Decision No. 25/2008/QD-BCT dated August 4, 2008 of the Ministry of Industry and Trade approving the Planning on zoning of areas for exploration, exploitation. processing and use of precious stone, rare earth and uranium ores in the period from now to 2015, with a vision toward 2025 taken into consideration

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Decision No. 25/2008/QD-BCT dated August 4, 2008 of the Ministry of Industry and Trade approving the Planning on zoning of areas for exploration, exploitation. processing and use of precious stone, rare earth and uranium ores in the period from now to 2015, with a vision toward 2025 taken into consideration
Issuing body: Ministry of Industry and TradeEffective date:
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Official number:25/2008/QD-BCTSigner:Vu Huy Hoang
Type:DecisionExpiry date:Updating
Issuing date:04/08/2008Effect status:
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THE MINISTER OF INDUSTRY AND TRADE
-----
SOCIALIST REPUBLIC OF VIET NAM
Independence - Freedom - Happiness
----------
No. 25/2008/QD-BCT
Hanoi, August 4, 2008
 
DECISION
NO. 25/2008/QD-BCT OF AUGUST 4, 2008, APPROVING THE PLANNING ON ZONING OF AREAS FOR EXPLORATION, EXPLOITATION. PROCESSING AND USE OF PRECIOUS STONE, RARE EARTH AND URANIUM ORES IN THE PERIOD FROM NOW TO 2015, WITH A VISION TOWARD 2025 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, 2007, 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 or. 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 December 27. 2007. defining the functions, tasks, powers and organizational structure of the Industry and Trade Ministry;
In furtherance of the Government Office's Notice No. 5487/VPCP-CN of November 28. 2007. notifying the Prime Minister's opinions on empowering the Industry Minister (now the Industry and Trade Minister) to approve the planning on zoning of areas for exploration, exploitation, processing and use of precious stone, rare earth and uranium ores in the period from now to 2015. with a vision toward 2025 taken into consideration;
Considering Report No. 221/TTr-NCPT of June 9. 2008. of the director of the Research Institute for Industrial Strategies and Policies;
At the proposal of the directors of the Planning Department and the Heavy Industry Department,
DECIDES:
Article 1.- To approve the planning on zoning of areas for exploration, exploitation, processing and use of precious stone, rare earth and uranium ores in the period from now to 2015, with, a vision toward 2025 taken into consideration, with the following principal contents:
I. DEVELOPMENT VIEWPOINTS:
- To develop the industry of exploitation and processing of precious stone, rare earth and uranium ores in line with the planning on development of Vietnam's industry and local socio-economic development plannings. ensuring harmony between national and local interests, meeting requirements of defense and security maintenance, and protecting valuable cultural works and the ecological environment in localities
where minerals are available:
-To develop the industry of exploitation and processing of precious stone, rare earth and uranium ores in a stable and sustainable manner, with advanced technologies, thereby ensuring safety and economic efficiency: and on the basis of rationally and economically exploiting natural resources fn the country;
To carry out one step ahead exploring activities in order to create a reliable database about precious stone, rare earth and uranium ores for mineral exploration and exploitation in the planning periods;
- To develop the industry of exploitation and processing, of precious stone, rare earth and uranium ores on the basis of natural resource advantages and available domestic market as well as socioeconomic conditions and infrastructure in each mineral area;
- To develop the industry of exploitation and processing of rare earth ores in cooperation and association with foreign groups and companies in order to take advantage of their technologies and product outlets;
- To exploit, process and use uranium ores for peaceful purposes. The Stale holds a monopoly in exploiting, processing and using uranium ores as well as radioactive preparations. From now to 2025, to study the exploitation and processing of uranium ores mainly to meet the domestic needs for nuclear electricity development.
II. DEVELOPMENT OBJECTIVES
- To concentrate on exploring mines and mining spots of precious stone, rare earth and uranium ores which have been surveyed and assessed in order to provide reliable reserves for the exploitation and processing needs in the planning periods:
- To conduct thorough and economical exploitation combined with deep processing of precious stone, rare earth and uranium ores with advanced technologies. To ensure the efficient exploitation and processing and the eco-environmental protection in localities where mineral activities are conducted.
- To strive for the following targets of exploited mineral and deep-processing product outputs:
+ Precious stones: By 2015. to exploit on an industrial scale six mines in Nghe An and Yen Bai provinces. Total exploitation output will be 200,000-300,000 m3 of rare earth per year. The outputs of worked and polished cabochon and faset stones will be around 500.000 cts/year and 150.000-200,000 cts/year, respectively. After 2015, to call for investment in the exploration and exploitation of three new mines in Yen Bai and four new mines in Nghe An. To further invest in developing the processing and fashioning of precious stones to meet domestic needs and for foreign partners;
+ Rare earths: By 2015. to exploit and separately process rare earth oxide (REO) products with a total output of 10.000 tons of REO. and successfully produce some rare earth metals on a small scale. By 2025. to double that output (20.000 tons of REO). and strive for the production of some applied products of rare earths.
+ Uranium: By 2025. to step by step perform some stages of the nuclear fuel cycle, proceeding to producing nuclear fuels from domestically exploited natural uranium. At the initial stage, to produce technical uranium (yellow cake) from sandstone ores in Nong Son area, and subsequently step by step conduct processes of manufacturing ceramic pellets and natural uranium and enriched uranium fuel bars (under the plan on hire of foreign processors or import of enriched raw materials) for domestic nuclear power plants.
III.FORECAST PRECIOUS STONE, RARE EARTH AND URANIUM NEEDS
Precious stone, rare earth and uranium needs are forecast as follows:
Fa Rong mine: Khe Cao and other assessed areas with expected outputs of 4,000. 4,000 and 6,000 tons of U3Os, respectively.
V. EXPLOITATION AND PROCESSING PLANNING
1. Exploitation and processing of precious stone ores
- From now to 2015: To exploit on an industrial scale six mines: Doi Ty. Bai Trieu and Ban Gie
No
Category
Unit of calculation
2010
2015
2020
2025
1
Precious stones other than diamond
Million USD
15-16
21-23
28-34
38-50
2
Rare earths
Thousand tons of REO
0.8-1
1.5-1.8
3-3.5
4-5
3
Uranium
Tons of U
-
-
170
680

