Many concerns after the auction
On the afternoon of October 22, Mr. Le Duy Trung - Deputy Director of Trong Tin Real Estate Investment and Construction Joint Stock Company (Trong Tin Company) - said that Trong Tin Company won the auction of 3/4 mineral mines in Ha Tinh, which were auctioned on October 21, at a very high price, causing a stir in public opinion, raising concerns about whether or not the deposit would be canceled in the future.
However, Mr. Trung affirmed that Trong Tin Company's auction was for real, in order to exploit materials for the Company's internal projects.
Because in the near future, Trong Tin Company will implement a component project of the North-South Expressway Construction Investment Project and is preparing documents to build a brick factory.
Regarding concerns about whether Trong Tin's charter capital of only 5 billion VND is sufficient to fulfill financial obligations to exploit the mine, Mr. Trung also affirmed that Trong Tin is a subsidiary and the parent company's resources are more than enough to implement.
A leader of the Department of Natural Resources and Environment of Ha Tinh province said that according to regulations, enterprises participating in the auction must have charter capital that ensures 50% of the exploration estimate and 30% of the project capital to be licensed for investment.
Trong Tin Company has a charter capital of 5 billion VND, and the total exploration budget of the 3 above-mentioned material mines is about 5.5 billion VND, so this company ensures the conditions to win the auction according to regulations.
The total deposit of Trong Tin Company for the 3 material mines that the company just won the auction is more than 3.7 billion VND.
Trong Tin Company, located in Thach Quy Ward, Ha Tinh City, was newly established on October 4, 2024. Its main business is real estate and land use rights owned, used or leased by the owner.
There are also buffalo and cow breeding and buffalo and cow breeding; poultry farming; mixed farming and livestock farming; and marine fisheries exploitation.
Organize auctions according to regulations
As Lao Dong reported, on October 21, Ha Tinh organized the first auction of mineral exploitation rights in 2024 with 4 mineral mines.
These are the mines: Ngoc Son 1 landfill mine in Ngoc Son commune, Thach Ha district with an area of 8.63 hectares, with an estimated resource reserve of 1,440,366 m3; Luu Vinh Son 1 landfill mine in Luu Vinh Son commune, Thach Ha district with an area of 17.28 hectares, with an estimated resource reserve of 2,770,811 m3; brick and tile mine in Ha Linh commune, Huong Khe district with an area of 20.65 hectares, with an estimated resource reserve of 2,279,711 m3 and Cup Bau sand mine in Ky Phuong ward, Ky Anh town with an area of 49.68 hectares, with an estimated resource reserve of 1,987,200 m3.
As a result, Trong Tin Real Estate Investment and Construction Joint Stock Company won the auction for mineral exploitation rights for 3/4 of the mines put up for auction.
That is the Ngoc Son 1 landfill, starting price of more than 1.8 billion VND, was bid up 112 steps, up to 22 billion VND.
Cup Bau sand mine has a starting price of 9.5 billion VND, auctioned through 117 steps, up to 120 billion VND.
The brick and tile quarry in Ha Linh commune had a starting price of 7.5 billion VND, and was auctioned through 65 steps, reaching 56 billion VND.
The Luu Vinh Son 1 landfill mine alone was auctioned by another company with a winning bid of 47 billion VND, while the starting price was more than 3.4 billion VND.
Representatives of Minh Nhat Joint Stock Auction Company (the auction organizer) and the Ha Tinh Department of Natural Resources and Environment affirmed that the auction of 4 mineral mines on October 21 was in accordance with regulations and did not violate the law.
