EBRD SUPPORTS MONGOLIAN OIL EXPLORATION

Ulaanbaatar, /MONTSAME/ The European Bank for Reconstruction and Development (EBRD) has invested six million US dollars (around €4.2 million) in Petro Matad, a Mongolian oil exploration and production company.
The EBRD will obtain around 17 per cent of Petro Matad’s newly issued shares and will gain a seat on the company’s board. Majority owned by Petrovis, the largest Mongolian oil products distributor, Petro Matad has production sharing contracts with the Mongolian government. This entitles the company to operate on three petroleum blocks, including the company’s main asset Block XX, located in Tamsag Basin, in far eastern Mongolia, near the Chinese border.
The EBRD’s investment will enable the drilling of three wells in Block XX as well as support Petro Matad’s further exploration in two other blocks, recently awarded.
The EBRD claims its financial support will bring new and improved environmental and corporate governance standards.