Regulations on charges for issuance of license to conduct mineral operations in Vietnam

Regulations on charges for issuance of license to conduct mineral operations in Vietnam as of March 21, 2024 (Internet image) 

Regarding this issue, LawNet would like to answer as follows:

On February 5, 2024, the Minister of Finance issued Circular 10/2024/TT-BTC regulating the collection rates, collection, payment, management and use of fees for appraisal and assessment of mineral reserves and Fees for licensing mineral activities.

1. Regulations on charges for issuance of license to conduct mineral operations in Vietnam as of March 21, 2024

- In respect of exploration:

+ 4 million VND per license if exploration area is lower than 100 hectare.

+ 10 million VND per license if exploration area ranges from 100 hectare to 50.000 hectare.

+ 15 million VND per license if exploration are exceeds 50.000 hectare.

- In respect of extraction:

- Exhaustive extraction: 5.000.000 VND/license

- In case of application for extension or revision of license in the event of a transfer: charges shall equal 50% of the charges mentioned above.

2. Conditions for granting licenses to conduct mineral operations in Vietnam 

2.1. Conditions for granting mineral exploration licenses in Vietnam

According to Clause 2, Article 40 of the Law on Minerals 2010 (amended in the Law on amendments to some articles concerning planning of 37 Laws 2018, to be granted mineral exploration licenses, organizations and individuals must meet the following conditions:

- Being selected by competent state management agencies under Article 36 of this Law or having won auctions for mineral mining rights in unexplored areas under this Law; organizations and individuals that are ineligible for mineral exploration practice under in Clause 1, Article 35 of the Law on Minerals 2010 must sign contracts with eligible organizations defined in Clause 1, Article 35 of the Law on Minerals 2010;

- Set up an exploration project that is conformable with relevant planning as prescribed by the law on planning. In case of exploration of hazardous minerals, it is required to obtain written permission from the Prime Minister;

- Having an equity capital at least equal to 50% of the total investment capital for the implementation of the mineral exploration project.

2.2. Conditions for grant of mining licenses in Vietnam

Organizations and individuals that are granted a mineral exploitation license must meet the following conditions:

- Have a mineral extraction project executed in the area where mineral exploration has been carried out and mineral reserves have been approved in conformity with relevant planning as prescribed by the law on planning.

The mineral extraction project must include a plan for employing professional personnel, advanced and appropriate equipment, technology and mining methods. In case of extraction of hazardous minerals, it is required to obtain written permission from the Prime Minister;

- Have an environmental impact assessment report or a commitment to protect the environment in accordance with the law on environmental protection;

- Have equity capital equal to at least 30% of the total investment capital of the mineral exploitation investment project.

(Clause 2, Article 53 of the Law on Minerals 2010 (amended in the Law on amendments to some articles concerning planning of 37 Laws 2018))

Nguyen Ngoc Que Anh

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