 


 

 
IV. EXPLORATION PLANNING
1. Exploration of precious stone ores
- By 2015, to concentrate on exploring in A-level potential areas, including Doi Ty, Bai Trieu, Ban Gie and Ban Khum-Ban Ken and Pom Lau (Nghe An), and mines of True Lau, Nuoc Lanh, Vinh Dong and their vicinities in Yen Bai;
- To organize survey and research to discover and find B- and C-level potential areas. If the results are positive, exploration will be conducted after 2015.
2. Exploration of rare earth ores
- In the 2008-2015 period: To explore Dong Pao and Yen Phu mines;
- In the 2016-2020 period: To explore South Nam Xe mine.
3. Exploration of uranium ores
During 2008-2015, to explore Pa Lua mine:
(Quy Chau, Nghe An) and Truc Lau (Km 51), Nuoc Lanh and Vinh Dong (Luc Yen, Yen Bai) with an annual output of between 20,000-50,000 m3 of ores per mine. To intensively invest in existing establishments engaged in fashioning and heat treatment of precious stones. To call for foreign investment in the processing and fashioning of precious and semi-precious stones and jewelry on the basis of Vietnam's advantage of cheap and skilled laborers in Hanoi and Ho Chi Minh cities, combined with tourism;
- From 2016 to 2025: To develop the exploitation of mines of Ban Khum-Ban Ken, Pom Lau and Cha Lim-Dong Xuong (Nghe An) and a jade mine of Co Phuong (Son La) and other areas on the basis of discovery, exploration and assessment results in the previous period. To further invest in upgrading existing fashioning establishments and call for investment in the production of high-class products from domestically exploited and imported material.
2. Exploitation and processing of rare earth ores
Vietnam's total rare earth reserve is forecast at around 22 million tons of REO. of which the reserve of B + C1+ C2 ores is 9.783.000 tons. The remaining part will be P1 and P2 ores.
and Nd oxides and REO2, of the heavy element group. The total output of these separate rareearth oxides will be around 10,000 tons/year, which will largely be exported. The small volume will be domestically used.

