COMPETITIVE BIDDINGANNOUNCEMENT FOR CONSESSIONS

Date: 30th of April, 2014

We are announcing competitive bidding for the following road projects:

No. / Name of Concession Item / Concession Type / Concession Item No. / Bid Due Date
1 / Tosontsengel-Uliastai 114 km paved road / Build-Transfer / MED-2013/317/8 / Conference Room on 3rd Floor of the Ministry of Economic Development by 1:00pm, July 1st, 2014
2 / Bayankhongor-Altai 129,4 kmpaved road / Build-Transfer / MED -2013/317/9
3 / Bayankhongor-Altai 126,7 km paved road / Build-Transfer / MED -2013/317/9-1
4 / Altai-Darvi 165 km paved road / Build-Transfer / MED -2013/317/10
5 / Altai-Darvi 98 km paved road / Build-Transfer / MED -2013/317/10-1
6 / Tosontsengel crossroad-Numrug-Songino 167 km paved road / Build-Transfer / MED -2013/317/11 / Conference Room on 3rd Floor of the Ministry of Economic Development by 1:00pm, July 3rd, 2014
7 / Songino soum-Khyargas lake east rim 135.5 km paved road / Build-Transfer / MED -2013/317/12
8 / Dashinchilen-Orkhon bridge road ending-Murun-Tarialan road ending 120 km paved road / Build-Transfer / MED -2013/317/13
9 / Dashinchilen-Orkhon bridge road ending-Murun-Tarialan road ending 112 km paved road / Build-Transfer / MED -2013/317/13-1
10 / Khujirt-Tuvkhun Temple-Ulaantsutgalan 90.1 km paved road / Build-Transfer / MED -2013/317/15
11 / Dashinchilen-Ugiinuur-Khushuu Tsaidam 30 km paved road / Design-Build-Transfer / MED -2013/317/16 / Conference Room on 3rd Floor of the Ministry of Economic Development by 1:00pm, July 2nd, 2014
12 / Renovation of "Onon" bridge in Binder soum of Khentii aimag / Design-Build-Transfer / MED -2013/317/17
13 / Mandal soum Zuun Kharaa 15.8 km paved road / Design-Build-Transfer / MED -2013/317/18
14 / Choir-Bor Undur 50 km paved road / Design-Build-Transfer / MED -2013/317/19

The Ministry of Economic Development announces the competitive bidding for concessions and invites all interested Mongolian or foreign legal entity or their consortium to participate in competitive biddingfor projects listed above.

Interested parties shall meet following requirements in order to submit their bidding proposal:

  1. To provide a bid guarantee of no less than one fourth of the total proposed investment deposited into their own account at any Mongolian commercial banks in Mongolian tugrik or foreign currency /one proof is valid for bidding of one project only/;
  2. To have necessary management, professional personnel, technical and technological capacity and experience /the information on the bidder’s experience must include all relevant documentation including the contract(s) and other related documents/;
  3. To satisfy the conditions required for issuing a license, if the business activity in question is licensed under the Law on Licensing of Business Activities /participant are not required to have a road construction license but such license is required for the contractor(s) and subcontractor(s)whose responsible for road construction works/.

Mongolian or foreign legal entities or their consortium shall not beblacklisted by the Ministry of Finance of Mongolia, the World Bank and the Asian Development Bank /General Requirement/.

The bid proposals submitted by all participantsshall be evaluated in accordance with the information specified in Articles from 13.3.1 to 13.3.5 ofthe Law on Concession.Mongolian or foreign legal entity or their consortium meetingthe initial requirements shall befurther evaluated andrankedup to 3 participants beginning with the best proposal. The authorized entity shall begin to negotiate on terms of concession with the participantwhich offered the best proposal.

If only one participant (legal entity or their consortium) submitted a bid proposal to the competitive bidding, the proposal shall be evaluated in accordance with the existing law and if the bid meets the criteria, negotiations on the terms of concession will take place.

A legal entity can be a member of only one consortium of legal entities ingiven competitive bidding, and if a legal entity is member of such consortium of legal entities, it shall not participate in that competitive bidding on its own.

The winner of the competitive bidding can establish a legal entity /special purpose vehicle/ to implement the concession.

The competitive bidding process will be organized in accordance with the Law on Concession, regulations on the detailed procedures for bidding and criteria for the evaluation of proposals.

Pursuant to this Announcement, competitive bidding documents shall be distributed in printed and electronic copies to interested parties who submitted the request letter and the receipt confirming the payment of 3,0 /three/ million tugrugs to the Treasury Single Accountof the Ministry of Economic Development, account number 9000 36 409.Payment for the competitive bidding documents is non-refundable.

Bid proposals are to be submitted in Mongolian.

A Mongolian or foreign legal entity or their consortium shall

submit a requestletter to the following address:

Ministry of Economic Development

Innovation and Public Private Partnership Department

Concession Division

Telephone: 264188, 62263132