Loan Repay	43,804.41
Sep 15, 2018	IDA-44890	Int Charges	16,396.05
Sep 15, 2018	IDA-44890	Int Charges	16,396.05
Mar 15, 2019	IDA-44890	Int Charges	16,142.49
Mar 15, 2019	IDA-44890	Int Charges	16,142.49
Mar 15, 2019	IDA-44890	Int Charges	30.38
Mar 15, 2019	IDA-44890	Int Charges	30.38
Mar 15, 2019	IDA-44890	Loan Repay	43,481.51
Oct 27, 2014	IDA-H4110	Loan Disb	54,076.97
Dec 3, 2014	IDA-44890	Loan Disb	459,695.25
Nov 1, 2013	IDA-44890	Loan Disb	286,707.78
Sep 12, 2013	IDA-H4110	Loan Disb	-2,399.00
Dec 26, 2013	IDA-H4110	Loan Disb	354,513.44
Sep 15, 2013	IDA-44890	Int Charges	226.85
Sep 15, 2013	IDA-44890	Int Charges	226.85
Sep 15, 2013	IDA-44890	Int Charges	9,998.23
Sep 15, 2013	IDA-44890	Int Charges	9,998.23
Mar 15, 2014	IDA-44890	Int Charges	140.34
Mar 15, 2014	IDA-44890	Int Charges	140.34
Mar 15, 2014	IDA-44890	Int Charges	11,637.90
Mar 15, 2014	IDA-44890	Int Charges	11,637.90
Apr 29, 2014	IDA-H4110	Loan Disb	243,301.97
Apr 22, 2014	IDA-44890	Loan Disb	292,032.50
Jan 30, 2015	IDA-44890	Loan Disb	336,380.66
Aug 11, 2014	IDA-44890	Loan Disb	490,723.25
Mar 15, 2015	IDA-44890	Int Charges	40.72
Mar 15, 2015	IDA-44890	Int Charges	40.72
Mar 15, 2015	IDA-44890	Int Charges	14,447.54
Mar 15, 2015	IDA-44890	Int Charges	14,447.54
Sep 15, 2014	IDA-44890	Int Charges	12,828.57
Sep 15, 2014	IDA-44890	Int Charges	12,828.57
Sep 15, 2014	IDA-44890	Int Charges	122.41
Sep 15, 2014	IDA-44890	Int Charges	122.41
Sep 2, 2015	IDA-H4110	Loan Disb	-43,366.18
Sep 2, 2015	IDA-44890	Loan Disb	-15,608.41
Sep 15, 2015	IDA-44890	Int Charges	279.18
Sep 15, 2015	IDA-44890	Int Charges	279.18
Sep 24, 2015	IDA-44890	Int Charges	16,146.10
Sep 24, 2015	IDA-44890	Int Charges	16,146.10
Mar 15, 2016	IDA-44890	Int Charges	16,201.73
Mar 15, 2016	IDA-44890	Int Charges	16,201.73
Mar 15, 2024	IDA-44890	Int Charges	13,878.65
Mar 15, 2024	IDA-44890	Int Charges	13,878.65
Mar 15, 2024	IDA-44890	Loan Repay	40,089.15
Mar 15, 2024	IDA-44890	Loan Repay	0.01
Mar 15, 2024	IDA-44890	Int Charges	-0.01
Mar 15, 2024	IDA-44890	Int Charges	-0.01
Mar 15, 2024	IDA-44890	Loan Repay	1,494.89
Jun 26, 2008	IDA-H4110	Loan Commitment	4,185,000.00
Jun 26, 2008	IDA-44890	Loan Commitment	5,115,000.00
Mar 15, 2022	IDA-44890	Int Charges	58.01
Mar 15, 2022	IDA-44890	Int Charges	58.01
Mar 15, 2022	IDA-44890	Loan Repay	43,074.60
Mar 15, 2022	IDA-44890	Int Charges	15,022.26
Mar 15, 2022	IDA-44890	Int Charges	15,022.26
Sep 16, 2022	IDA-44890	Loan Repay	39,211.29
Sep 16, 2022	IDA-44890	Int Charges	13,943.26
Sep 16, 2022	IDA-44890	Int Charges	13,943.26
Sep 15, 2022	IDA-44890	Loan Repay	1,204.56
Sep 15, 2023	IDA-44890	Int Charges	13,898.86
Sep 15, 2023	IDA-44890	Int Charges	13,898.86
Sep 15, 2023	IDA-44890	Loan Repay	719.16
Sep 15, 2023	IDA-44890	Loan Repay	40,462.67
Mar 15, 2023	IDA-44890	Loan Repay	40,937.59
Mar 15, 2023	IDA-44890	Int Charges	0.84
Mar 15, 2023	IDA-44890	Int Charges	0.84
Mar 15, 2023	IDA-44890	Int Charges	14,186.73
Mar 15, 2023	IDA-44890	Int Charges	14,186.73
Mar 15, 2023	IDA-44890	Loan Repay	635.23
Sep 15, 2019	IDA-44890	Int Charges	15,759.21
Sep 15, 2019	IDA-44890	Int Charges	15,759.21
Sep 15, 2019	IDA-44890	Loan Repay	126.83
Sep 15, 2019	IDA-44890	Loan Repay	42,755.41
Mar 15, 2020	IDA-44890	Loan Repay	494.11
Mar 15, 2020	IDA-44890	Loan Repay	42,543.95
Mar 15, 2020	IDA-44890	Int Charges	15,655.13
Mar 15, 2020	IDA-44890	Int Charges	15,655.13
Sep 15, 2020	IDA-44890	Loan Repay	140.54
Sep 15, 2020	IDA-44890	Loan Repay	44,099.20
Sep 15, 2020	IDA-44890	Int Charges	14,811.03
Sep 15, 2020	IDA-44890	Int Charges	14,811.03
Mar 15, 2021	IDA-44890	Int Charges	1,124.61
Mar 15, 2021	IDA-44890	Int Charges	1,124.61
Mar 15, 2021	IDA-44890	Loan Repay	44,609.49
Mar 15, 2021	IDA-44890	Int Charges	15,892.13
Mar 15, 2021	IDA-44890	Int Charges	15,892.13
Sep 15, 2021	IDA-44890	Loan Repay	514.24
Sep 15, 2021	IDA-44890	Loan Repay	44,017.80
Sep 15, 2021	IDA-44890	Int Charges	15,637.57
Sep 15, 2021	IDA-44890	Int Charges	15,637.57
Mar 15, 2016	IDA-44890	Int Charges	90.57
Mar 15, 2016	IDA-44890	Int Charges	90.57
Sep 15, 2016	IDA-44890	Int Charges	16,323.27
Sep 15, 2016	IDA-44890	Int Charges	16,323.27
Sep 15, 2016	IDA-44890	Int Charges	120.57
Sep 15, 2016	IDA-44890	Int Charges	120.57
Apr 30, 2016	IDA-H4110	Loan Cancel	44,235.01
Apr 30, 2016	IDA-44890	Loan Cancel	38,461.29
Mar 15, 2017	IDA-44890	Int Charges	72.66
Mar 15, 2017	IDA-44890	Int Charges	72.66
Mar 15, 2017	IDA-44890	Int Charges	15,804.81
Mar 15, 2017	IDA-44890	Int Charges	15,804.81
Sep 15, 2017	IDA-44890	Int Charges	19.42
Sep 15, 2017	IDA-44890	Int Charges	19.42
Mar 15, 2018	IDA-44890	Int Charges	398.52