- In the. 2008-2015 period: To concentrate on exploiting Dong Pao mine, with an annual output of around 200.000 tons of exploited and preliminarily processed rare earth ores. Post-sorting pure rare earth ores will be of 45% REX), accompanied by byproducts of pure barite ore 95%(BaSO4) and fluorite ore 97% (CaF2).These pure ores will further be hydrolyzed into separate Ce, La, Pr
 
To invest in and commence the exploitation of Yen Phu mine for many heavy elements with an output of 3,000-5.000 tons of REO/year.
 
To build a small-sized rare earth metal production establishment, which will initially import materials from foreign countries before using separate rare earth oxides produced from Dong Pao ores.
- In the 2016-2025 period: Depending on the market size, to put South Nam Xe mine into exploitation. To call for investment in hi-tech projects to produce rare earth metals and rare earth-applied products, such as accumulators, permanent magnets, high-class abrasive powder, fertilizers and catalysts.
3. Planning on exploitation and processing of uranium ores
Vietnam's total uranium reserve is forecast at around 218,000 tons of U3O8.including around 17,000 tons of ores of classes C1 and C2 and 201,000 tons of ores of class P.
- In the 2008-2015 period: To combine exploration activities with researching and developing semi-industrial technologies. Based on exploration and technology research results, to make a feasible report on the exploitation of Pa Lua or Pa Rong mine.
- After 2015: To exploit on a small scale (with an output of 50,000-100,000 tons of crude ores/ year) in Nong Son area.
At the initial stage, to produce technical uranium (yellow cake) from ores. Subsequently, to step by step perform the stages of manufacturing ceramic pellets and natural uranium and enriched uranium fuel bars (under the plan on hire of foreign processors or import of enriched raw materials).
VI. INVESTMENT CAPITAL
Investment capital for precious stone, rare earth and uranium ore exploration, exploitation and processing in the planning period is estimated at around VND 3,330-4,060 billion, including VND 1,460-1.660 billion for the 2008-2015 period and VND 1,870-2,400 billion for the 2016-2025 period.
Investment capital includes self-acquired capital of enterprises, the State's development investment loans and commercial loans and foreign direct investment capital. State budget capital for the exploration and technology research of uranium mines will be around VND 245-300 billion.
VII. MAJOR SOLUTIONS AND POLICIES
1. Group of overall solutions and policies
- Encouraging the deep processing of precious stone, rare earth and uranium ores into high­quality products for domestic consumption and export.
- Stepping up the decentralization of responsibilities to manage natural resources, perfecting regulations and intensifying the organization of bidding for mineral activities, especially exploitation and processing of precious stone ores; establishing joint-stock companies with the participation of organizations and individuals that invest in all stages from exploration, exploitation to processing. Encouraging the diversification of forms of ownership to attract domestic and foreign resources for developing the exploitation and processing of precious stone and rare earth ores in the direction of prioritizing capable domestic enterprises; entering into joint ventures and associations with foreign parties in processing activities that require high techniques and technologies, for example processing of rare earths.
- Raising social responsibilities of enterprises engaged in mining precious stones, rare earths and uranium, such as making contributions to infrastructure construction; attracting, training and employing local laborers; proactively taking measures to protect the ecological environment and improve the social environment.
2. Group of specific solutions and policies toward each type of mineral
2.1. For precious stones
Permitting the salvage extraction of minerals in already exploited mines on the basis of annually devised extraction measures. Creating favorable conditions for import of precious and semi-precious stones from foreign countries for processing in Vietnam. Encouraging organizations and individuals to participate in the processing and fashioning of export goods from imported materials under the policy of reducing value-added tax for the processing and fashioning of precious stones and import tax on imported rough precious stones (including diamond) for export processing.
- Reforming procedures for licensing precious stone exploration and exploitation activities in order to combine the exploration with exploitation and deep processing of minerals; intensifying the bidding for areas with precious stones.
