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THE
MINISTER OF INDUSTRY AND TRADE
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SOCIALIST REPUBLIC
OF VIET NAM
Independence - Freedom - Happiness
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No. 28/2008/QD-BCT
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Hanoi, August 18, 2008
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DECISION
NO. 28/2008/QD-BCT OF
AUGUST 18, 2008, APPROVING THE PLANNING ON EXPLORATION, EXPLOITATION AND
SORTING OF APATITE ORES IN THE 2008-2020 PERIOD, WITH POST-2020 ORIENTATIONS
TAKEN INTO CONSIDERATION
THE MINISTER
OF INDUSTRY AND TRADE
Pursuant to the March
20, 1996 Law on Minerals and the June 14, 2005 Law Amending and Supplementing a
Number of Articles of the Law on Minerals;
Pursuant to the Government's Resolution No. 59/2007/NQ-CP of November 30. 2001.
on a number of solutions to problems arising in construction investment
activities and reform of some administrative procedures applicable to
enterprises;
Pursuant to the Government's Decree No. 160/ 2005/ND-CP of December 27,2005,
detailing and guiding the implementation of the Law on Minerals and the Law
Amending and Supplementing a Number of Articles of the Law on Minerals;
Pursuant to the Government's Decree No. 189/ 2007/ND-CP of December27, 2007,
defining the functions, tasks, powers and organizational structure of the
Industry and Trade Ministry;
In furtherance of the Government Office's Official Letter No. 5487/VPCP-CN of
November 28, 2007, notifying the Prime Ministers opinions on empowering the
Industry Minister (now the Industry and Trade Minister) to approve the planning
on exploration, exploitation, sorting of apatite ores in the 2006-2020 period from now to 2015, with post-2025 orientations
taken into consideration;
At the proposal of the directors of the Planning Department and the Heavy
Industry Department,
DECIDES:
Article
1.- To approve the
planning on exploration, exploitation and sorting of apatite ores in the
2008-2020 period, with post-2020 orientations taken into consideration, with
the following principal contents:
I.
DEVELOPMENT VIEWPOINTS
- To develop the
industry of exploitation of apatite ores in line with the planning on
development of Vietnam's chemical industry and the socio-economic development
planning of Lao Cai province, meeting needs for raw materials for the
production of phosphorous fertilizers for agriculture and export, as well as
needs for raw materials containing phosphorus oxides for the production of base
chemicals and for other industries, meeting requirements of defense and
security maintenance, and protecting valuable cultural works and the ecological
environment in Lao Cai province;
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To conduct one step
ahead exploration activities in order to create reliable apatite reserves for
the exploitation and processing of the mineral in the planning period.
II.
DEVELOPMENT OBJECTIVES
1. General objectives
- To explore, exploit
and sort apatite ores in a comprehensive and rational manner in order to
achieve the targets of ore output and quality for the national economy;
- To build and
develop the industry of exploitation of apatite ores in a stable and
sustainable manner, meeting needs for raw materials for the processing of
fertilizers for agricultural development to assure national food security, and
for the production of base chemicals, livestock feed, and other industries. To
contribute to redistributing production forces by industries and territorial
regions and developing the chemical industry in a balanced and rational manner;
- To ensure that
apatite ore exploration, exploitation and sorting are conducted in an
economical and efficient manner and without adverse impacts on the ecological
environment. To intensify the processing and fullest use of class-II, -III and
-IV ores in combination with the study and sorting of the ores in order to
increase their phosphorus oxide (P2O5) content.
2. Specific
objectives: a/Apatite exploration:
To step up the
apatite exploration, thus ensuring reliable reserves for exploitation. To
attach importance to the assessment and extensive exploration of the mineral in
areas on which geological documents remain limited, search and discover new ore
bodies so as to increase the reserve size for the development of mining areas.
b/ Ore exploitation
and sorting:
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c/ Environmental
protection:
To ensure minimum
eco-environmental impacts of ore exploitation and sorting on localities where
mining activities are conducted.
III.