Footnotes

Ratings

IMPLEMENTATION RATINGS

Name	Review	Date
Overall Safeguards Rating	Moderately Satisfactory	2016-06-03
Financial Management	Satisfactory	2016-06-03
Monitoring and Evaluation	Satisfactory	2016-06-03
Procurement	Satisfactory	2016-06-03
Overall Implementation Progress (IP)	Moderately Satisfactory	2016-06-03
Progress towards achievement of PDO	Moderately Satisfactory	2016-06-03
Counterpart Funding	Satisfactory	2016-06-03
Project Management	Satisfactory	2016-06-03
Overall Safeguards Rating	Moderately Satisfactory	2016-06-03

COMPLETION RATINGS

INDICATOR	IMPLEMENTATION COMPLETION & RESULTS REPORT: 03-31-2017
Outcomes	Moderately Unsatisfactory
Risk to Development Outcome	Substantial
Bank Performance	Moderately Satisfactory
Borrower Performance	Moderately Satisfactory
Government Performance	Moderately Satisfactory
Implementing Agency	Substantial

INDEPENDENT EVALUATION RATINGS

INDICATOR	ICR REVIEW: 12-22-2017	PROJECT PERFORMANCE ASSESSMENT REPORT:
Outcome Rating	Moderately Unsatisfactory	N/a
Risk To Development Outcome	Substantial	N/a
Bank Performance	Moderately Satisfactory	N/a
Borrower Performance	Moderately Unsatisfactory	N/a
Government Performance	Moderately Unsatisfactory	N/a
Implementing Agency	Moderately Unsatisfactory	N/a
Icr Quality	Substantial	N/a
M&e Quality	Modest	N/a

Results Framework

PROJECT DEVELOPMENT OBJECTIVE INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Annual Budget decisions to replenish or withdraw from newly established Sovereign Wealth Fund are made based on agreed Macroeconomic criteria	Value	None	Fully Achieved. Fiscal Stabiltiy Law adopted in 20	Criteria agreed and implemented in Budget framewor
	Date	June 26, 2009	May 23, 2016	December 31, 2013
	Comment