Intensifying the propagation and advertisement of Vietnamese gem products by actively and regularly participating in international
precious stone fairs.
Establishing technical standards as well as criteria and parameters for classifying precious stones in line with international practice.
Stepping up international cooperation and seeking foreign assisance in the domain of precious stones in order to train human resources, receive transferred technologies and experience in the assessment and heat-treatment of precious stones, and updating latest scientific and technological information on precious stones.
Strengthening the operation of the Vietnam Precious Stone Association in the direction of raising its role as an actual coordinator for precious stone enterprises.
2.2. For rare earths
Concentrating on solving market problems so as to develop the industry through undertaking cooperation with leading distributors in the world, especially Japanese ones in the near future, with a view to taking advantage of their technologies and outlets for factoring products.
Creating conditions for granting as soon as possible exploitation permits for enterprises to execute their projects.
Allowing enterprises that apply rare earths in the production of fertilizers, diesel oil additives.
rare earth ferro-chemicals. intermediary alloys and rare earth metals to enjoy the Governments preferential policies like enterprises applying high technologies, with a view to promoting the development of industrial-scale production.
2.3. For uranium
Uranium is a special mineral subject to monopo-lized management by the State. Therefore, in the near future, it is necessary to prioritize the allocation of state budget capital for programs on exploration and survey of this natural resource; technological research; training of high-quality human resources capable of applying foreign technologies in the process of cooperation in uranium research, exploitation and processing under the Prime Minister's Decision No. 114/ 2007/QD-TTg of July 23, 2007, approving the master plan on implemen-tation of the Strategy on peaceful utilization of atomic energy up to 2020.
VIII. ORGANIZATION OF IMPLEMENTATION
1. The Industry and Trade Ministry shall, in performing the state management of the industry of mineral exploitation and processing, publicize and assume the prime responsibility for the implementation of the planning; periodically update latest information on the implementation and adjustment of the planning, ensuring its conformity with the national socio-economic development plans and the international integration roadmap.
it shall assume the prime responsibility for. and coordinate with concerned ministries and branches in. proposing mechanisms and policies for stable and sustainable development of the industry of precious stone, rare earth and uranium ore exploitation and processing.
2. The Ministries of Natural Resources and Environment; Science and Technology; Planning and Investment; Finance; Transport: Agriculture and Rural Development: Construction; and information and Communication shall, within the ambit of their respective functions and tasks, assume the prime responsibility for, and coordinate with the Industry and Trade Ministry in, implementing and concretizing solutions and policies set forth in this Decision.
3. Provincial/municipal People's Committees shall:
- Organize the management and protection of natural resources of precious stones, rare earths and uranium in their respective localities; and prevent the illegal exploitation and export of these minerals;
- Organize the elaboration and submission of plannings on precious stone, rare earth and uranium ore, exploration, exploitation and processing under their licensing competence and in line with this planning to People's Councils of the same level for approval. Zone off and approve areas where precious stone, rare earth and uranium mineral activities are banned, temporarily banned or restricted;
- Coordinate with state management agencies and enterprises in executing projects specified in this Decision.
This Decision takes effect 15 days after its publication in "CONG B AO."

 
 
Article 2.-
 
Ministers, heads of ministerial-level agencies, heads of government-attached agencies and presidents of provincial/municipal People's Committees shall implement this Decision.
Article 3.-Ministers, heads of ministerial-level agencies, heads of government-attached agencies and presidents of provincial/municipal People's Committees shall implement this Decision.
 
 
MINISTER OF INDUSTRY AND TRADE




VU HUY HOANG
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