Dalanzadgad Business Centre to develop local supplier capability ~ Azaa's Weblog

The first of three Business Development Centres announced earlier this year is nearing completion and is expected to open in January 2011.

The Centre, opening in Southgobi’s regional capital of Dalanzadgad, will provide invaluable support and skills development to prospective local suppliers, including smaller start-up businesses.

Each Centre will work closely with the Oyu Tolgoi Procurement department to develop and strengthen local business potential and train businesses to understand international standards in procurement practices, for instance, responding to a tender.

Each Centre will consult with local businesses to identify work areas and skills they could focus on and develop in order to supply to Oyu Tolgoi in the future. It will also advise on internal training needs and access to finance such as gaining micro-credit loans.

Not only will the Business Development Centres play a large role in building local supply capability, but local suppliers have featured significantly in the development of the Dalanzadgad centre:

Izmone LLC: main construction contractor is sub-contracting to many smaller construction companies in

Dalanzadgad town.

Khachig Khairkan LLC: supplying and installing all windows for the centre.

Dayanbaigal LLC: renovation work to existing structures.

Govi Gurvan Saikhan LLC: construction work on the structure that will house the boiler.

In addition to these local suppliers the town electricity, water and waste companies will also do all of these works for the centre. Plans are underway for the construction of the next Business Development Centre in Khanbogd town in 2011.