On November 16, Rio Tinto announced that they had appointed Bold Baatar the new Chief Executive of Energy and Minerals, replacing Alan Davies.
B.Bold graduated from Mongolian Technical University with a bachelor’s degree in industrial engineering. He also holds an MBA from the University of Bridgeport in the United States. B.Bold has served as a member of the Rio Tinto Iron Ore Executive Committee, Managing Director of Iron Ore Sales and Marketing, and head of Rio Tinto’s marine business. B.Bold held a number of senior investment banking roles with JP Morgan before taking on chief executive positions with a gold mining company and a diversified investment management business in Mongolia. He joined Rio Tinto in 2013 as President of Copper International Operations. He served as Chairman of the Mongolian Stock Exchange from 2010 to 2012, Chairman of the Mongolian Mining Association from 2012 to 2014, and was a non-executive director on the board of SouthGobi Resources Ltd. from 2013 to 2014.
Rio Tinto CEO Jean-Sebastien Jacques said, “Appointing Bold to run our energy and minerals business will add a fresh perspective to the product group. Bold brings broad international and executive experience in a wide range of commercial disciplines. He has a proven track record and will be a great addition to our ExCo, particularly with his strong strategic approach and acute understanding of Asia.”
B.Bold’s predecessor, Alan Davies, was terminated after becoming embroiled in a bribery scandal in West Africa, with leaked emails documenting negotiations to pay 10.5 million USD to a close confidant of the president of Guinea.
Rio Tinto reported that on August 29, 2016, it had become aware of email correspondence from 2011 relating to contractual payments made to a consultant providing advisory services on the Simandou project in Guinea. The company reported it had launched an investigation into the matter. Rio Tinto said that it had notified the Department of Justice and the Securities and Exchanges Commission in the US, the Serious Fraud Office in Britain, and ASIC in Australia. Davies, who oversaw the Simandou project in 2011, was suspended on November 9.
The Rio Tinto board said it had reviewed the findings to date of an internal investigation into the 2011 contractual arrangements with the Simandou project consultant, and concluded that Davies failed to maintain the standards expected of him under their global code of conduct.