DEIRDRĖ LINGENFELDER: THE MONGOLIAN YOUTH HAVE A SUPERPOWER

Three years ago, the Board of Directors of Rio Tinto appointed Deirdrė Lingenfelder as CEO of Oyu Tolgoi LLC and dispatched her to Mongolia. Born and raised in Johannesburg, South Africa, she set foot in Mongolia with a mission to lead one of the world’s largest mining projects—and her very first stop was Khanbogd. She recalls how the sweeping sands of the Galba Gobi instantly reminded her of the landscapes back home, leaving a lasting impression. Growing up in Johannesburg, she became familiar with mining from an early age. Over the course of 25 years, she has built an extensive career across every continent except Antarctica, gaining expertise in mining operations, strategy, project development, and business improvement. “Wherever I have worked, my guiding principle has always been performance improvement—delivering results while placing strong emphasis on environmental stewardship and empowering people. I am grateful that my profession has brought me to countries as beautiful and as challenging as Mongolia, where I can focus on enhancing performance, driving transformation, and building human capacity,” says Deirdrė Lingenfelder, CEO of Oyu Tolgoi.

-Three years ago, Oyu Tolgoi’s Board decided to appoint a woman as its CEO, left many Mongolians surprised, as mostly men have been leading mining companies and major projects. What were your thoughts when you heard about your appointment?

-It was a surprise for me as well, when this incredible opportunity came up in 2022. When I stepped into the role, Oyu Tolgoi was at the threshold of transitioning into an integrated copper business from open pit mine to expanding its operations into the underground mine. The company was at a turning point – refreshing its strategy and renewing its partner approach towards the people and stakeholders, and what the future of Oyu Tolgoi would look like. I think it was the right time to bring in a fresh and different perspective. The commencement of the underground mine was an immense feat, especially for one that will become one of the largest copper mines in the world. I see it as the result of the team coming together, including our shareholders – Rio Tinto and the Government of Mongolia, our incredibly talented workforce and the many business partners. Oyu Tolgoi has now been able to secure the 1st ranking on TOP 100 Enterprises list for the past three years in a row. I think it is a testament to the collective effort, having a very well-defined strategy, and the recognition that Oyu Tolgoi is playing a massive role not just within the economy of the country, but also in capability development and catapulting Mongolia to the world stage.

-Could you highlight some of the key achievements that Oyu Tolgoi has accomplished to date?

-This year alone, we produced 50 percent more copper than we did last year. Ultimately, that is what our business is about, producing copper and doing it safely and sustainably. This is being done with a hugely complex block cave mine, which is located 1.3 kilometers under the ground. To give you an idea of the scale, we are talking about 200 kilometers of tunnels that will be constructed under the ground in the current phase of development. People are central to our strategy. Hence, capability building and bringing in capable talent into the business is key. Therefore, while we create mining professionals, we also offer internship and scholarship programmes with over 1,130 scholarships awarded to date. We have got around 17,000 employees and contractors, 97 percent of them are Mongolians. So, Oyu Tolgoi is built, run, and operated by an incredibly talented Mongolian workforce.

We have also got an expert community of Mongolians who have gone to other mines across the globe and gained international experience. Social and community investments are important. Through the Gobi Oyu Development Support Fund and the Oyu Tolgoi Catalyst Fund for Khanbogd Development, we have invested around MNT224 billion in infrastructure development, schooling, education, medical care, and turning Khanbogd into a self-sustaining city. We want to enable our workforce to live and reside in Khanbogd and Dalanzadgad soums, rather than having families separated from one another. Lastly, we are leveraging advanced technologies to become one of the most modern mines in the world. One example is that we have a digital twin of our underground mine, and we use artificial intelligence to track the health of our assets so we can proactively respond, manage, and maintain them.

-As the leader of the TOP-100 enterprises for the past three years, how much has Oyu Tolgoi contributed to the state budget?

-Since 2010, Oyu Tolgoi has paid around US$5.1 billion in taxes, fees and other payments, including the VAT paid to Mongolian suppliers.

-How is women’s leadership and participation within Oyu Tolgoi?

-We believe that an inclusive, diverse workforce is productive, innovative, makes good decisions, and ultimately drives stronger business performance. Employing women is not just about chasing numbers. As of June, this year, around 23 percent of our workforce are female and our leaders are 40 percent female. In my leadership team, 50 percent are women and 50 percent Mongolian. That was very different three years ago. We have set a target in our strategy of reaching 50 percent overall female participation in the workforce in the longer term. This will take a concerted effort. We are focusing on targeted recruitment, education, mentorship programmes, and hiring policies. We want to train women and set them up for success.

