First Oil Refinery in Mongolia

Mena Finance Reports: Two Russian banks and a Czech bank have
agreed to finance the construction of Mongolia's first oil refinery. The Russian banks are Gazprombank, a subsidiary of Russian natural
gas extractor Gazprom, and Vnesheconombank, the state-owned foreign
trade bank. On the Czech side is Czech Export Bank. The international project will cost $600 million, of which Czech
Export Bank will provide half and the Russian banks will provide the
other half, the banks said in a joint statement Tuesday, the RIA
Novosti news agency reported.

There has been much talk about Mongolia opening the market for the "black gold", but no oil production was planned until this moment. The oil refinery in Mongolia is to refine 1.5 million metric tons of
crude per annum. Its products will cover Mongolia's internal needs,
with the rest being exported to China's northern provinces.

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