FORECAST NEEDS FOR APATITE ORES
Needs for apatite
ores for the production of single superphosphates, fused phosphorous
fertilizer, DAP fertilizer, yellow phosphorus, etc.. are forecast as follows: to
the level of elaborate exploration in order to reach 6.5 million tons and 24.8
million tons of explored class-I and class-III ores, respectively, combined
with the exploration of class-II and
No
Category
Unit
of calculation
2010
2015
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2025
1
Class-I ores
1,000 tons
500
550
600
650
2
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1,000 tons
860
1,120
1,650
1,650
3
Sorted ores
1,000 tons
1,120
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2,020
2,020
Total
1,000 tons
2,480
3,290
4,270
4,320
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The explored and
determined apatite ore reserve is 778 million tons, including 31 million tons
of class-I ores, 234 million tons of class-II ores, 222 million tons of
class-Ill ores and 291 million tons of class-IV ores. The explored and forecast
reserve is around 2.45 billion tons.
1. Exploration areas
Areas projected for
intensive geological exploration in the planning period include:
Tam Dinh - Phung
village area;
Phu Nhuan area;
Class-II ores in the
central area;
Bat Xat - Lung Po ore
area;
Bao Ha - Trai Hut
area;
- Northern Nhac Son
area from mining site 25 to mining site 29.
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- Exploration in Tam
Dinh - Phung village: To
switch from the level
of preliminary exploration class IV ores;
Exploration in Phu
Nhuan area: The volume of class-I ores will be around 1 million tons, class-Ill
ores around 10 millions tons, combined with the exploration of class-II and
class-IV ores;
Exploration of
class-II ores in the central area, with a reserve of 100 million tons, combined
with the exploration of class-IV ores in the surrounding areas;
Exploration in Bat
Xat - Lung Po area on the
basis of outcomes of preliminary searches on
a map scale of 1/25,000;
Survey and
exploration in Bao Ha - Trai Hut area;
Extensive exploration
in the Northern Nhac Son area from mining site 25 to mining site 29. The
explored volumes of class-I and class-Ill ores will be around 10 million and 20
million tons, respectively, combined with the exploration of class-II and
class-IV ores.
3. Exploration
schedule and capital
The investment
capital for exploration in the planning period is estimated at around VND 213
billion. The detailed schedule and capital for exploration are specified in
Appendix 2.
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To further and
thoroughly use mining equipment in the existing production chains, such as blasting
drills, excavator-elevators and transport vehicles, in order to raise the
capacity to serve production and business. To step by step invest in modern and
appropriate technologies and complete
equipment, such as hydraulic excavators with a bucket
capacity of 8-10 m3 hydraulic drills with a bit
diameter of up to 150 mm and self-dumping automobiles of a tonnage of up to 80
tons, and consider the possibility to apply the mode of combined
automobile-conveyor transportation to suit the geological structure of mines
(for mine layers spreading on vast areas);
In the planning
period, to open new mining areas in the Northern Nhac Son, central, Tam Dinh -
Phung village and Phu Nhuan areas in order to maintain (he ore output for
processing.
The average output of
class-I, class-II and sorted crude ores for the planning periods is estimated as
follows:
In the 2008-2010
period: 2-2.5 million tons/ year;
In the 2011-2015
period: 3-3.5 million tons/ year;
In the 2016-2020
period: 4-4.5 million tons/ year.
Reserves of mining
sites in the mining areas to be put into exploitation in the 2008-2020 period
are specified in Appendix 3.
VI.
PLANNING ON APATITE ORE SORTING
1. Ore sorting
capacity
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Total capacity of
existing sorting plants and those under construction is 1,420,000 tons of pure
ores/year. Investment will be
made to achieve an additional
capacity of around 600,000
tons/year.
2. Ore sorting
solutions
Sorting class-Ill
ores with presently applied technologies.
Researching and
transferring technologies for sorting class-II and class-IV ores in order to
salvage natural resources, as these two ore categories account for 70% of the
total mineral reserve.