Ultimately, we want both men and women to feel part of this company, without discrimination in either direction. You can see the impact when walking around the mine site. We have women operating large haul trucks on the surface, driving underground road trains, and holding leadership roles traditionally reserved for men. 60 percent of our operators, who manage the movement of our workforce in and out of underground mine, are women. It is a technical job and takes the longest time to train for. These women are demonstrating capability and earning respect. So, we are not window dressing. We are doing this sensibly, in the right timeframe, and with our male team members on board.

 Mongolian women are “Mongol queens”. They carry a unique blend of strength, resilience, and grit, while also embodying traditional qualities

-How is your impression about Mongolia different before and after coming to Mongolia?

-Mongolia is quite similar to South Africa. Its vast landscape, rich in resources, and ongoing growth and development all remind me of where I grew up, and that brought a sense of familiarity to me.I remember the first time I came to Mongolia – flying into Khanbogd soum – and thinking it looks so similar to the South African deserts and plains. What also surprised me was how young and dynamic the country is. I did not realize that two-thirds of the population is under 30. That was a surprise, but I think it is a strength for Mongolia – tapping into that energy and talent. Another surprise was how Mongolia navigates its unique position between two superpowers – Russia and China. I have been deeply impressed by its stable democracy and the strategic approach it has taken, particularly through policies like the Third Neighbour Policy. And lastly, what is closest to my heart is how I was welcomed into the country. I have been warmly embraced – invited into traditions and cultural celebrations like Naadam and Tsagaan Sar, which I have come to genuinely enjoy. As an expat who has moved to different countries, it is easy to end up on the outskirts. But here, it has been the complete opposite.

-What are your thoughts on Mongolian women?

-They are Mongol queens. Mongolian women carry a unique blend of strength, resilience, and grit, while also embodying traditional qualities. These are strong, passionate women who do not step back. There is clearly a warrior gene in Mongolian women. What stands out to me is how highly educated Mongolian women are. That enables them to step into leadership and technical roles extremely comfortably. I see a balance between delivering results and thinking long-term. They have a broader perspective and a thoughtful view of the world. I am amazed by how they manage all of this while taking care of their families. However, women are still underrepresented, especially in decision-making roles. I am impressed that the Government of Mongolia is setting targets for women in leadership, but real progress also depends on those of us who have broken through the glass ceiling. If young women and girls can see that it is possible, they will be inspired to pursue those roles too. That means we need platforms for it to happen – mentorships, trainings, and the willingness to take chances on women.

Oyu Tolgoi is a world-class mine, defined by digital technology, automation, and a core focus on sustainability

-Does Oyu Tolgoi have any policies or initiatives in place to support women in Mongolia?

-Yes, I have mentioned that we set an ambitious target of 50 percent. We are backing that ambition with real action – ensuring our recruitment processes, training programs, capability-building initiatives, and mentorship opportunities are designed to create a strong foundation for both women and men to thrive. Also, through our two main vehicles, which are the Gobi Oyu Development Support Fund and the Oyu Tolgoi Catalyst Fund for Khanbogd Development, we have been implementing local business development programmes. This is where we want female entrepreneurs get trainings and resources to start and grow businesses in their communities. So, we are not just looking at the roles within Oyu Tolgoi, we are also.

-Over the past three years under your leadership, what has been the most difficult challenge you have faced?

-For me, the biggest challenge was the transition from an open pit mine into single integrated copper business. It was not the technical aspects that were most difficult, but rather the need to align multiple stakeholders. Aligning the priorities of our two shareholders was a significant challenge. We overcame this by designing a new strategy that brings together the Government’s Vision 2050 and Rio Tinto’s strategy. It took more than a year to work through that alignment process. I remember, the then Chief of Staff to the President of Mongolia, now our Prime Minister G.Zandanshatar, once recited our strategy priorities to me. That moment showed me that we had successfully managed the transition in a way that brought our workforce, partners and stakeholders closer together and aligned around our purpose, objectives, and vision.

-What inspires and motivates you the most as a women leader?

