Vinacomin seeks approval for $208 million bauxite project

Detailed summary

Vinacomin is seeking approval for a VND5.2 trillion ($208 million) bauxite mining and processing project in Lam Dong province, with provincial authorities now appraising the plan.

The project in the Nhan Co Cluster covers more than 6,666 hectares and is designed to produce approximately three million tonnes of refined bauxite ore a year, with output serving the raw material needs of the Nhan Co Aluminium Plant. The mining area covers around 5,269ha and the ore processing plant about 50ha.

The development also includes five sludge reservoirs after ore processing covering roughly 1,120ha, the Dak Buk So 8 water reservoir at around 318ha, a conveyor belt system spanning about 21ha to transport refined ore to the Nhan Co Aluminium Plant, and about 527ha for the raw ore transport system, power lines, and other auxiliary facilities.

The expected operating period is 30 years from the date the investor is granted land allocation, land lease, or permission to change land use purpose. Under the proposed schedule, legal procedures, investment preparation, and land clearance would run from the fourth quarter of 2026 to the fourth quarter of 2027, with construction expected to begin in the first quarter of 2028 and the project completed and operational in 2029.

Once running, the project is expected to contribute about VND500 billion ($20 million) a year to the state budget and generate jobs for around 800 workers during the construction and operation phases. It would also help secure raw materials for the expansion and capacity upgrade of Nhan Co Alumina Plant, which has already received investment approval.

At a meeting with Vinacomin on November 10, Nguyen Ba Ut, Vice Chairman of Lam Dong People's Committee, asked local authorities to carefully assess the project's impact on the environment, ecosystem, and social security, and to review the planning, scope, scale, and legal basis before advising competent authorities.

Under current regulations, bauxite exploration and exploitation must be linked to deep processing, at least to the production of alumina.

Multidisciplinary corporations plan to pour significant funds into bauxite mining in Dak Nong and Lam Dong…

Opening of the article, excerpted from Vietnam Investment Review. To read the rest, open the article on the publisher's site.