In the planning
periods, to renovate the existing sorting plants and build new ones as follows:
Renovation and
expansion of Tang Loong sorting plant with a capacity of 900,000 tons/year;
Maintenance of Cam
Duong sorting plant with a capacity of 120,000 tons/year;
Building of Northern
Nhac Son sorting plant with a capacity of 350.000 tons/year;
Building of Northern
Phung village sorting plant with a capacity of 250.000 tons/year;
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3. Solutions to use
apatite ores
Class-I and sorted
ores and part of the class-II ore output will be used for the production of
phosphorous fertilizers and DAP fertilizer.
Class-Ill ores
exploited from chemically weathered KS layers 4,6 and 7 with a content of P2Os
³ 12% will be used as input raw materials for
sorting plants after having their content of P2Os neutralized;
Class-IV ores and the
superfluous volume of class-II ores will be stored and preserved for future
use.
VII.
CAPITAL NEEDS AND INVESTMENT PROJECTS ON DEVELOPMENT OF THE APATITE ORE
EXPLOITATION AND SORTING INDUSTRY IN THE 2008-2020 PERIOD
Investment capital
needed for the development of the apatite ore exploitation and sorting industry
in the 2008-2020 period is estimated at around VND 2,500 billion (see Appendix
4).
Investment projects
on apatite ore exploitation and sorting in the 2008-2020 period, with post
after-2020 orientations taken into consideration, are listed in Appendix 5.
VIII.
MAJOR SOLUTIONS AND POLICIES
1. Group of general
solutions and policies
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- Protecting,
exploiting and using in an economical and rational manner domestic natural
resources:
By 2015. studying the
sorting of ores with a low content of P2O5 (class-II and
class-IV ores) to be added to the ore resource to meet domestic use needs.
Stepping up the
equitization of state enterprises and establishment of joint-stock companies
with the participation of scientific and technological research institutions
and enterprises and capital contributions of other enterprises engaged in
geology, ore exploitation and sorting, and deep processing of apatite ores.
Raising the sense of
social responsibility of ore exploitation and sorting enterprises for making
contributions to building infrastructure, attracting, training and employing
local laborers: devising measures to protect the ecological environment and
actively participating in improving the social environment.
2. Group of specific
solutions and policies a/ Market solution:
Building and
developing the domestic market under the mechanism of fair market competition
and close cooperation in order to ensure the supply of raw materials for
establishments processing phosphorous fertilizers and producing base chemicals,
livestock feed, and gradually penetrating into the world market.
b/ Researching,
transferring and receiving sciences and technologies:
Perfecting the
technology for exploiting and the technology for floating class-Ill ores.
Attaching importance to the research into technologies for sorting class-II and
class-IV ores as well as technologies for producing drugs for sorting class-II
and class-IV ores through joint efforts between the State, scientific and
technological enterprises and mineral exploiting and processing enterprises.
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Entering into
cooperation with training establishments (job-training schools, colleges and
universities) in training and retraining the labor force and conducting
scientific research for the stages of mining and mineral sorting suitable to
Vietnam's apatite mineral deposit and characteristics. Attaching importance to the
training of mining business leaders and administrators to satisfy the
requirements of business development in the context of global competition.
d/ Protecting the
environment:
Mineral exploitation
and processing enterprises shall fully apply environmental protection measures
at the stages of mineral exploration, exploitation and sorting in the direction
of application of modern and environmentally friendly technologies; and
seriously carry out the restoration of the grounds and environment after
finishing mining activities. They shall ensure industrial sanitation and labor
safety in production. They are encouraged to research and apply modern
environmental treatment technologies in all production processes.
e/ Investment capital
solution:
In order to attract
around VND 2,500 billion for investment in the development of Vietnam's
industry of apatite ore exploration, exploitation and sorting up to 2020, the
following sources will be mobilized:
- Self-acquired
capital of enterprises;
- Budget capital for
investment in infrastructure outside mine fences, the elaboration and
adjustment of the planning, scientific and technological training and research
activities of institutes and schools in the industry;
The Slate's
investment credit loans for investment projects on apatite ore exploitation and
sorting in localities with difficult and exceptionally difficult socio-economic
conditions under current regulations;
Domestic and foreign
commercial loans;
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Foreign investment
capital to be mobilized from foreign parties in the form of large joint-venture
projects on deep processing of apatite ores.
