Cooperation Agreement - Gobi Oyu Development Support Fund
Oyu Tolgoi LLC signed a Cooperation Agreement with Umnugovi aimag and Khanbogd soum in 2015. Under the agreement, the Gobi Oyu Development Support Fund (Gobi Oyu DSF) was established in September 2015.
Oyu Tolgoi grants US$5 million every year to the Gobi Oyu DSF to fund local sustainable development in:
- Water management
- Environmental management (rehabilitation, biodiversity and ecological balance)
- Traditional livestock husbandry and pastureland management
- National history, culture and tourism
- Basic social services (health, education, vocational training and employment)
- Local business development and procurement
- Infrastructure and investment projects.
As of the first half of 2021, the Gobi Oyu DSF has provided funding of over MNT 82.5 billion to 271 projects and programmes for local sustainable development, benefitting over 480,000 people. The fund also includes the ‘Future Generation’ fund, micro-finance programmes, co-financing and donations for local communities.
Representatives of the local community and Oyu Tolgoi LLC are directly involved in managing, monitoring and overseeing the Gobi Oyu DSF’s operations. This is recognised as an innovative approach and best practice both nationally and internationally.