DIRECTIVE

ON STRENGTHENING CONTINUOUSLY THE STATE MANAGEMENT OF MINERAL EXPLORATION, EXPLOITATION, PROCESSING AND EXPORT ACTIVITIES

THE PRIME MINISTER

In recent years, the State management of mineral exploitation, processing, use and export activities have been strengthened; the enterprices acting in the field of mineral resources have focused on investment of exploitation and processing technology, increase of the mineral value, partly to meet demand in domestic and export; tasks of environmental protection in mineral activities have been intensified. However, in mineral exploitation and processing activities, there is still a lack of specific strategies and plans to each type of minerals, the investment is spread; loss in exploiting and processing minerals are big; mineral export is still mainly in the form of crude materials, ore or the crude ore; Labor status is unsafy, environmental pollution causing by the mineral exploitation activities as well as the circumstances of mineral exploitation and export donot overcome this thoroughly.

The main cause of the above situation is that the planning of the mineral exploration, exploitation, processing and utilisation and checking the restrict areas, temporarily banning the mineral activities carried out very slowly State management of mineral resources is still weak and inadequate. In some localities, the management and protection of mineral resources is neglected and undisciplined; inspection, check and handle of violations have not been carried out regularly, less effective; the financial mechanism, especially, export tax of royalty for longer any reasonable; the state manager forces on minerals somewhere arenot enough of quantity, lacking of profession and capacity

With the aim to make the active changes in the State management of mineral exploitation, processing, utilisation and export activities, Prime Minister has directed:

1. People s Committees of provinces, cities directly under the central government:

a) Directing the review of licensing exploration and exploitation and processing of minerals have been granted by the authorities and the issuance of documents to allow withdrawing minerals in the area of national defense, industrial zones, economic zones, The project of tourism area, the project of aquaculture, etc. ..; withdrawing the license, decision, the text has not enacted the correct jurisdiction, the order procedures; clarify responsibilities and dealt with the of law for organizations and individuals in violation. The provincial people s committee have to complete the works aboved before the 31 October, 2008 and to report the result to Ministry of Natural Resources and Environment for sumarizing and reporting to the Priminister.

b) Complete checking the restict area, temporarily banned from mineral activities after unifying ideas in writing of the ministries, agencies concerned; construct and submit the People s Councils at the same level through the master plan of Exploration, exploitation, processing, use for all kinds of minerals under the jurisdiction in the fourth quarter of 2008

c) Study, propose the mechanisms, policies, measures to protect mineral resources in the direction of the responsibilities associated People s Committees at district and Commune level, and indigenous rights of local communities where have the resources and minerals, send to Ministry of Natural Resources and Environment in the fourth quarter of 2008 to sumerize for Prime Minister

d) Continue to strengthen the management of environment in mineral activities; protect the social security and labor safety in the mineral activities. The projects of exploiting and processing minerals must carry out proper regulations on establishment, assessment and approval of report of environmental impact assessment and confirm the commitment for environmental protection; environmental rehabilitation fund; ensure environmental recovery after exploitation; to ensure the exploiting and processing mineral activities do not affect the protection of watersheds, special forests, scenic, history, culture and residential areas, the other infrastructures

đ) take the lead and co-ordinate with other ministries: Natural Resources and Environment, Industry and Trade, Police, Finance (General Department of Customs), Defense (Border Army) continuously to strengthen inspecting the mineral exploitation, processing, consumption and export activities in the provinces; to focus on contents related to the exploitation and utilization, save of mineral resources and environmental protection; to base on the level of violation of organisations or inviduals resolutely handled by the authorities or propose competent authorities dealing with the regulations of legislation such as criminal investigation, taking the license away, withdraw the license….

2. Ministry of Natural Resources and Environment:

a) Organize to review the contents stipulated in the exploitation license, decision of transference for the area of exploiting mines, registration exploiting mines have been licensed by state authorities or before the Mineral Law have effected. In case of the documents mentioned above are regulated under the banned circumstances or not appropriate as stipulated by the Mineral Law, it must re-issued exploiting licenses stipulated by the law on minerals.

The review, re-issues of exploiting licenses must follow a specific agenda, make sure that it does not interrupt the mining activities of organizations and individuals. For the review, re-issues of exploiting licenses of coal in Quang Ninh to units belonging to VINACOMIN must complete Prev 31 Months 12, 2008

b) Monitoring and evaluating results of the implementation of authorities licensed for mineral activities have been assigned by the People s Committees of provinces, cities directly under the central government; clarify existances, inadequacies in the department current jurisdiction has been decentralization and propose solutions to overcome. Reporting the Results of the implementation to Prime Minister before the 30 November 2008;

c) The host, coordinating with the Ministry of Industry and Trade, People s Committees of provinces, cities directly under the central government, check and handle the hot spots of violating the law in the exploration, exploitation, processing and utilization of mineral

3, Ministry of Trade and Industry:

a) The host, coordinating with the Ministry of Natural Resources and Environment, Ministry of Public Security, continuously strengthen checking on compliance with the regulations of consumption goods, export of mineral especially with all kinds of mineral ore are titanium, iron ore, lead - zinc, cromit, gold, wonfram; clarifying the legality of ore resources, quality ore for export; handled by the authorities of violations or suggestions by authorities dealing with provisions of law

b) Complete the planing design of exploration, exploitation, processing and use for all kinds of minerals, except minerals for material common building and minerals as the raw materials for cement production, submit to the Prime Minister for approval or the Prime Minister’s assignment in the fourth quarter of 2008

 c) Host and coordinate with the Ministry of Natural Resources and Environment, Ministry of Construction, Ministry of Finance checking and clarifying the cases of organizations and individuals exporting minerals have been fully satisfy the conditions stipulated by the Federal minerals, other legal Updated related but have not been exported, report to the Prime Minister to consider, dealt as regulations.

4. The Ministry of Defense hosted, in collaboration with the Ministry of Natural Resources and Environment, People s Committees of provinces, cities directly under the central government to check the activities of mineral exploitation on the land belong to MOD; resolute resolving exploitation activities violating the provisions of the Mineral Law; report the results to Prime Minister before 31 October, 2008

5. The Ministry of Finance directed the Customs collaboration with the Ministry of Natural Resources and Environment, the related Ministries and agencies, the People s Committees of provinces, cities directly under the central government controlling closely to clarify original source, minerals exports illegaly and dealing as stipulated.

6. That Organizations and individuals design planning to build residential concentration, and fixed in areas of mineral resources has been investigated, evaluated or explored, approved the mineral reserves which must be accompanied by the comments in writing by the State management agencies authorized in charge of minerals by the provisions of the Law on Mineral Resources. All cases submit the approval documents of the plan without opinions in writing by the State management agencies authorized in charge of minerals, must be additional and treatment as the Law stipulated

7. The Ministry of Information and Communication hosted, in collaboration with the Ministry of Natural Resources and Environment, People s Committees of provinces, cities directly under the central, direct to the press, radio, television often the main propagandising the policies, the law on minerals to enhance public awareness, knowledge of the enterprises and people have a sense to protect, exploit, use reasonably the mineral resources. Praising the units, individuals who have implemented well, detecting and fighting critical, condemning the violations of laws on minerals.

This directive replaces Directive No. 10/2005/CT-TTg on the 05 April 2005 by the Prime Minister on strengthening state management of activities exploring and exploiting, processing and export of minerals, in effect after 15 days, from the date of the declaration. Prime Minister requested the ministries, agencies concerned and People s Committees of provinces, cities directly under the central government urgently implementing this directive. During the implementation, if there are difficulties, the agency timely reports to Prime Minister.