f/ State management
solutions:
Periodically
reviewing, updating and adjusting the planning on development of the industry
of apatite exploration, exploitation and sorting to suit the national and
international socio-economic development;
Building and perfecting
a mechanism for concentrating the management of mineral exploration,
exploitation and processing into a sole agency in order to ensure the
uniformity, strictness, non-overlap, mobility and efficiency of the management,
protection, exploitation and sorting of apatite ores:
Reorganizing the
management of natural resources and making of periodical statistics and reports
on apatite mineral from grassroots to provincial and ministerial levels.
Applying measures against and imposing sanctions on organizations and
individuals that fail to fully comply with regulations on this work. Enhancing
inspection and examination of mineral activities in order to prevent illegal
mineral exploitation and export.
- Reforming the grant
of mineral activity permits in the direction of introducing more convenient and
transparent procedures while still ensuring strict management of mineral
activities.
IX.
ORGANIZATION OF IMPLEMENTATION
The Industry and
Trade Ministry shall publicize and direct the organization of implementation of
the planning, periodically update and adjust the planning and propose
mechanisms and policies for sustainable development of the apatite exploitation
and sorting industry, ensuring their conformity and suitability with the
national socio-economic development and international integration roadmap.
The Ministries of:
Natural Resources and Environment. Science and Technology, Planning and
Investment. Finance. Transport, and Information and Communication shall, within
the ambit of their functions and tasks, assume the prime responsibility for,
and coordinate with the Industry and Trade Ministry in. concretizing and
organizing the implementation of solutions and policies set forth in this
Decision.
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Assume the prime
responsibility for. and coordinate with Vietnam Chemical Corporation in,
managing and protecting apatite mineral resources in its locality: preventing
the illegal apatite exploitation and export;
Assume the prime
responsibility for, and coordinate with concerned ministries and branches in,
zoning off and approving areas in which apatite mining is banned, temporarily
banned or restricted;
-Coordinate with
state management agencies and enterprises in executing projects specified in
this Decision.
4. Vietnam Chemical
Corporation shall:
Manage, survey and
plan the use and exploitation of apatite ore mines in Lao Cai province;
Associate and
cooperate with other enterprises
that are capable of and interested in investing in the exploration,
exploitation and processing of apatite ores for domestic consumption and
export.
Article 2.- This Decision takes effect 15 days after its
publication in "CONG BAO"
Article 3.- Ministers, heads of ministerial-level
agencies, heads of government-attached agencies, the president of the People's
Committee of Lao Cai province, and Vietnam Chemical Corporation shall implement
this Decision.
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MINISTER
OF INDUSTRY AND TRADE
Vu Huy Hoang
APPENDIX 1
FORECASTS ABOUT ORE EXPLOITATION AND
SORTING OUTPUTS IN THE 2008-2020 PERIOD
(Attached
to the Industry and Trade Ministry's Decision No. 28/2008/QD-BCT of August 18,
2008)
Unit of calculation: 1,000 tons
No
Periods
Class-I
crude ores
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Purely
sorted crude ores
Total
of all categories of ores
1
2008-2010
2,495
2,886
3,805
9,186
2
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2,700
5,510
7,150
15,360
3
2016-2020
2,750
7,250
8,050
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Total
7,945
15,646
19,005
42,596
APPENDIX
2
EXPLORATION
SCHEDULE AND CAPITAL
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Unit of calculation: VND billion
No
Mines
and mining sites
Reserves
(million tons)
Survey
and exploration objectives
Investment
capital (VND billion)
2008-2015
2016-2020
1
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28
Elaborate
exploration
16
16
2
Phu Nhuan area
11
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10
3
Class-II ores in
the central area
100
Elaborate
exploration
80
75
5
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Mining sites from
24-29
36
Elaborate
exploration
22
2
1
5
Class-III in
grounds
15
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6
6
6
Lung Po - Bat Xat
area
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6.1
Phase I
100
Survey -exploration
20
20
6.2
Phase II
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Elaborate
exploration
50
17
7
Phung village -Trai
Hut area
60
Survey -exploration
9
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9
Total
439
-
213
181
32
APPENDIX 3
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(Attached
to the Industry and Trade Ministry's Decision No. 28/2008/QD-BCT of August 18.
