Sand mine in Quang Nam auctioned at 77 times higher than starting price

(PLVN) - A sand mine in Duy Xuyen district (Quang Nam) has just been successfully auctioned at a price of more than 138 billion VND, 77 times higher than the initial starting price.

On June 25, information from the People's Committee of Duy Xuyen district ( Quang Nam ) said that the unit has just authorized Hoa Thuan Joint Stock Auction Company to organize an auction of the right to exploit minerals for common construction materials at DX6B sand mine (in Phu Bong village, Duy Trinh commune).

According to the auction announcement, the DX6B sand mine has an estimated exploitable reserve of about 197,000 m3, with a starting price of more than 1.8 billion VND. However, after 11 intense rounds, Han Hien Hau Trading and Service Company Limited (located in Dai Quang Commune, Dai Loc District, Quang Nam Province) won the exploitation rights with a "shocking" price of more than 138 billion VND.

After 11 rounds, Han Hien Hau Trading and Service Company Limited won the sand mine auction with a sum of more than 138 billion VND.

In fact, the value of the exploitation rights that the enterprise has to pay is up to more than 702,000 VND/m3, not including resource tax, environmental protection fee, environmental restoration deposit, VAT, corporate income tax, and a series of costs for mine investment, labor, machinery, roads, weighing stations, wharves, etc.

Previously, on June 19, another auction in Dai Loc district also recorded "huge" price differences.

Specifically, a sand mine with a reserve of about 790,000 m3, starting price of over 7.5 billion VND, was successfully auctioned for over 491.7 billion VND. Another mine with a reserve of 360,000 m3, starting price of 3.46 billion VND, was auctioned for nearly 320 billion VND. The remaining mine, with a reserve of over 166,000 m3, starting price of only 1.23 billion VND, was won for over 129.6 billion VND.

These auctions are heating up public opinion as the price of sand in Quang Nam province and Da Nang city has been continuously increasing due to the scarcity of supply. Many opinions say that with the price of exploitation rights being pushed up too high, businesses will have no choice but to increase the selling price to cover costs, thereby causing consequences for the stabilization of construction material prices.

Sand prices in Quang Nam province and Da Nang city have continuously increased recently due to scarce supply.

According to a natural resources official, auctions are a form of transparency and healthy competition according to the law. However, it is necessary to be extremely careful in assessing the financial capacity, experience and exploitation plans of enterprises participating in the auction. This is to avoid the situation of auctioning at all costs to gain rights, then pushing up the price of commercial sand to recover capital, causing market instability, affecting many industries.

Experts also suggested that the authorities should review the entire post-auction process and tighten the conditions for project implementation after winning the bid, in order to ensure effective, sustainable, legal resource exploitation without causing negative impacts on local people and the economy .

Cong Huy

Source: https://baophapluat.vn/mo-cat-o-quang-nam-duoc-dau-gia-cao-gap-77-lan-gia-khoi-diem-post553074.html