PM cuts wings of mining investors

July 13, 2011 | 13:57

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Prime Minister Nguyen Tan Dung has just ordered four state-owned groups to divest from the Thach Khe project, country’s largest iron ore mining and billet manufacturing project.

Thach Khe is the largest iron ore mining in Vietnam

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The groups are Vietnam Shipbuilding Industry Group, Song Da Holdings, Vietnam Posts and Telecommunications Group and Bank for Investment and Development of Vietnam, according to a Government Office announcement.

Those groups has to divest from the in Ha Tinh province “to focus on their core businesses”, said the announcement.

However, it did not mention whether other companies could replace those groups.

Meanwhile, Dung also asked the remaining stakeholders Vinacomin, Vietnam Steel Corporation and Ha Tinh Mineral and Trade Corporation to promptly make a mining and billet manufacturing factory investment plan.

Thach Khe is the largest iron ore mining in Vietnam. The government assigned state-owned groups to invest in the project and build a two million-tonne billet manufacturing factory. However, the projects have been delayed for a long time.

Read full story on VIR Issue 1031, published on Monday, July 18, 2011

By Ngoc Linh

vir.com.vn

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