The First-of-Its-Kind Agreement in the Metaverse

ULAANBAATAR, Mongolia--(BUSINESS WIRE)--In a sign of changing times, Erdenes Tavantolgoi JSC (ETT JSC), the state-owned Mongolian mining powerhouse, and Frontera Capital Group Limited (FCGL) signed the first-of-its-kind legally binding agreement via their avatars in the Metaverse recently. The agreement, structured to raise funds for the third tranche of an ETT JSC bond, was handled by MICC LLC, ETT JSC’s underwriting company (reference number: ETT-2021/517).

The nature of the signing ceremony marks a clear commitment to lean business and the benefits of digital transformation. It was signed by Adel Kambar, the Head of Origination at FCGL, and CEO of ETT JSC, Gankhuyag Battulga.

In his keynote speech, Mr. Battulga reiterated ETT’s commitment to growth in Mongolia, where every citizen is entitled to own 1072 shares in the company. “We are now embarking on numerous mega-projects such as the construction of new railways, irrigation systems, processing plants, power plants, and so on,” said Mr. Battulga. “These will ensure that every citizen’s shares will increasingly grow at the same rate as Mongolia’s development. Industry 4.0 is here. With this event, we want to symbolically pledge our commitment to help lead Mongolia towards its true potential as an innovative, digital and sustainable success story in the region.”

FCGL’s Adel Kambar said that “In recent years, ETT’s performance in Mongolia attracted our attention. The company’s sound financial performance, transparent governance, and funding for cost-effective projects really set it apart from other companions. As such, we are thrilled to be cooperating with the ETT bond.”

The two-day event took place between February 11^th – 12^th, 2022. The first day of the event streamed live to the public and featured the contract signing and the introduction of ETT mobile app, which allows its 2.5 million shareholders to check their share prices, while also providing functions for training, job applications, company-related news, and more. It reached 450,000 downloads on launch day. The second day was an open job fair where job seekers could directly apply to ETT, its subsidiaries, and contractor companies. A total of 1,028 job applications were submitted on this day.

ETT JSC holds mining licenses to the Tavantolgoi coal deposit in the southern Gobi region of Mongolia. It is regarded as one of the largest high-quality coking coal deposits in the world and is one of Mongolia’s key assets and as a strategically important mineral deposit.