Vinacomin to Invest $7.3 Billion in Alumina-Aluminium Production Expansion in Vietnam
Vietnam's leading mining company, Vinacomin, has announced plans for a substantial $7.3 billion investment aimed at expanding its alumina-aluminium production capabilities. This move is in response to the increasing demand for the metal within the country, according to a recent government statement.
The state-owned enterprise is set to focus its investment on two bauxite exploration and five refining projects located in the Central Highlands province of Dak Nong. While the government's announcement did not specify a timeline for the completion of these projects, the initiative marks a significant step in the country's efforts to enhance its position in the regional manufacturing sector.
Vietnam, which embarked on alumina production over a decade ago, has faced challenges related to environmental pollution and high energy consumption in its alumina and aluminium production processes. Despite these hurdles, Vinacomin's investment is expected to considerably increase production capacity.
The Nhan Co Alumina complex, currently producing 650,000 tons of alumina annually, is slated to see its output rise to 2 million tons per year. Additionally, the Dak Nong bauxite-alumina-aluminium complex will undergo an expansion to triple its capacity, reaching 2 million tons of alumina and between 0.5 to 1 million tons of aluminium annually.
Dak Nong province, known for holding reserves of 5.4 billion tons of bauxite, plays a pivotal role in Vietnam's ambition to boost its alumina and aluminium production. Bauxite is the primary raw material used in the production of alumina and aluminium, essential components in various industrial applications. This strategic investment by Vinacomin underscores Vietnam's commitment to fulfilling its growing domestic demand and securing its place in the global metals market.
