Bauxite mines under scrutiny for social, environmental impact

Prime Minister Nguyen Tan Dung has asked the environment ministry to investigate the impact of two bauxite mines operated by Vietnam National Coal-Mineral Industries Group in the Central Highlands.

The state-owned coal producer, known as Vinacomin, needs to speed up site clearance and resettlement of local people, according to a statement on the government’s website Friday.

Vinacomin is developing one mine at Nhan Co in Dak Nong Province with Aluminum Corp. of China Ltd., and another in Tan Rai in neighboring Lam Dong Province. The projects have come under criticism because of potential damage to the environment and use of Chinese unskilled laborers.

Prime Minister Nguyen Tan Dung asked Vinacomin to organize an auction for the bauxite screening plant, finish the licensing of the Tan Rai quarry, and make sure contractors complete design contracts, according to Friday’s statement.

Aluminum Corp., China’s biggest producer of the metal, signed a US$1.5 billion agreement with Vinacomin in November 2006.

Alcoa Inc., the world’s third-largest aluminum maker, agreed in June 2008 to work with Vinacomin to develop the aluminum industry, according to a statement from Alcoa. Bauxite is used to make aluminum, the lightweight metal.

thanhnien, Bloomberg

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