Hanoi reviews auction process for three sand mines, bids exceeding starting prices by hundreds of times.

Following the Prime Minister's request, the Hanoi People's Committee has assigned the Department of Natural Resources and Environment and other relevant departments to immediately review the entire process of surveying and assessing the reserves of three sand mines, preparing the necessary documents, and organizing the auction for the right to exploit them: Chau Son mine (Ba Vi district), Lien Mac mine (Bac Tu Liem district), and Tay Dang - Minh Chau mine (Ba Vi district).

Hanoi City People's Committee has requested the Department of Natural Resources and Environment and other relevant departments to review the auction process for these sand mines to ensure it is rigorous and in accordance with the law. The relevant units must report the results of the review of these three sand mines to the Hanoi City People's Committee before November 17th.

The Department of Natural Resources and Environment is responsible for inspecting and reviewing all sand mining permits issued in the city that have expired, reporting on the current status, legal basis, and implementation of environmental protection measures in mineral mining activities.

mo cat dau gia.jpeg — Customers bid for the right to exploit the Chau Son sand mine (Ba Vi district). Photo: HNM

In addition, Hanoi City also assigned the Department of Natural Resources and Environment to review financial obligations related to land, environment, and minerals; and to close mines in accordance with regulations.

Based on the review, the Department of Natural Resources and Environment is also tasked with proposing a plan to exploit mines that still have reserves but whose permitted operating period has expired.

For sand mines whose mining permits have not yet expired, the Hanoi People's Committee has assigned the Department of Natural Resources and Environment to inspect and strictly handle cases of violations.

Hanoi has also instructed the City Police and the People's Committees of districts and communes to inspect and strictly handle illegal sand and mineral exploitation.

Previously, the auction of the three aforementioned sand mines, held on November 5th, generated nearly 1.7 trillion VND. This winning bid was hundreds of times higher than the starting price.

Specifically, the Chau Son sand mine (Ba Vi district) has an exploitable reserve of over 700,000 m3, with a starting price of nearly 2.9 billion VND. After 89 rounds of bidding, the winning bidder achieved a result of nearly 400 billion VND, more than 137 times the starting price.

The company that won the auction for the right to exploit the Chau Son sand mine is Viet Son Investment and Trading Joint Stock Company. According to its business registration, this company is headquartered in Nam Vo Cuong urban area, Bac Ninh City (Bac Ninh province).

The Lien Mac sand mine (Bac Tu Liem district) has reserves of nearly 500,000 m3, with a starting price of 2 billion VND. 28 organizations qualified to participate in the bidding. After 53 rounds, one enterprise won the right to exploit the mine with a price of 408 billion VND, 204 times the starting price.

The Tay Dang - Minh Chau sand mine (Ba Vi district) has a reserve of 4.9 million cubic meters of sand, with a starting price of over 19 billion VND. Sixteen organizations participated in the auction. After 21 rounds, the Ministry of Natural Resources and Environment determined that the investor who won the right to exploit the mine paid over 880 billion VND, 46 times the starting price.

A week after businesses won the auction for the three sand mines, the Prime Minister issued a directive instructing Hanoi to review the process of surveying, assessing reserves, preparing documents, and organizing the auction for granting sand mining rights.

The official dispatch stated that the results of the auction for the right to exploit the three sand mines were "many times higher than the starting price, with unusual elements." Public opinion is particularly interested in these auction results and they could have an effect on the construction materials market.

Therefore, the Prime Minister requested a thorough review of the entire auction process, to prevent organizations and individuals from exploiting loopholes in management for personal gain, losses, waste, and group interests.

Any violations in the auction of the three sand mines must be detected and dealt with promptly. "Prevent the exploitation of the auction to inflate prices and disrupt the market," the Prime Minister instructed, and requested Hanoi to submit a report before November 20th.

The Prime Minister has requested Hanoi to review the unusually high-priced sand mine auction.

The Prime Minister has requested the Chairman of the Hanoi People's Committee to immediately review the auction process for granting mining rights to three sand mines, where the results were many times higher than the starting price.

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