Level of mining related transfers from national government to Aimag and Soum authorities is known and publicly disclosed.	Value	Not currently disclosed	Fully achieved. Integrated Budget Law of Dec 2011	Disclosed and discussed/monitored by citizen group
	Date	June 26, 2009	May 23, 2016	December 31, 2013
	Comment

Mining Tax Audits are completed and assessments raised	Value	none currently	Fully Achieved. 2 audits completed; guidelines and	Minimum of two audits completed
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

Clear authority and responsibilities for Government mining sector management institutions, especially regarding environmental and social aspects associated with mining activities.	Value	Roles confused resulting in gaps and conflicts	Fully Achieved. Functional management review of Mo	Institutional roles clarified in line with clearly
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

mineral licensing procedures streamlined and processing times reduced Value 4-6 months Fully Achieved. Mineral Licencing processing is co 2 months
Date June 26, 2009 May 23, 2016 March 31, 2015
Comment

Geological information is digitized and published and readily available in user friendly digital formats.	Value	very limited, no digital geochemistry	Target not met. MSISTAP financed an institutional	200,000 data points digitised
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

Companies and civil society participate in consultation for pieces of legislation and regulation for mining sector through public fora arranged by the government.	Value	No data availabe.	Fully achieved. Companies and Civil society partic	Consultations taking place for policy, each piece
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

INTERMEDIATE RESULTS INDICATORS

INDICATOR		BASELINE	CURRENT	TARGET

Ministry of Mining policies reviewed and revised	Value	Some work has been undertaken to review the Minist	Fully Achieved. New Mineral Policy formally adopte	Government adopts recommendations in the form of p
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Modern company reporting requirements regulations are prepared, promulgated, implemented, and monitored	Value	Reporting exists in regulations but needs modifica	Almost achieved -Mining law updated in July 2014 a	regulations issues and passed
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Provision of management-related and governance related training events to build capabilities needed within Erdenes MGL.	Value	no systemic capacity building	Achieved	Management-related and governance related training
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Sovereign Wealth Fund or alternative revenue stabilisation mechanism established	Value	Mongolian Development Fund in place but deficient	Fully Achieved. Soverign Wealth Fund established i	New Fund Operational
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

Preparation of Draft Model Mineral Development Agreement	Value	First draft prepared	Partially Achieved. Production Sharing Agreement d	Draft Model PSA and Mining Agreements consistent w
	Date	June 26, 2009	May 23, 2016	December 31, 2013
	Comment

Support establishment of mechanisms for preparation and dissemination of independent professional mining sector economic and policyreports.	Value	No policy unit serving Prime Minister	Fully Achieved. Several reports produced by a rese	Produce first report
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

Modern Mining cadastre regulation adopted and promulgated	Value	Regulations under preparation	Fully Achieved. Mining law revised in July 2014 wh	Mining Cadastre is in use and has public access an
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

Income tax laws on mining amended and supporting regulations drafted	Value	Income tax law for mining deficient	Fully Achieved - Windfall profit tax law of 2006 r	Final modifications to tax laws submitted to Parli
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

Options study prepared on double taxation treaties	Value	Treaties exist but Government dissatisfied with op	Fully Achieved	Work completed ondouble taxationtreaties –Gover
	Date	June 26, 2009	May 23, 2016	December 31, 2013
	Comment

GDNT tax audit staff trained and competent to carry out mining company tax audits	Value	no staff trained to international standards	Fully Achieved; tax audit department received mult	10 staff trained of which 2 are leading mining tax
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment

Modern occupation, health and safety regulations are prepared, promulgated, implemented and monitored.	Value	Regulations exist but require update and moderniza	Partially Achieved. Mining law adopted, regulation	Legislation passed, authorities actively monitorin
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Strategic environmental & social assessment undertaken, areas for improvement in social (including gender) & environmental regulation identified, recommendations made for updating laws	Value	Limited	Fully Achieved. SESA completed in December, 2014.	Results presented, Government responding to key fi
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Modern mine closure and post closure regulations are prepared and promulgated	Value	law and regulations require closure planning but n	Partially achieved -- TA provided (jointly with BG	Modern mine closure and post closure regulations a
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Erdenes MGL financial reports are provided quarterly to the Board of Directors.	Value	not systemic reporting	Fully Achieved	Financial reports are provided quarterly to the Bo
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Establishment of appropriate legal structure and preparation and adoption of suitable corporate charter and reporting arrangements for Erdenes MGL	Value	EMGL was established in 2007	Achieved in 2010	Appropriate legal structure and preparation and ad
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

Consultation with a range of stakeholders including civil society, community members and the private sector undertaken as part of asocial and environmental strategic assessment process.	Value	Limited	Fully Achieved.	SESA Consultation process completed. Working local
	Date	March 28, 2014	May 23, 2016	March 31, 2015
	Comment

mineral licensing procedures streamlined and processing times reduced	Value	4-6 months	Fully Achieved. Mineral Licencing processing is co	2 months
	Date	June 26, 2009	May 23, 2016	March 31, 2015
	Comment