-Some may perceive mining negatively. But I believe that if it is done properly, it can be a force for good. So, I wake up every morning with a sense of purpose and meaning. Mining is a team effort, done together with our shareholders, and our stakeholders. For me, the business will create opportunities and benefits for the nation. Far beyond my tenure, and even beyond our lifetimes, that positive impact will still continue. I see young Mongolian professionals tackling massive challenges and coming up with creative solutions. That fills me with so much pride as a leader of this organisation. I see young women stepping into challenging leadership roles. I see local businesses that have been developed and that thrive on the back of Oyu Tolgoi. When I am in Khanbogd, I cannot recognise it from five years ago. From infrastructure development, including with support from our suppliers – some of the major suppliers now based in Khanbogd. One day I will look back at this experience and think: I was part of setting up something truly impactful and profound in Mongolia. I do not know what could be more motivating than that.

-The world is facing the challenges of climate change. What actions is Oyu Tolgoi taking to address this global issue?

-We exist to counteract climate change. The copper we produce is essential to electrifying the world as a direct solution to climate change. We are seeing increased climate change effects right here in Mongolia. We are experiencing extreme weather events. Two years ago, we had floods in Ulaanbaatar. Even our mine experienced floods. The impacts of climate change are undeniable. They are not in the future – they are with us today. That is why we’ve set clear targets within our refreshed strategy. We look at it through three lenses. The first priority is the people pillar – improving understanding and capability, not just in terms of what climate change is, but how to respond to it. For example, we have partnered with the National Emergency Management Agency and donated necessary equipment to help rescue operations. So, the first lens is about building people’s capacity to respond. The second priority pillar is Planet – investing in nature. Oyu Tolgoi has committed to planting 100 million trees by 2030, of which 21 million trees have already been planted.

This is not just about planting trees – we are also investing in research and capability development, what we call “tree equivalent” to reach the 100 million target. So far, we have rehabilitated 615 hectares of land damaged to due to irresponsible mining in Selenge and Darkhan-Uul provinces, with another 600 hectares planned this year. This will fully rehabilitate all abandoned areas in Selenge province left behind by irresponsible mining. The third lens is investing in green infrastructure. We have a roadmap to achieve zero carbon emissions by 2050. We are on track to meet that goal through electrification, replacing coal and diesel use, and using emission reduction certificates, and battery-electric solutions. A major focus for us – and hopefully for the Government of Mongolia as well – is renewable energy. In a country with so much sunshine and wind, it is essential to harness this potential. Ultimately, the legacy we should leave is simple. Environmental stewardship and mineral extraction can coexist, but it requires innovative thinking, doing things differently, and having well-defined roadmaps in place.

-What role do you see Oyu Tolgoi playing in the future development of Mongolia, and potentially in the global economy as well?

-Over the past decade and more, Oyu Tolgoi’s total investment in the country has reached USD20 billion. That is already a substantial economic contribution, and as we continue to grow the underground mine, that impact will only increase. But value is not just measured in monetary terms – it goes far beyond that. When I look at the value proposition Oyu Tolgoi brings to Mongolia, one of the most important aspects is capability development. Then there is community and regional development. In places like Khanbogd and Dalanzadgad soums, we are working to strengthen the foundations of the economies. Local procurement and SME growth are also key. We prioritise sourcing from local suppliers that are driving the national economic growth. I was delighted to see 33 of this year’s TOP 100 enterprises were our suppliers.We are helping raise the bar for mining – not just in Mongolia, but globally. Oyu Tolgoi is a world-class mine, defined by digital technology, automation, and a core focus on sustainability.

-Within Rio Tinto group, where does Oyu Tolgoi stand?

-Oyu Tolgoi stands among the safest copper businesses in the world. In terms of cost management, we are in the first quartile of cost performance, which means we are in the top 25% globally. If you look at electric vehicles, we have made strides with the underground battery electric fleet and also piloting 90 tonne electric haul trucks on surface. We use four times less water than a comparable mine worldwide. So, across all the priorities in our strategy, we consistently hit high notes. It is something to be proud of.

-How do you see the future development of Mongolia and the young people?

-I think the Mongolian youth have a superpower. They are a very well-connected, well-educated, and opinionated group of people. If that is the base driving the future, then it can only be bright. I think their talent and energy should be channeled and directed through scholarships, internships, and apprenticeship programs – not just for mining, but more broadly. I also believe we need to invest in digital and technical skills and prioritise leadership development. The youth in Mongolia are vocal on issues that matter and are deeply anchored in a socially conscious drive, which bodes very well for the country’s future. With Mongolia’s location, rich resource base, and young, dynamic population, there is no reason why Mongolia cannot position itself as a central hub for sustainable mining, innovation, and clean energy. I am very optimistic about Mongolia’s future. I am hopeful that we can be a long-term partner in crafting that future.