2008)
No
Mining
sites
Class-I
ores (1,000 tons))
Class-II
ores (1,000 tons))
Class-III
ores (1,000 tons))
Earth
and stone (1,000 m3)
Earth
and stone of class – III ores (1,000 m3)
Extration
coefficient (ton/m3)
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Classes
I + II + III
18.550
15.21
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2
Mining site 17
514
-
396
837
1.057
2.06
0.93
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Mining site 10
605
-
8.200
3.308
7.863
13
0.38
4
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769
5.500
2.110
11.350
15.522
2.4
1.53
5
Wings 3-4. Mo
village
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-
11.900
16.400
23.011
12
64
1.19
6
Mining sites 18 and
19
1.610
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25.200
15,129
29.129
18.09
0.77
7
Northern Nhac Son
area: mining sites 20. 21,22 and 23
5.265
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35,702
50,700
9.96
0.97
8
Tam Dinh -Phung
village area
6.200
-
24.800
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44.440
7.16
1
9
Phu Nhuan area
735.000
-
8.520
16.458
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28.83
1.78
10
Class-II ores of
mining sites
-
35.500
102.000
114.166
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-
11
Class-Ill ores in
storages
-
-
34.600
-
-
-
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Total
18.738
41.000
168.037
236.679
330.000
5.52
1.03
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TOTAL INVESTMENT
CAPITAL NEEDED FOR THE 2008-2020 PERIOD
(Attached
to the Industry and Trade Ministry's Decision No. 28/2008/QD-BCT of August 18.
200S)
Unit of calculation: VND billion
No
Investment
domains
2008-2010
2011-2015
2016-2020
2008-2020
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Geological survey
52
119
32
213
2
Capital
construction and procurement of mining equipment
208
276
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605
3
Building of
ore-sorting plants
313
736
536
1.685
4
Scientific
and technological research
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10
4.6
20
Total
578
1.141
783.6
2.503
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APPENDIX
5
LIST OF INVESTMENT
PROJECTS ON APATITE ORE EXPLOITATION AND SORTING IN THE 2008-2020 PERIOD, WITH
POST-2020 ORIENTATIONS TAKEN INTO CONSIDERATION
(Attached
to the the Industry and Trade Ministry's Decision No. 28/2008/QD-BCT of August
18. 2008)
No
Name
of project
Location
Capactity (1,000 tons/year)
Investment
captital (VND billion)
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For the 2008-2020
period
Ore exploitation
and sorting projects
1
Completion of
sorting chain No. 3 of Tang Loong sorting plant
Tang Loong township
of Bao Thang district
900
180
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2
Opening of mining
sites 20-23
Northern Nhac Son
area
200-250
100
2008-2009
3
Opening of mining
sites 6. 7. 9/37 and 33-34
Wings 3-4 of Mo
village
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63.5
2008-2009
4
Geological survey
In each sub-region
213
2008-2020
5
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Northern Nhac Son
area
350
393
2009-2011
6
Scientific and
technological research
Key schemes
20
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7
Building of a
sorting plant
Phung village
250
446
2011-2014
8
Opening of mining
sites
Tam Dinh - Phung
village
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101.5
2013-2015
9
Building of a
class-II ore sorting plant
Dong Ho
400
736
2014-2018
10
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Phu Nhuan area
50
36.2
2015-2016
11
Opening of mining
sites to exploit class-II ores
The mine central
area
1.600
18.8
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12
Procurement of
equipment
Mining areas
285
Total
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2.503